The multipath error is the primary pseudorange measuring error factor in Compass system, in dual-frequency positioning mode, it is difficult to be eliminated by modeling methods, and on the contrary, it is always amplified because of the combination of measuring error. As a result, certain kind of user terminal has lower vertical positioning precision under dual-frequency mode than under single-frequency mode. This paper makes simulation of the impact of multipath error on pseudorange UERE under single-band mode and dual-band mode, obtains the interrelation of ionosphere modeling error, multipath error and the vertical positioning precision of single-band and dual-band respectively. This paper extracts multipath error in pseudorange of GEO and IGSO satellite by pseudorange carrier phase combination method, and uses the ionosphere delay calculated by dual-band carrier phase measurements as a benchmark, makes assessment of the ionosphere delay calculated by dual-band pseudorange combination method and ionospheric delay model correction method, analyses the amount of error correction brought into the Compass system by pseudorange of distinct orbit satellite. Data processing results show that, under current multipath mitigation measures, the pseudorange multipath error will cause that the error of GEO satellite ionosphere delay correction measured by dual-band is larger than by single-band, make a reasonable interpretation of the phenomena that dual-band vertical positioning accuracy is lower than single-band vertical positioning accuracy, and the ionospheric delay correction errors brought by pseudorange multipath error of GEO satellites are greater than the IGSO satellites, verify the phenomenon of “standing multipath error” brought by GEO satellite orbital characteristics.