Abstract:Through the analysis of operating conditions of urban-rural integration of residents’ basic health insurance in Changshu from 2009 to 2010,the following results were found:insurance rate of urban and rural residents in Changshu were at a high level,total financing and benefit level of the insured residents increased year by year,disease burden of the insured residents significantly declined. However,the use of the fund was under pressure and the actual compensation ratio should be further improved. The article suggested that the aging population of the insured residents should be reasonably dealt with,the growth mechanism of financing should be continuingly improved,and the actual compensation ration should be increased. Development of the rural health service system should be strengthened. Supervisory capacity of services should be enhanced and unreasonable growth of medical expenses should be controlled.