Traditional Chinese medicine has its unique advantages over Western medicine in the treatment of chronic diseases, disease prevention and rehabilitation. Reasonable medical insurance payment system plays an important role in promoting the development of traditional Chinese medicine. The current medical insurance payment methods such as fee-for-service, DRG/DIP payment have significant characteristics of modern disease classification, with clinical biochemical, physical and pathological diagnosis. Traditional Chinese medicine pays attention to comprehensive analysis by the four examination methods as well as syndrome differentiation and treatment, emphasizes the holistic view, lacking efficacy indicators and standards. These differences need to be considered in the reform of medical insurance payment methods. The paper proposes to establish a value-based medical insurance payment system for the health of the insured, follow the laws and characteristics of the development of traditional Chinese medicine, explore to establish a medical insurance payment system based on value, give full play to the advantages of traditional Chinese medicine in "simplicity, convenience, testing, and cost-effectiveness", as well as syndrome differentiation and treatment, and provide some reference on promoting the development of traditional Chinese medicine in terms of medical insurance payment methods.