Legal analysis: if the annual income of the insured is lower than 80% of the minimum wage, the comprehensive annual income reduction of medical insurance is calculated according to 80% of the minimum wage; If the annual income of the insured is between 80% of the minimum wage and the minimum wage, the annual income of the comprehensive burden reduction of medical insurance shall be calculated according to the actual income. After the adjustment of the operation method for calculating the annual income of the applicable object of comprehensive burden reduction of medical insurance, the proportion of self-funded medical expenses to annual income and the burden reduction standard are still implemented in accordance with the relevant provisions of the Implementation Measures for Comprehensive Burden Reduction of Basic Medical Insurance for Urban Employees in Shanghai (Shanghai Medical Insurance [2004]126).

Legal basis: People's Republic of China (PRC) Social Insurance Law.

Article 2 The state establishes social insurance systems such as basic old-age insurance, basic medical insurance, industrial injury insurance, unemployment insurance and maternity insurance, so as to guarantee citizens' right to receive material assistance from the state and society in accordance with the law in case of old age, illness, industrial injury, unemployment and maternity.

Twenty-sixth basic medical insurance for employees, new rural cooperative medical care and basic medical insurance for urban residents shall be implemented in accordance with state regulations.

Twenty-eighth medical expenses that meet the basic medical insurance drug list, diagnosis and treatment items, medical service facilities standards and emergency treatment and rescue shall be paid by the basic medical insurance fund in accordance with state regulations.