Insomnia has a high prevalence among Chinese population. Insomnia patients in China often doubt about the side effects of hypnotic medicine. They prefer complementary and alternative medical treatment. In Chinese medical hospital, insomnia patients receive acupuncture, herbs as well as qigong practice to cope with insomnia. In our department, we use the Sleep regulation Technique of Low Resistance State Thought Induction Psychotherapy (TIP) to treat patients. The objective of the study is to study the effect of sleep regulation technique of TIP treating insomnia accompanied by depression.30 patients were included at Psychology Department of Guangánmen Hospital between October 2008 and December 2010. We referred to DSM-[fx]° to make the diagnosis of depression and insomnia. Treatment lasted for 24weeks. The treatment frequency was 2 times per week at the beginning. 12weeks later, the frequency reduced to 1 times per week. Pittsburgh Sleep Quality Index (PSQI) and polysomnography (PSG) were tested prior and post treatment.24 patients completed the study in the end. Data from PSQI and PSG indicates the effect of treatment. Scores of PSQI in sleep quality, initiating sleep time, sleep time, sleep efficiency, sleep disorder, daytime function and the total score all decreased significantly (P<0.05 or 0.01); Data of PSG in sleep efficiency stage 3 percentage increased significantly (P<0.05); number of wake, stage 1 percentage and REM sleep percentage decreased significantly P<0.05 or 0.01.Sleep regulation technique of TIP can improve patients’ sleep quality in depression patients. It may has strong potential for application in China.National Natural Science Foundation of China.