China Intensifies Crackdown on Medical Insurance Fraud in Mental Health Sector

China's National Healthcare Security Administration is targeting medical insurance fraud in mental health institutions. Following reports of free services offered in Hubei, provincial departments must improve oversight and compliance. Institutions are required to inspect and rectify issues, submitting reports by March's end.


Devdiscourse News Desk | Shanghai | Updated: 05-02-2026 15:12 IST | Created: 05-02-2026 15:12 IST
China Intensifies Crackdown on Medical Insurance Fraud in Mental Health Sector
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In response to media reports of hospital incentives for patients in Hubei, China has initiated a sweeping crackdown on medical insurance fraud within mental health facilities. The National Healthcare Security Administration (NHSA) announced measures to tighten controls and eliminate misuse of funds across all provinces.

Provincial departments have been instructed to use recent media exposures and inspection outcomes as educational tools to enforce compliance in mental health institutions. Local officials will be held accountable to ensure stringent management practices are upheld.

By the end of March, institutions are required to perform thorough inspections of their facilities to address any malpractice and non-compliance. Reports of these measures must be submitted to the NHSA, marking a significant push towards transparency and accountability in the health sector.

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