This paper introduced the research works on all kinds of chain code used in image processing and pattern recognition and a new chain code named Improved Compressed Vertex Chain Code (ICVCC) was proposed based on Compressed Vertex Chain Code (CVCC). ICVCC added one code value compared with CVCC and adopted Huffman coding to encode each code value to achieve a set of chain code with unequal length. The expression ability per code, average length and efficiency as well as compression ratio with respect to 8-Directions Freeman Chain Code (8DFCC) were calculated respectively through the statistis a large number of images. The experimental results show that the efficiency of ICVCC proposed this paper is the highest and compression ratio is ideal.