Before facing a serious illness, consider adding a one‑year medical or critical‑illness policy to your basic medical insurance; make sure it includes the phrase “guaranteed renewal”

For young people, a one‑year expense‑reimbursement medical policy costs only a few hundred yuan per year. Expense‑reimbursement policies pay out based on the actual medical costs you incur. A critical‑illness policy starts at a few thousand yuan annually (these figures are rough estimates by the author; no official data are available). Before purchasing, you must honestly disclose your health status; this process takes about half an hour.

Regulatory authorities classify such products into two main types. Medical insurance reimburses you for actual medical expenses, while critical‑illness insurance pays a predetermined lump sum upon diagnosis of a covered disease. Both types are meant to cover the out‑of‑pocket costs after yibao payments and any loss of earnings. Policies with a term of one year or less that lack a “guaranteed renewal” clause are considered short‑term health insurance; those lasting longer or explicitly offering guaranteed renewal qualify as long‑term health insurance. “Guaranteed renewal” means the insurer must continue coverage under the same terms and at the same rate when the policy renews. Insurers are prohibited from encouraging the same individual to buy multiple expense‑reimbursement policies, as only one claim can be filed per expense. The definitions of diseases covered by critical‑illness policies follow industry standards, which list 28 severe conditions and three milder ones; malignant tumors, acute myocardial infarction, and post‑stroke sequelae are among the core conditions (national standards effective from 2019‑2020).

银保监会 (2019). 健康保险管理办法（银保监会令 2019 年第 3 号，第二、四、四十一条）. https://www.gov.cn/zhengce/zhengceku/2019-12/04/content_5458542.htm；中国保险行业协会、中国医师协会 (2020). 重大疾病保险的疾病定义使用规范（2020 年修订版）答记者问. https://www.iachina.cn/art/2020/11/5/art_8616_104705.html；银保监会 (2020). 关于使用《中国人身保险业重大疾病经验发生率表（2020）》有关事项的通知（银保监发〔2020〕51 号）. https://www.gov.cn/zhengce/zhengceku/2020-11/06/content_5557791.htm；全国人大常委会 (2015 修正). 中华人民共和国保险法第十六条（如实告知与合同成立二年后不得解除）. https://flk.npc.gov.cn/detail?id=2c909fdd678bf17901678bf7c4060811

This recommendation is rated B because official sources provide only definitions and regulatory rules, without concrete figures on how much money can be saved by purchasing such policies. “Million‑yuan medical insurance” is a marketing term; legally it falls under short‑term health insurance. Plans lacking a “guaranteed renewal” clause may be withdrawn or become more expensive next year — be sure to verify this wording in the contract. You cannot receive double reimbursement for the same expense under two separate expense‑reimbursement policies, so avoid buying two such plans. If you already have a pre‑existing condition and fail to disclose it, claims will likely be denied. Once two years have passed since the contract was formed, the insurer cannot cancel it on the ground of nondisclosure and must pay covered claims. Those who deliberately conceal information within this window may be denied coverage and receive no premium refund. For guidance on which losses merit insurance protection, see Section 5, item 39 (losses you cannot bear). First, enroll in the residential medical insurance described in item 9; then you can consider this additional coverage. The disease‑definition standards are issued by industry associations under the guidance of the China Banking and Insurance Regulatory Commission, not by government decree.