Law of the People's Republic of China on Basic Medical and Health Care and the Promotion of Health

Updated: 2019-12-28

Article 76 The state develops and implements working plans for the health of minors, women, the elderly, the disabled and other groups, and improves health services for key groups. 

The state promotes long-term nursing care guarantee work and encourages the development of long-term nursing insurance. 

Article 77 The state improves sanitary management system for public places. Health departments of people's governments at the county level and above shall strengthen sanitary inspection of public places. Information on sanitary inspection of public places shall be disclosed to the public in accordance with law. 

Business entities at public places shall establish, improve and strictly implement a sanitary management system, and ensure that business operation activities continuously satisfy the state's sanitary requirements for public places. 

Article 78 The state takes measures to reduce the harm of smoking to public health. 

Smoking at public places shall be controlled, and supervision and law enforcement thereof shall be strengthened. 

Warnings indicating harms of smoking shall be printed on the packages of tobacco products. 

Sale of cigarettes and alcohol to minors shall be prohibited. 

Article 79 Employers shall create environment and conditions favorable to employees' health, strictly implement provisions on occupational safety and health, actively organize employees to carry out fitness activities, so as to protect employees' health. 

The state encourages employers to provide guidance for employees' health. 

The state encourages employers to carry out regular health examinations for employees. If laws and administrative regulations contain provisions on health examinations, such provisions shall apply.

Chapter VII

Guarantee of Funds 

Article 80 People's governments at all levels shall effectively perform their duties of developing medical and healthcare undertakings, establish a medical and healthcare investment mechanism compatible with economic and social development, financial conditions and health indicators, and incorporate medical, healthcare and health promotion expenditures into government budget at corresponding levels, mainly for guaranteeing basic medical services, public health services, basic medical security and the construction, operation and development of government-run medical and healthcare institutions in accordance with relevant provisions. 

Article 81 People's governments at the county level and above shall strengthen the supervision over and administration of funds by such means as budget, audit, supervision over law enforcement, and public supervision. 

Article 82 Basic medical service expenses shall mainly be covered by basic medical insurance fund and out-of-pocket payment. The state raises basic medical insurance fund through multiple channels in accordance with law and gradually improves sustainable financing and guarantee level adjustment mechanisms for basic medical insurance. 

Citizens have the rights and obligations to participate in basic medical insurance schemes in accordance with law. Employers and employees shall pay premiums for employees' basic medical insurance in accordance with provisions promulgated by the state. Urban and rural residents shall pay premiums for urban and rural residents' basic medical insurance in accordance with relevant provisions.

Article 83 The state establishes a multi-layered medical security system with basic medical insurance as the main body and commercial health insurance, medical assistance, employees' mutual aids for medical expenses, and medical charity as supplements. 

The state encourages the development of commercial health insurance to satisfy diverse health security needs of the public. 

The state improves medical assistance system and ensures that eligible people with financial difficulties receive basic medical services.

Article 84 The state establishes and improves the negotiation mechanism between basic medical insurance agencies and designated medical and healthcare institutions, scientifically and rationally determines payment standards and payment forms for basic medical insurance fund, guides medical and healthcare institutions to rationally conduct diagnosis and treatment, promotes the orderly flow of patients, and enhances utilization efficiency of basic medical insurance fund. 

Article 85 The payment scope of basic medical insurance fund shall be determined by medical security department under the State Council, which shall take into consideration the opinions of the health department, the department of traditional Chinese medicine, the department of drug administration and the department of finance under the State Council in making the determination. 

People's governments of provinces, autonomous regions, and municipalities directly under the Central Government may, in accordance with relevant provisions promulgated by the state, supplement specific items and standards of payment of basic medical insurance fund within their respective administrative regions, and report such supplementations to the medical security department under the State Council for recordation. 

The department of medical security under the State Council shall conduct evidence-based medical and economic evaluation of drug list, diagnosis and treatment items and standards for medical service facilities covered by basic medical insurance fund, and listen to the opinions of the health department, the department of traditional Chinese medicine, the department of drug administration, the department of finance and other relevant departments under the State Council in the evaluation. The result of the evaluation shall be regarded as the basis for adjusting payment scope of basic medical insurance fund. 

Chapter VIII

Supervision and Administration   

Article 86 The state establishes and improves a comprehensive medical and healthcare supervision and management system that combines institutional autonomy, industrial self-regulation, government supervision and administration, and public supervision. 

Health departments of the people's governments at the county level and above shall conduct localized and industry-wide supervision over and administration of the medical and healthcare industry. 

Article 87 Medical security departments of the people's governments at the county level and above shall improve the capacity for and level of medical security supervision and administration, strengthen supervision over and administration of medical service behaviors and medical expenses covered by basic medical insurance fund, and ensure the rational use, safety and controllability of basic medical insurance fund. 

