Background: How health status affects residents’ purchase of commercial health insurance and whether social insurance will crowd out the demand of commercial health insurance are important issues related to the development of commercial health insurance. Further, this paper also attempts to answer why people with worse health buy less commercial health insurance through mechanism analysis.
Methods: We used Logit model to analyze the impact of self-rated health level on the purchase of commercial health insurance and the crowding out effect of participating in social health insurance on the purchase of commercial health insurance. In addition, we also successively introduced the respondents with worse and worse health status for regression analysis and analyzed the reasons why the poor health groups reduce the purchase of commercial medical insurance.
Results: When performing regression analysis on whether to purchase commercial health insurance, the regression coefficient of having social health insurance is -0.497 and the regression coefficient of self-rated health level is -0.182, but the health status has no significant impact on whether to have social health insurance.
Conclusions: The expansion of social basic health insurance has a restraining effect on the promotion of commercial health insurance, and self-rated health level has a negative impact on the purchase of commercial health insurance. The reason why individuals with poor health buy less commercial health insurance is that commercial insurance companies often refuse to cover individuals in poor health.
JEL: I11, G22