Home China Laws 2004 PROVISIONS OF SHANGHAI MUNICIPALITY ON PAYMENT OF MEDICAL INSURANCE PREMIUMS BY STAFF...

PROVISIONS OF SHANGHAI MUNICIPALITY ON PAYMENT OF MEDICAL INSURANCE PREMIUMS BY STAFF AND WORKERS IN SERVICE

Provisions of Shanghai Municipality on Payment of Medical Insurance Premiums by Staff and Workers in Service

     In the spirit of the State Council’s schemes for promoting the reform of the medical security system for urban staff and workers,
and in accordance with the Municipal reform schemes in the medical insurance system for urban staff and workers, it is hereby provided
that the medical insurance premiums to be paid personally by staff and workers in service in the Municipality shall be as follows:

I. All staff and workers in the service of the organs, enterprises and institutions (hereinafter referred to as units) in the cities
and towns within the Municipality, self-employed workers and their helpers, as well as other personnel as defined by the Municipal
Medical Insurance Bureau together with the other departments concerned (hereinafter referred to as staff and workers in service),
shall pay medical insurance premiums, and shall be enpost_titled to the appropriate medical insurance treatment as specifically provided.

II. The staff and workers in service shall pay as the medical insurance premium 1% of their average monthly income of the previous
year. When the average monthly income of previous year of any staff member or worker exceeded 300% of the average monthly salary
or wage of whole Municipality, the excess over the 300% will not be calculated in the base for the payment of the insurance premium.
If the average monthly income of the previous year of any staff member or worker came under 60% of the average monthly salary or
wage of the whole Municipality, his or her average monthly income is calculated as 60% of the average monthly salary or wage of the
whole Municipality and shall pay accordingly.

The base for the payment by the staff and workers in the service of private enterprises, the self-employed workers and their helpers,
shall be defined and made public by the Municipal Labor and Social Security Bureau, in the light of the wage standard for tax calculation
for the private enterprises and self-employed workers as specified by the tax departments in the previous year, and in accordance
with the average monthly income of the staff and workers of the whole Municipality in the previous year.

III. The medical insurance premiums paid by the staff and workers in service, shall be withheld by the units in which they work, and
shall be levied unitarily by the social insurance handling organs when they levy other social insurance premiums.

The medical insurance premiums paid by the staff and workers in service who are enpost_titled to free medical service, shall enter an independent
accounting, and the specific scheme for using this fund shall be drafted by the Municipal Medical Insurance Bureau together with
other departments concerned, and shall be executed upon approval by the Municipal People’s Government.

IV. The Municipal Medical Insurance Bureau shall be responsible for the interpretation of the specific application of these Provisions.

V. These Provisions shall become effective on October 1,1998.