Article 88 People's governments at the county level and above shall organize health, medical security, drug administration, development and reform, finance and other relevant departments to establish a mechanism for communication and consultation among them, strengthen institutional collaboration and work coordination, and improve the efficiency and security level of medical and healthcare resources. 

Article 89 People's governments at the county level and above shall report their basic medical and healthcare work and health promotion work to the people's congresses at the corresponding levels or their standing committees on a regular basis, and accept their supervision in accordance with law. 

Article 90 When departments of the people's governments at the county level and above fail to perform their duties relating to the medical, healthcare or health promotion work, the people's governments at the corresponding levels or the relevant departments at higher levels shall make inquiries with the persons in charge of them. 

When the local people's governments fail to perform their duties relating to the medical, healthcare or health promotion work, the people's governments at the higher level shall make inquiries with the persons in charge of them. 

Local people's governments and the relevant departments being inquired shall take immediate measures to make rectification. 

The inquiries and rectifications shall be taken into consideration in the assessment and evaluation of the work of the relevant departments and local people's governments. 

Article 91 Health departments of people's governments at the county level and above shall establish performance evaluation system for medical and healthcare institutions, and organize the assessment of the quality of services, the level of medical techniques, the utilization of medicines and medical equipment of medical and healthcare institutions. The assessment shall be participated by industry associations and the public. The results of the assessment shall be disclosed to the public in an appropriate manner and used as an important basis for the assessment of medical and healthcare institutions and for health supervision and administration. 

Article 92 The state protects and ensures the security of citizens' personal health information. No organization or individual shall illegally collect, use, process, or transmit or illegally purchase, sell, provide or disclose citizens' personal health information. 

Article 93 Health departments and health security departments of the people's governments at the county level and above shall establish a credit record system for medical and healthcare institutions and professionals, incorporate the records into the national credit information sharing platform, and take joint disciplinary actions against violations in accordance with relevant provisions promulgated by the state. 

Article 94 Health departments of the people's governments at the county level and above and their entrusted health supervision institutions shall conduct medical and healthcare administrative law enforcement work within their respective administrative regions in accordance with law. 

Article 95 Health departments of people's governments at the county level and above shall actively cultivate medical and healthcare industry associations, maximize their role in medical, healthcare and health promotion work, support their participation in the development of industry management practices and technical standards, and in medical and healthcare evaluation, assessment and review work. 

Article 96 The state establishes a medical dispute prevention and settlement mechanism to appropriately handle medical disputes and maintain medical order. 

Article 97 The state encourages citizens, legal persons and other organizations to conduct public supervision over the medical, healthcare and health promotion work. 

Any organization and individual shall have the right to make complaints and tip-offs against any violation of this Law to health departments and other relevant departments of the people's governments at the county level and above. 

Chapter IX

Legal Liabilities 

Article 98 Where people's governments at any level, and health departments and other relevant departments of the people's governments at the county level and above abuse powers, neglect duties, practice favoritism or make falsification in violation of this law, the persons in charge of these departments and other persons directly responsible for such violations shall be subject to disciplinary actions in accordance with law. 

Article 99 Any entity that, in violation of this Law, delivers medical services without obtaining the practicing license for medical institutions shall be ordered by health departments of the people's government at the county level and above to cease its practicing activities, subject to confiscation of its illegal gains, medicines and medical devices and to a fine not less than 5 times but not more than 20 times of its illegal gains; in the case that illegal gains are less than RMB 10,000 yuan, the calculation of the fine shall be made on the basis of illegal gains of 10,000 yuan. 

Any entity that counterfeits, alters, buys, sells, leases or lends a practicing license for a medical institution in violation of this Law shall be ordered by health departments of the people's governments at the county level and above to make corrections, subject to confiscation of its illegal gains and to a fine not less than 5 times but not more than 15 times of its illegal gains; in the case that illegal gains are less than RMB 10,000 yuan, the calculation of the fine shall be made on the basis of illegal gains of RMB 10,000 yuan; if the circumstance of the case is serious, the entity shall be subject to the revocation of the practicing license for a medical institution. 

Article 100 Any entity that, in violation of this Law, commits one of the following acts shall be ordered by health departments of the people's governments at the county level and above to make corrections, and subject to confiscation of its illegal gains and to a fine not less than 2 times but not more than 10 times of its illegal gains; in the case that illegal gains are less than RMB 10,000 yuan, the calculation of the fine shall be made on the basis of illegal gains of RMB 10,000 yuan; the persons in charge of the entity and other persons directly responsible for such acts shall be subject to disciplinary actions in accordance with law:

(1) As a government-run medical and healthcare institution, investing with other organizations to establish a medical and healthcare institution without the qualification of an independent legal person; 

(2) As a medical and healthcare institution, engaging in external leasing or contracting of a medical department; 

(3) As a nonprofit medical and healthcare institution, distributing revenues to its sponsors and founders or doing so in a disguised form. 

