Determinants of health insurance premium rates following main factors: the disease incidence, the incidence of disability, disease duration, interest rate, cost rate, failure rate and death rate. Other factors such as show business way, underwriting practices, claims the company’s main principles and objectives will also affect the health insurance premiums.

Hospital management and medical treatment, economic development, geographical and environmental conditions change, then the same to our forecast of future indemnity impact, but these factors do not easily complete and accurate. The principle of step rates. The principle of annual changes in rates. The principle of balance of premiums.

They all have their own advantages, but they must also consider the risk estimates, payments, profits, and other passive safety factor and so on.

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