By establishing the medical insurance system for urban workers，new type of rural cooperative medical care system and medical insurance system for urban residents，Guangzhou has founded a universal health insurance for all citizens. Nevertheless，significant gap exists between urban and rural basic medical care and health service. Guangzhou，as the model city in southern China，confronts fast urbanization and population rapid flowing. It becomes more urgent for the government to integrate the medical health resources and the primary medical insurance systems of urban and rural areas. Hence，to achieve the merging of urban and rural basic health insurance system is essential to improve the universal health insurance system for all citizens. The paper argues for integrating the medical insurance system for urban residents with the new type of rural cooperative medical care system，and then exploring the merging path of medical insurance system for residents and medical insurance system for urban workers.