Medical assistance fund refers to the medical assistance fund for serious illness, which is a prescribed fund to pay the hospitalization expenses for serious illness other than social basic medical insurance. The establishment of medical assistance fund is to make up for the deficiency of social medical insurance and prevent the insured from becoming poor due to illness. The use of the fund is not limited to a certain disease or hospitalization times, but is determined according to the actual situation of the patient's hospitalization medical expenses.

The sources of relief funds mainly include: funds extracted according to a certain proportion of compulsory insurance premium for motor vehicle traffic accident liability; Financial subsidies given by local governments according to the amount of business tax paid by insurance companies for compulsory insurance; Fines for motor vehicle owners and managers who fail to apply for compulsory insurance in accordance with regulations; Income from the rescue fund; The funds recovered by the relief fund management institution from the person responsible for the motor vehicle road traffic accident according to law; Social donation; Other funds.

Legal basis: Article 2 of People's Republic of China (PRC) Medical Insurance Regulations.

The following units in cities and towns and their employees must participate in the basic medical insurance in accordance with these regulations:

(1) Enterprises and their employees;

(2) Organs, institutions, intermediaries, social organizations, private non-enterprise units and their employees;

(3) Employers of troops without military status and their employees.