“Single System, Single-Standard” vs. “Single System, Multi-Standard”—The Impact of the Financing Method of Chinese Urban-Rural Integrated Medical Insurance System on the Rate of Joining Insurance for Middle-Aged and Elderly People

Basic Chinese medical insurance has achieved full coverage, but the inequality between urban and rural areas is still outstanding. Under this background, the government proposed the urban-rural Integrated Medical Insurance System which proposes two kinds of financing modes. Based on the decision-making theory of medical insurance and the logit regression model, this paper studies the influence of two kinds of financing modes on middle-aged and elderly people’s decisions to participate in integrated medical insurance in China. The two financing modes are “single-standard” and “multi-standard”. The results show that the two kinds of financing methods have positive and significant effects, and the incentive effect of “multi-standard” on the integrated medical insurance is greater than that of “single-standard”. Having an urban household registration promotes the development of the “multi-standard”. However, there are some central provinces are not eable to improve the integrated medical insurance participation rate through “multi-standard”. Improving the participation rate of integrated medical insurance can promote the balanced allocation of resources between urban and rural areas, as well as different income groups and regions. Moreover, it can ensure a smooth transition of medical insurance policies. We should hold and boost the financing method of “multi-standard” to guarantee medical insurance integration’s rapid and steady progress in China.