Research On The Influential Factors Of Demand For China’s Commercial Health Insurance

Commercial health insurance is a very important part of social medical security system in China. Although it is in the development stage, but the speed of its development is still below expectation. According to the relevant economic theory, market scale depends on demand and supply, particular in demand. Chinese commercial health insurance has two sides:one is the huge potential demand and a large number of potential consumers exist in the market; the other is, there is an insufficient need and the number of consumer that are willing to and be able to buy commercial health insurance is less. How to transfer this huge potential needs into effective demand is the topic we need to research.This paper analyzed the current situation in development of Chinese commercial health insurance and its existing problems. On this basis, it summarized the factors that affect effective demands of commercial health insurance, analyzed and evaluated those factors, then use econometric model to explore. This can give theoretical supports to government to learn more about the needs of Chinese commercial health insurance, to forecast its potential needs and to introduce polices and regulations to promote the development of commercial health insurance on one hand, and on the other hand, this can also provide reference to insurance companies to correctly understand consumer preference for commercial health insurance, give suggestions for the development of commercial health insurance and thus promote insurance company to provide reliable, convenient and targeted health insurance services to the public.In the first chapter, it points out the background and gives out the aims and significant of writing in chapter one. Then it had a literature review and detailed the various research methods and the related researches that less involved. On this base, it gives a clear research direction and ideas. After that, the article briefly describes the structure and research methods and innovative points.The second chapter is the need analysis of current situation of commercial health insurance. First, it defines the concept of commercial health insurance needs, distinguish the definition of potential demand and effective demand. Then, the paper gives a detailed analysis of potential demand and effective demand of Chinese health insurance market respectively, based on this analysis, it gives a conclusion that the Chinese health insurance market has a huge but ineffective demand, noting that the factors that affect effective demand is the key to transfer potential commercial health insurance demand into effective demand.In the third chapter, an analysis is made on the factors that which affect demand for commercial health insurance. The analysis mainly focuses on three factors including supply, consumers and social factors.In the matter of supply, the author analyzes through current situation of suppliers, products and services in the commercial health insurance market. In terms of consumers, the paper studies the preferences and selections of consumers in commercial heath insurance market, and sums up all kinds of individual factors which affect demand on health insurance. As to social factors, the paper tries to probe into the influence on commercial health insurance demand caused by different factors including social health insurance, macro economy, inflation, market supervision etc.In the fourth chapter, an empirical study on factors that affect demand on commercial health insurance from the aspects of individual as well as market is made. On the micro individual level, based on the data from the survey of Investigations on Health and Nutrition in China", a Logit Model is built to make evaluation and analysis. Detailed statement of conclusion is given afterward. On the macro-market level, the paper builds a panel data model to make progress analysis and explanations based on annual data of commercial health insurance and macro-economy in China. It reveals the macro-economic factors that affect demand on commercial health insurance in China. After that, according to the above study, the paper summarizes factors that affect demand on commercial health insurance and the effect brought by them.In the final part, Chapter Five, the paper gives suggestions on developing commercial health insurance in China. In this part, proposals based on the above study and analysis are made from both the aspects of insurance companies and government on how to create effective demand for commercial health insurance thus to achieve a rapid development in Chinese commercial health insurance market. In the paper, the methods of theory analysis and empirical analysis were employed. Comparative analysis, qualitative analysis and econometric analysis are used in the study. Comparative analysis is used on the study of current situation of Chinese commercial health insurance. China is to be compared with the developed countries on the difference in developing commercial health insurance. Based on that, the paper points out problems in current Chinese commercial health insurance market. When making study on factors affecting demand on health insurance, qualitative analysis is made. The factors are divided into different categories, which lay a foundation for the following empirical analysis. The paper makes a systemative analysis both theoretically and empirically on the basis of latest survey report of "Health and Nutrition in China" and macro-economic data of China, thus tries to give a kind of help for the rapid development of Chinese commercial health insurance.