Article 101 Any medical and healthcare institution that, in violation of this Law, has defective medical information security system and security measures that lead to the leaking of medical information, or defective medical quality management system, medical technique management system and medical safety measures shall be ordered by health departments of the people's governments at the county level and above to make corrections, and subject to a fine not less than RMB 10,000 yuan but not more than RMB 50,000 yuan; if the circumstances are serious, it may be ordered to cease practicing activities, and the persons in charge of the institution and other persons directly responsible for the violations may be investigated for legal responsibilities in accordance with law. 

Article 102 Any medical and healthcare professional who, in violation of this Law, commits one of the following acts shall be given administrative penalties by health departments of the people's governments at the county level and above in accordance with laws and administrative regulations and rules on the management of licensed doctors and nurses and the prevention and settlement of medical disputes: 

(1) Illegally asking for or accepting money or property or seeking other illicit interests by taking advantage of his or her position; 

(2) Leaking citizens' personal health information; 

(3) Failing to fulfill the obligation of notification as provided for by relevant provisions or violating medical ethics during the processes of conducting medical research or delivering medical and healthcare services. 

If a person prescribed in the preceding paragraph is the personnel of a medical or healthcare institution founded by the government, he or she shall be subject to disciplinary actions in accordance with law. 

Article 103 A bidder participating in a bid for drug procurement that, in violation of this Law, bids by offering a price lower than cost, or by fraud, collusion, abuse of market dominant position or other unlawful means shall be ordered by health security departments of the people's governments at the county level and above to make corrections, and subject to confiscation of its illegal gains; if the bid is won, the winning bid shall be invalid, and a fine not less than 0.5% but not more than 1% of the value of the bidding project shall be imposed; the legal representatives, the principal persons in charge, the executives directly in charge and other responsible persons shall be subject to a fine not less than 5% but not more than 10% of the fine imposed on the entity; if the circumstances of the case are serious, the bidder shall be disqualified from participation in bidding for drug procurement for a period of two to five years, and the disqualification shall be announced to the public. 

Article 104 Whoever, in violation of this Law, obtains basic medical insurance benefits by fraud, counterfeiting certification materials or other unlawful means, and any basic medical insurance agency or medical institutions, drug business entity, or other entity that, in violation of this Law, obtains basic medical insurance fund payments by fraud, counterfeiting certification materials or other unlawful means shall be subject to administrative penalties imposed by health security departments of the people's governments at the county level and above in accordance with laws and administrative regulations on social insurance. 

Article 105 Whoever, in violation of this Law, disturbs the order of the practicing place of any medical and healthcare institution, threatens and endanger medical and healthcare professionals' personal safety, infringes upon medical and healthcare professionals' personal dignity, illegally collects, uses, processes, transmits, trades in, provides or discloses citizens' personal health information, if such acts constitutes a violation of public security administration, shall be subject to public security administration penalties in accordance with law. 

Article 106 Anyone whose acts of violation of this Law constitutes a crime shall subject to criminal liability in accordance with law; those whose acts cause personal and property losses shall be subject to civil liability in accordance with law. 

Chapter X

Supplementary Provisions 

Article 107 The followings are the definitions of some of the terms used in this Law: 

(1) Major health indicators refer to average life expectancy, maternal mortality rate, infant mortality rate, mortality rate of children under the age of five, etc. 

(2) Medical and healthcare institutions refer to primary-level medical and healthcare institutions, hospitals, professional public health institutions, etc. 

(3) Primary-level medical and healthcare institutions refer to town and township health centers, community health centers (stations) and village medical rooms, outpatients, clinics, etc. 

(4) Professional public health institutions refer to disease prevention and control centers, specialized diseases prevention and control institutions, health education institutions, first-aid centers (stations), blood stations, etc. 

(5) Medical and healthcare professionals refer to licensed doctors, assistant licensed doctors, registered nurses, pharmacists, laboratory technicians, imaging technicians, village doctors and other professionals engaging in medical and healthcare work. 

(6) Essential medicines are those that satisfy basic medical needs of disease prevention and control, are adapted to the current basic national conditions and security capacities, and intended to be equitably available in appropriate dosage forms, at an appropriate price, and in adequate supply. 

Article 108 A province, autonomous region, municipality, or city with districts and autonomous prefecture may, in light of its actual situation, formulate detailed measures for the development of local medical and healthcare undertakings. 

Article 109 The State Council and Central Military Commission shall, in accordance with this Law, develop measures for the administration of medical and healthcare services and health promotion work of the People's Liberation Army and People's Armed Police Force. 

Article 110 This Law shall come into force as of June 1, 2020. 


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