The Impact Of Medical Insurance On The Risk Financial Asset Investment Of Chinese Households

The 19 th national congress of the communist party of China(CPC),held in Beijing in October 2017,called for "expanding the channels of people’s income from labor and property".This period provided great opportunities for the development of China’s financial industry.At the present stage,China’s medical security system has entered a new period of "new medical reform".It is an important task to integrate urban and rural basic medical insurance and further develop commercial health insurance in the current period.At the same time,the participation rate of Chinese households in the risk financial market is extremely low,and the structure of financial asset allocation is seriously imbalance.Based on this background,it is of great significance to study the impact of social medical insurance and commercial medical insurance on household risk financial asset allocation by using CHFS survey data.The research content of this paper is mainly divided into six parts,as follows:The first part is an introduction.First of all,the research background is introduced.Therefore,the significance of studying medical insurance for family risk financial market participation is proposed.Then the domestic and foreign related literatures on household financial asset allocation are sorted out.Finally,the research content,innovation points and deficiencies of the article are introduced.The second part is related concepts and theoretical basis.First,the concepts of household financial assets and risky financial assets,preventive savings,and medical insurance were sorted out,and then the life cycle theory and modern asset portfolio theory,two theories that provided important support for this article,were briefly explained and laid the theoretical basis of the analysis.The third part is the analysis of the impact of medical insurance on family risk financial assets.In this part,we first analyze the current development status of social medical insurance and commercial health insurance,then use CHFS data to analyze the current investment situation of risky financial assets in China,and finally analyze the impact mechanism of medical insurance on household risky financial assets.The fourth part is the design of an empirical plan for the impact of medical insurance on family risk financial asset investment.In this section,the source of empirical data is explained first.The data in this article is from the China Family Finance Survey conducted by the China Family Finance Survey and Research Center of Southwestern University of Finance and Economics in 2015;then the definitions of relevant variables involved in the empirical process are explained.Finally,the empirical models used in this paper,including the Probit and Tobit models,were introduced,and the parameters in the models were explained.The fifth part is the empirical results and analysis of the impact of medical insurance on family risk financial asset investment.In this part,the following three issues are mainly analyzed by empirical analysis: first,whether owning social medical insurance or commercial medical insurance will affect the holding of risky financial assets of families;Second,whether having social medical insurance or commercial medical insurance will affect the proportion of risky financial assets in a family’s total assets;Third,whether there is a significant difference between urban and rural areas in the impact of social medical insurance and commercial medical insurance on household risk financial asset allocation.According to the regression results,families with social medical insurance have a 2.1% higher probability of holding risky assets than families without social medical insurance,families with commercial medical insurance have a 7.7% higher probability of holding risky assets than families without commercial medical insurance,social medical insurance and commercial medical insurance can effectively increase the family risk assets held probability;families with social medical insurance have a 1.6% higher percentage of risky assets than families without social medical insurance,families with commercial medical insurance have a 3.5% higher percentage of risky assets than families without commercial medical insurance,both social medical insurance and commercial medical insurance can effectively increase the proportion of risky financial assets in total household assets;Among urban households,households participating in social medical insurance or commercial medical insurance have increased the holding rate of risky financial assets and the proportion of risky financial assets.In rural households,neither social medical insurance nor commercial medical insurance has a significant role in promoting family risk financial market participation.This result indicates that there is a large urban-rural difference in the impact of medical insurance on household risk financial asset allocation.Later,this part also discussed the heterogeneity.The whole sample was researched according to risk attitude,physical condition,education,and region.The robustness test was mainly through redefining risk financial assets and redefining insured families,and the results indicated that the benchmark regression results were robust.The sixth part is conclusions and recommendations.After summarizing the previous research content and empirical results,relevant suggestions are put forward from the perspectives of individuals,insurance companies and governments.The innovation of this article is mainly reflected in three aspects: First,the perspective of research.From the perspective of medical insurance,there is relatively little literature on family financial asset allocation,and needs to be further studied.The second is the content of the study.When studying the impact of medical insurance on family risk financial assets,in addition to taking into account social medical insurance,commercial medical insurance is also included in the research area.In terms of risky financial assets,consider stocks,funds,and lending as risky financial assets.The robustness test section further enriches the definition of risky assets,and includes financial wealth management products and bonds into the scope of risky financial assets.Finally,this article studies the differences between urban and rural areas in social medical insurance and commercial medical insurance when it affects the allocation of household risk financial assets,and further clarified the necessity of integrating urban and rural basic medical insurance,promoting a fair level of medical security,and developing commercial medical insurance.