The invention relates to an insomnia treatment medicine and a preparation method and application method thereof and belongs to the field of traditional Chinese medicines. The insomnia treatment medicine is prepared from seed of common jujube, root of multiprickle acanthopanax, root of thinleaf milkwort, Indian bread with hostwood, fruit of sharpleaf calangal, bark of silktree albizia, fruit of Chinese magnoliavine, root of ural licorice, ass-hide gelatin and antler glue. The insomnia treatment medicine is prepared from common Chinese herbal medicines, and accordingly has simple medicinal components which have synergistic effect of regulating and clearing five internal organs, tranquilizing the mind and promoting the intelligence, nourishing yin and tonifying yang. The preparation method and the application method are both simple; the medicine prepared by the method has the advantages of long preservation time, good portability, remarkable treatment effect, mild efficacy, low side and toxic effect and the like, can be applied to treatment of insomnia effectively, and is effective in therapy effect as proved by application to patients.