Category Archives: HSA

Hunan Rolls Out 2026 TCM Pricing Governance Results – 10x Anchor‑Price Deadline, Risk Flags, and Listing Suspensions

Changsha, China – 18 Sep 2026 – The Hunan Provincial Healthcare Security Bureau issued Notice Xiang Yi Bao Zhao Cai Han [2026] No. 114, implementing the results of its 2026 province‑wide price governance campaign for traditional Chinese medicine (TCM) decoction pieces and formula granules. The notice applies price‑risk markings to flagged products, orders manufacturers to cut listed prices exceeding 10 times the anchor price by 17:00 on 24 September 2026, imposes listing suspensions of at least three months on non‑compliant products, and confirms that new listing applications resume on 1 October 2026.

Policy Snapshot

ItemDetail
AgencyHunan Provincial Healthcare Security Bureau (China)
DocumentNotice on Implementing the 2026 Price Governance Results for TCM Decoction Pieces and Formula Granules (Xiang Yi Bao Zhao Cai Han [2026] No. 114)
Legal BasisNotice on Launching Price Governance of Listed Prices for TCM Decoction Pieces and Formula Granules (Xiang Yi Bao Zhao Cai Han [2026] No. 103)
ScopeTCM decoction pieces and formula granules listed on Hunan’s provincial procurement platform
Key Deadline17:00, 24 Sep 2026 – cut listed prices to within 10x the anchor price
SanctionsListing suspension (from 3 months) for missed price cuts, unestablished distribution relationships, or non‑conforming invoice information
Appeal Window3 months from the price‑risk‑flagging date, via the appeal module of the procurement subsystem
Channel ReopeningListing applications and filing‑to‑sunshine‑listing conversions accepted again from 1 Oct 2026
Affected ProductsNot disclosed in the notice body; itemized in five annexed lists

Governance Measures in Detail

  • Price‑Risk Flagging: Products whose manufacturers lowered listed prices within the designated window have been cross‑checked against provincial transaction data and marked with price‑risk flags in the bidding‑and‑procurement subsystem of the Hunan Healthcare Insurance Information Platform. Enterprises may review their flags directly; companies that later cut prices into compliance will have flags adjusted periodically under the stated rules.
  • Anchor‑Price Correction (10x Rule): Listed prices more than 10x the anchor price (10x itself excluded) fall within the correction scope. Manufacturers must reprice by the 24 September deadline; products that miss it – absent a pending complaint or appeal – will be suspended from the platform, while products under active appeal will be disposed of per the appeal handling opinions.
  • Compliance‑Based Suspensions: Separate suspensions (effective from the notice’s publication date, running at least three months) apply to products whose enterprises failed to establish required distribution relationships or whose invoice information remained non‑conforming after self‑inspection. Enterprises that subsequently remediate may apply for listing restoration.
  • Due‑Process Safeguards: A three‑month appeal window via the subsystem’s appeal module preserves a formal challenge path for companies disputing their risk flags.
  • Application Resumption: From 1 October 2026, Hunan resumes accepting new listing applications for TCM decoction pieces and formula granules, as well as conversions from filing to sunshine listing – signaling a return to normal channel operations after the governance round.

Market Impact & Outlook

  • Compliance Crunch: Manufacturers of flagged SKUs face a roughly six‑day repricing window between the notice date and the 24 September deadline – a tight turnaround that will test internal pricing governance at TCM producers selling into Hunan.
  • TCM Price Discipline Trend: The anchor‑price mechanism extends the centralized‑procurement playbook from chemical drugs into the historically fragmented TCM decoction‑pieces and formula‑granules market, where wide price dispersion across provinces has drawn sustained regulatory scrutiny.
  • Supply Continuity Risk: Suspensions of three months or longer could create temporary gaps in affected SKUs at Hunan public medical institutions; hospitals and distributors are advised to review the five annexed lists covering price‑correction products, missing distribution relationships, and invoice non‑conformities.
  • Structural Signal: Pairing enforcement suspensions with a firm 1 October reopening suggests Hunan views this round as a market‑clearing exercise rather than a prolonged freeze, with ongoing periodic flag adjustments keeping price discipline continuous.

Forward‑Looking Statements
This brief contains forward‑looking statements regarding regulatory deadlines, appeal outcomes, suspension durations, and the resumption of listing applications for TCM decoction pieces and formula granules in Hunan Province. Actual results may differ due to risks including appeal handling decisions, enterprise remediation progress, and subsequent policy adjustments by the Hunan Provincial Healthcare Security Bureau.-China Health Reform Pulse

Policy Source: http://ybj.hunan.gov.cn/ybj/first113541/firstF/f3113607/202609/t20260918_34067089.html

Shanxi Healthcare Security Bureau to Implement National TCM Alliance Fourth Batch and Second Batch Follow‑up VBP Results From Oct 15 – Province‑Wide Execution Through 2028 With Listing Suspensions and Price Risk Flags for Non‑Winning Products

Taiyuan, China – 17 Sep 2026 – The Shanxi Provincial Healthcare Security Bureau (Jin Yi Bao Han [2026] No. 72) notified that, effective 15 October 2026, the province will uniformly implement the winning results of the National Traditional Chinese Patent Medicines (TCM) Procurement Alliance’s Fourth Batch centralized procurement (ZCYLM‑2026‑1) and Second Batch follow‑up procurement (ZCYLM‑2026‑2), covering all public medical institutions — including military hospitals — plus participating insurance‑designated private institutions and pharmacies, under a procurement cycle running to 31 December 2028.

