Concrete-face rockfill dams have gradually become the preferred dam type in the engineering community. This study presents a hydropower station in China as a case study to introduce a new type of embedded concrete-face rockfill dam. The static and dynamic stress–strain characteristics of the proposed and conventional concrete-face rockfill dams were compared, and the optimal height of the embedded concrete body at the hydropower station was determined. The results indicate that, under static conditions, the embedded concrete body could reduce deformation upstream and downstream of the rockfill body, eliminate tensile stress along the concrete-face slab slope, reduce concrete-face slab deflection, and increase the maximum deflection area to 0.47 times the dam height. The inhibitory effect of the embedded concrete body on the stress and strain of the dam body became more evident as the size of the embedded body increased. Although the embedded concrete body did not enhance the dynamic and superposed static–dynamic stress states of the embedded concrete body and rockfill, the stress and strain increase in the dynamic state were within a controllable range. Through a sensitivity analysis and considering the terrain conditions and engineering cost of the hydropower station, the height of the embedded concrete body is recommended to be 0.4 times the dam height.