Introduction: Moral hazard is a special case of information asymmetry, a situation in which one party (principal) in a principal task has more information than another (agent). Moral hazard is the questionable ethical practice of increasing opportunity for the agent gain while shifting risk for loss to the principal. It is proved that the optimal incentives and restraint mechanism to an agent could provide efficient way to reduce moral hazard. This paper examines the characteristics of moral hazard from Assisted Reproductive Technology (ART) institute in China, and another objective how to efficiently reduce the occurrence of moral hazard. Material & methods: Review the literature on moral hazard related to the economic analysis, speculative philosophy on egoism and altruism, and epidemic characteristic, socioeconomic stats, health status, social and commercial health, and ethical and moral status in ART.