The meaning of medical insurance settlement is as follows:

Medical insurance settlement refers to the process that the basic medical insurance fund pays the medical expenses that should be borne by it. Specifically, the medical expenses incurred by the insured in medical institutions that meet the requirements of the basic medical insurance drug list, diagnosis and treatment items, medical service facilities standards, emergency treatment and rescue, etc., are directly settled with medical institutions and drug business units by social insurance agencies. This mechanism reduces the financial burden of the insured, enables them to get necessary medical services and drug support when diseases occur, and also ensures the rational use of medical insurance funds.

Basic concept and composition of medical insurance:

1. Medical insurance is a social insurance system; It is used to reduce the burden of medical expenses caused by personal diseases;

2. The medical insurance fund is mainly formed by the government, employers and individuals.

3. The types of medical insurance usually include medical insurance for urban workers and medical insurance for urban and rural residents.

4. The medical insurance reimbursement process generally includes medical treatment, settlement of medical expenses, submission of reimbursement application, review and disbursement of reimbursement funds;

5. The medical insurance policy will be adjusted according to different regions and years.

to sum up, medical insurance liquidation refers to the process that the basic medical insurance fund pays the eligible medical expenses of the insured, which not only reduces the economic burden of the insured, but also ensures the rational use of the medical insurance fund.

Legal basis:

Article 29 of the Social Insurance Law of the People's Republic of China

The part of the medical expenses of the insured that should be paid by the basic medical insurance fund shall be directly settled by the social insurance agency, medical institutions and pharmaceutical trading units. The administrative department of social insurance and the administrative department of health shall establish a settlement system for medical expenses in different places to facilitate the insured to enjoy the basic medical insurance benefits.