The Moral Hazard In New Rural Medical Cooperation

New Rural Cooperatives Medical System is carried out in 2003,which safeguarding farmer’s basic interests, adapting the rural community economic development request and improving the fairness of the medical security system in our country. However, because of the particularity of medical market and the complexity of New Rural Cooperatives Medical system’s implementation environment, New Rural Cooperatives Medical System is faced with many problems in its process of implement.For example,the unreasonable rising cost,the imperfect supervision mechanism and the funds of New Rural Cooperatives Medical System make ends meet. These questions already damaged the operation efficiency and affect the sustainable development of New Rural Cooperatives Medical System.With the improvement of New Rural Cooperatives Medical System,the government increased the subsidy and the risk of moral hazard with follow.The moral hazard is derived from Marine insurance and is applied to other fields in recent years.Moral hazard is the behavior that the party which possess more information injure the other Party with weaker information with information advantage.The moral hazard is more and more serious because that the information asymmetry between the medical demand,the medical provides and the medical supervision, the unreasonable medical system and Individual opportunism tendency in medical market. The existenceof moral hazard causes unreasonable growth of the medical expense, meanwhile,it suppress farmer’s reasonable health demand and harms the fair development of New Rural Cooperatives Medical Service.This article, taking xinhua county in hunan Province as an example, analyzes the performance and reasons of moral hazard in New Rural Cooperatives Medical System through ways such as case interview, participant observation,literature analysis and so on.The moral hazard is discussed in the medical demand,the medical provides and the medical supervision,the internal mechanism is discussed in the particularity of medical market, the unreasonable medical system and Individual opportunism tendency.And then analysis the China health statistics yearbook in 2003-2013 to confirm the moral hazard is widespread in the country. Finally,it discusses the question that how to avoid moral hazard macroscopically and microscopically in order to find an effective solution to solve the moral hazard.