Implementation Snapshot

ItemDetail
AuthorityShanxi Provincial Healthcare Security Bureau, China
DocumentJin Yi Bao Han [2026] No. 72 – Notice on implementing national TCM alliance winning results
BatchesNational TCM Procurement Alliance Fourth Batch (ZCYLM‑2026‑1) and Second Batch follow‑up (ZCYLM‑2026‑2)
Institutional ScopeAll provincial public medical institutions (incl. military), participating insurance‑designated private institutions and designated pharmacies
Execution Date15 October 2026, province‑wide
Procurement Cycle15 Oct 2026 – 31 Dec 2028; first year through 14 Oct 2027; agreements signed annually, renewal volumes in principle no less than prior year
Supply RuleWinning enterprises supply at winning prices beyond agreed volumes until cycle expiry

Price Execution & Platform Measures

  • Listing & Tripartite Agreements: The provincial drug and device procurement center will list winning products at winning prices and organize tripartite contracts among winning manufacturers, distributors and medical institutions per volume‑based procurement (VBP) rules.
  • Listing Suspensions: Within the same procurement group (administration route), products already listed provincially but not declared in winning enterprises’ “supply lists” will be suspended from listing — except products containing both natural bezoar and natural musk.
  • Price Risk Flags: Non‑winning products, and natural bezoar/musk products outside winning supply lists, will carry price risk warning markers on the platform.

Usage, Assessment & Monitoring Requirements

  • Rational Use Mandate: Medical institutions must prioritize winning products and fulfill agreed volumes, while avoiding concentrated bulk purchasing of winners and any “one‑size‑fits‑all” cutoff of non‑winning products; where winning products force brand switches for patients, dedicated department and staff training plus patient explanation work is required.
  • Assessment Design: Winning‑product procurement and use enter institutional performance assessments; non‑winning products priced below the lowest winning price are excluded from execution assessment; drug volumes in special‑need and international medical services (outside basic insurance payment) are excluded from monitoring; same‑name/dosage/specification products of one winning enterprise with compliant price differentials across package sizes may be assessed on a merged basis — a rule extendable to other national TCM alliance batches.
  • Supply & Compliance Monitoring: Insurance departments will monitor winning‑enterprise supply and hospital execution, using reminders and accountability interviews for supply shortfalls, with escalation reporting for major quality or supply problems; institutions showing below‑schedule progress, markedly low winning‑product share, or “buying high, not low” will face notification, with further measures for inadequate rectification.
  • Policy Coordination: Procurement, supply assurance, payment settlement, insurance reimbursement and quality management responsibilities are assigned across relevant units to ensure the results take full effect.

Sector Background

  • National TCM Alliance: Led cross‑province centralized procurement of traditional Chinese patent medicines, extending VBP beyond chemical drugs into the TCM segment — one of China’s largest pharmaceutical categories by prescription volume.
  • Follow‑up (接续) Procurement: Successor rounds that re‑tender expiring batch agreements, stabilizing prices and supply continuity for previously procured products.
  • Supply‑List Mechanism: Winning enterprises declare distributable product lists that determine which comparable items remain listed — a lever to steer hospital purchasing toward winners without formally banning alternatives.

Market Impact & Outlook

  • Price Reset for TCM Makers: From 15 October, winning manufacturers gain contracted volume across Shanxi at alliance‑set prices, while non‑winners face platform flags or suspension — reshaping competitive positions per procurement group.
  • Volume Security for Winners: The “winning price applies beyond agreed volumes until cycle end” clause protects hospitals’ upside demand without further negotiation, and annual renewals anchored at no‑less‑than‑prior volumes give winners multi‑year visibility.
  • Compliance Watchpoints: Distributors and manufacturers should verify supply‑list inclusion, prepare tripartite contracts, and track the natural bezoar/musk exemption — the notable carve‑out reflecting scarcity‑driven pricing in premium TCM materials.
  • Replication Signal: The merged‑assessment approach and its extension to other alliance batches may preview softer, more practical execution metrics for TCM VBP nationwide.

