What does the social security pooling fund mean?

There are some differences between medical insurance pooling funds and individual accounts:

1. Personal account refers to a special fund account set up by medical insurance institutions for individuals participating in basic medical insurance to record their medical insurance financing and pay medical expenses;

2. Overall account refers to the remaining part of the medical insurance premiums paid by all employers for employees in a certain overall area after deducting personal accounts.

That is to say, the funds in individual accounts can be used by individuals alone, while the funds in overall accounts belong to group insured persons, which are managed centrally and used uniformly by social insurance agencies.

The medical insurance pooling fund refers to the part of the medical insurance expenses paid by the employer. Part of the medical insurance fee paid by the employer is transferred to the personal medical insurance account, and the rest and interest become the overall fund. When the insured employee falls ill, the medical expenses within the scope of medical insurance can be reimbursed by the overall fund. The establishment of medical insurance pooling fund reflects social equity and is also conducive to reducing the burden on enterprises.