From the characteristics of the Chinese health-care market, the reimbursement mechanism for public hospitals was discussed after the  dispense was separated from Prescription (SDP) reform. Considering the optimal resource allocation, a signaling game model was used to balance between public hospitals and the government. According to the analysis of equilibrium between the two parties, it is found that the efficiency of separating equilibrium would decrease as the disguised cost and expected risk cost move downwards. In order to reach the completely successful separating equilibrium solution, the government should maintain the above two costs at high levels. It is pointed that relevant policies should focus on establishing association standard for the health-care industry as well as improving the supervision efficiency.