China’s National Healthcare Security Administration has unveiled an ambitious three-year plan to transform medical insurance payments through advanced digital integration. The initiative aims to address longstanding inefficiencies in healthcare reimbursement systems by implementing a comprehensive payment platform combining facial recognition, one-code scanning, mobile, and credit-based options.
The innovative framework will streamline outpatient, emergency, and inpatient services nationwide. Facial recognition technology will particularly benefit elderly patients who often struggle with physical cards or smartphone applications. The one-code system consolidates insurance reimbursement, personal account deductions, and out-of-pocket expenses into a single transaction, while mobile payments dramatically reduce waiting times.
A groundbreaking credit payment component allows banks to cover patients’ medical expenses within pre-approved limits through contractual agreements, creating a ‘treatment first, payment later’ model. Provincial authorities will pilot the system in at least two cities each throughout 2026, with full implementation across all designated insurance hospitals targeted for 2028.
Early implementations demonstrate promising results. Hami City in Xinjiang launched China’s first regional credit payment program in early 2025, offering residents up to ¥5,000 ($716) in interest-free medical credit. Within its initial month, the program attracted 120 users and processed 538 transactions totaling ¥43,000. Similarly, Dalian in Liaoning province has successfully integrated insurance and personal payments into unified processes across 200 medical institutions, significantly reducing administrative burdens and repeat visits for patients.