Core Insights - The difference in contribution years between pension and health insurance is due to the distinct nature of risks they address, with health insurance requiring longer contribution periods to manage unpredictable medical expenses [1][6] Group 1: Health Insurance Contribution Years - Health insurance requires longer contribution years (20-30 years) compared to pension (15 years) because medical expenses are unpredictable and can occur at any time, necessitating a robust fund to cover sudden high costs [1][2] - The average hospitalization rate for insured individuals is 18.7%, indicating that 1 in 5 insured individuals will require hospitalization, with an average hospitalization cost of 12,000 yuan, of which approximately 70% is covered by the insurance fund [2][5] Group 2: Fund Allocation - The funds collected for health insurance are allocated primarily to mutual medical assistance, with 68% used for hospitalization reimbursements, 22% for outpatient major illness reimbursements, and 10% for general outpatient coverage [4][5] - The funds are strictly designated for medical reimbursements and cannot be diverted for other uses, ensuring that contributions are utilized effectively for healthcare needs [5] Group 3: Risk Management - Pension insurance deals with predictable longevity risk, allowing for a stable income post-retirement, while health insurance addresses uncertain disease risk, which can lead to significant and unpredictable medical expenses [6][7] - The minimum contribution years for health insurance are calculated based on life expectancy, medical expenditure trends, and the contribution cycle of insured individuals, ensuring that the fund can support long-term medical needs post-retirement [6][7]