Forward‑Looking Statements
This brief contains forward‑looking statements regarding the implementation of national TCM alliance procurement results in Shanxi, including price adjustments, listing actions and procurement volumes. Actual execution depends on platform operations, enterprise supply performance, institutional compliance and assessment outcomes, and may differ materially from current expectations.-China Health Reform Pulse

Policy Source: https://ybj.shanxi.gov.cn/xxfb/xxgkml/202609/t20260918_10222979.html

China’s NHSA Launches Work Plan for First National Medical Insurance Medical Service Catalogue – 13 Clinical Categories in Batch One Reshape Reimbursement Rules for Providers Nationwide

Beijing, China – 16 Sep 2026 – China’s National Healthcare Security Administration (NHSA) released the Work Plan for Formulating the First Batch of the National Basic Medical Insurance Medical Service Item Catalogue, establishing a unified national catalogue of reimbursable medical service items — starting with 13 clinical categories including cardiovascular, respiratory, ophthalmology, gynecology, radiotherapy, anesthesia, nursing, clinical scale assessment, dental implants, assisted reproduction, obstetrics, radiological examination, and rehabilitation — to be applied first to cross‑province direct settlement and then progressively aligned with provincial payment scopes.

Policy Snapshot

ItemDetail
AuthorityNational Healthcare Security Administration (NHSA), China
DocumentWork Plan for Formulating the First Batch of the National Basic Medical Insurance Medical Service Item Catalogue
Release Date16 September 2026
Legal BasisHealthcare Security Law of the PRC; CPC Central Committee & State Council Opinions on Deepening Healthcare Security System Reform; 1999 MOHRSS rules on diagnostic/treatment item management
First Batch Scope13 categories (incl. related items in other categories), to be expanded in batches alongside the national medical service price project listing guidelines
Initial ApplicationCross‑province direct settlement for out‑of‑town treatment; subsequently linked with provincial insurance payment scopes

Inclusion & Exclusion Criteria

  • Inclusion Baseline: Items must be listed in the current national medical service price project listing guidelines (trial), be clinically necessary, safe, effective and appropriately priced, and pose controllable impact on basic medical insurance fund expenditure without threatening fund security.
  • Explicit Exclusions: Items subject to market‑regulated pricing; non‑disease‑treatment services such as cosmetic procedures, weight loss, health checkups, prevention and wellness; services with insufficient clinical application, uncertain efficacy, or major safety risks; and anything else outside the basic insurance coverage scope.
  • Guiding Principle: The catalogue adheres to the “basic coverage” positioning of basic medical insurance — acting within capability, keeping total volume stable, and ensuring smooth transition, weighing fund affordability, clinical demand and social impact.

Work Program – Three Phases

  • Preparation Phase: Establish a dedicated task force and expert database; finalize work rules covering integrity, confidentiality and conflict‑of‑interest recusal; collect provincial data on price‑listing implementation, service pricing and payment status; and run fund modeling on the first batch’s insurance expenditure and the overall national cost envelope for medical services.
  • Review Phase: A survey across representative medical institutions at all levels in 31 provinces (regions, municipalities) plus the Xinjiang Production and Construction Corps; joint review by management and clinical experts scoring each item on inclusion merit, health benefit, clinical need, equity and cost‑effectiveness; expert discussion of restricted payment scopes; and a fund impact assessment with local insurance authorities before shortlisting items.
  • Publication Phase: The first‑batch catalogue is finalized based on expert opinions and fund impact modeling, submitted for approval per procedure, then issued to guide local implementation.

Governance & Expert Oversight

  • Expert Composition: Reviewers — insurance management, price management, health economics/HTA and clinical experts — are recommended by relevant departments or randomly drawn from the expert pool, with geographic balance, representation across institution types and tiers, and inclusion of primary‑care institution representatives.
  • Clinical Reviewer Scope: Clinical experts evaluate items only within their specialty fields.
  • Supervision Mechanisms: Disciplinary inspection and supervision bodies are invited to oversee preparation, review and publication; internal controls mandate role accountability, confidentiality, recusal and liability rules; experts sign non‑disclosure agreements, must commit to impartial service, are barred from unauthorized public activity in the catalogue‑expert capacity, and all proceedings are fully documented to preserve independence.

Market Impact & Outlook

  • Reimbursement Architecture: A unified national service catalogue replaces the current patchwork of provincial coverage lists — a structural shift for hospitals’ revenue predictability and for cross‑province settlement efficiency serving China’s large migrant population.
  • Provider Strategy: Medical institutions should map their service portfolios against the 13 first‑batch categories and the inclusion criteria, anticipating which items may face restricted payment scopes or exclusion as market‑priced services.
  • Sector Winners & Watchpoints: Categories inside the catalogue — notably dental implants, assisted reproduction, rehabilitation and radiotherapy — gain clearer reimbursement visibility, while cosmetic, wellness and weight‑loss services are explicitly ring‑fenced outside basic insurance.
  • Phased Expansion: Subsequent batches will follow the rollout of national price project listing guidelines, signaling a multi‑year build‑out toward full national standardization of insured medical services.

Forward‑Looking Statements
This brief contains forward‑looking statements regarding the formulation, approval and implementation of China’s national medical insurance medical service item catalogue. The work plan remains subject to consultation, expert review and fund impact assessment; the final catalogue composition, payment restrictions, effective dates and local implementation may differ materially from current expectations.-China Health Reform Pulse

Policy Source: https://ylbz.gansu.gov.cn/ylbzj/c105248/202609/174394881.shtml