Commercial insurance and social insurance have a complementary relationship with each other, so social security can not replace commercial insurance. The specifics about the difference between commercial insurance and social insurance are all in this article "What does social security insure? What does commercial insurance insure?
Prioritizing social security. Social security, as we all know, is our most basic protection, the content of the five insurance coverage in it encompasses all aspects of our lives. In the case of the five insurance medical insurance, for example, even if you are now sick, the next year you can continue to insure, you can reimburse the relevant medical expenses, pay enough for fifteen years after you can also enjoy a lifetime of medical insurance protection. But this is not to say that there is social security is enough, its protection is still not quite enough, you need to use commercial insurance to supplement, specific can be seen below.
There are a lot of differences between social security and commercial insurance, and here's a brief explanation of why commercial insurance is not a substitute for social security, using Medicare as an example.
1, the difference in coverage
Social health insurance coverage is very limited, far less than the content of the commercial health insurance included. For example, the social health insurance coverage does not include the application of electron beam CT, ophthalmic excimer laser treatment device and other large-scale medical equipment for examination, treatment, but the commercial health insurance coverage can include the application of these large-scale medical equipment for examination, treatment, and the costs incurred.
As the chart below shows, the types of medicines reimbursed by social security are also very limited. Many of the "miracle drugs" for cancer, such as targeted drugs, are very effective in suppressing cancer cells, but they are also very expensive. For example, the average monthly cost of Koraida for lung cancer is more than 50,000 yuan. For patients who have not purchased commercial health insurance, these drugs can only be in a state of unattainable, because social health insurance does not cover this kind of cancer special drugs.
2, the amount of reimbursement is different
Social security benefits, but also make it impossible to reimbursement rate as high as commercial health insurance. What's more, the reimbursement rate of social health insurance will be a little bit lower again due to off-site treatment. So, for higher coverage, Social Security alone is not enough. As shown in the chart, more than half of medical expenses are reimbursed by social security at less than 50 percent.
To learn more about the similarities and differences between social and commercial insurance, check out this Why do you need commercial insurance when you have social security?
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Source: Schoolboys say insurance official website