A new policy will take effect next month to help poor families cope with medical expenses, Shanghai civil affairs authorities announced yesterday.

“The demand of medical assistance from people with financial difficulties is urgent and the policy aims to ease their financial burden,” said Gui Yucai, deputy director of the Shanghai Civil Affairs Bureau.

The medical assistance will cover 90 percent of inpatient medical expenses for families who live on subsistence allowances, up from the current 80 percent coverage, according to the bureau. Meanwhile, maximum annual assistance will be lifted to 130,000 yuan (US$19,637) per person, up from the current 80,000 yuan.

Also for the first time, families suffering from financial difficulties because of medical treatment will be included in the assistance scheme.

In addition, 50-percent assistance will be applied to families whose per capita disposable income, assets, and yearly medical treatment expenses reach a certain amount, according to the bureau.

The inpatient deposit on people who live on subsistence allowances will be exempted, while low-income families will only be required to pay a 50-percent inpatient deposit, according to the new policy.