IDEAS home Printed from https://ideas.repec.org/a/bpj/apjrin/v7y2012i1p1-22n4.html
   My bibliography  Save this article

Projecting the Cost of Long-Term Care Insurance in Korea

Author

Listed:
  • Kwon Hyuk-Sung

    (Department of Statistics and Actuarial Science, Soongsil University)

  • Lee Chang-Soo

    (Department of Statistics and Actuarial Science, Soongsil University)

  • Hur Jun-Soo

    (School of Social Welfare, Soongsil University)

Abstract

These days aging population is a common phenomenon in most countries in the world. As a result, many countries are making great effort to improve the quality of life of elderly people after retirement. A long-term care insurance system is one of the products of those efforts. In the middle of year 2008, long term care insurance as a form of social insurance was introduced in Korea and has been providing various services for people who need assistance with daily living activities. A myriad of opinions from various perspectives such as finance and quality have been suggested for improvement of the system. In order to resolve problems and to reflect suggestions for the purpose of developing the system, the future demand and cost needs to be carefully estimated. Also, various important decisions associated with the insurance policy should be based on the results of the projection. This paper provides a case study of public long-term care insurance in Korea and discusses methods to make projections on the future costs of long-term care insurance.

Suggested Citation

  • Kwon Hyuk-Sung & Lee Chang-Soo & Hur Jun-Soo, 2012. "Projecting the Cost of Long-Term Care Insurance in Korea," Asia-Pacific Journal of Risk and Insurance, De Gruyter, vol. 7(1), pages 1-22, December.
    • Handle: RePEc:bpj:apjrin:v:7:y:2012:i:1:p:1-22:n:4
    DOI: 10.1515/2153-3792.1163
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/2153-3792.1163
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.1515/2153-3792.1163?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Rickayzen, B.D. & Walsh, D.E.P., 2002. "A Multi-State Model of Disability for the United Kingdom: Implications for Future Need for Long-Term Care for the Elderly," British Actuarial Journal, Cambridge University Press, vol. 8(2), pages 341-393, June.
    2. Karlsson, Martin & Mayhew, Les & Rickayzen, Ben, 2007. "Long term care financing in four OECD countries: Fiscal burden and distributive effects," Health Policy, Elsevier, vol. 80(1), pages 107-134, January.
    3. Karlsson, Martin & Mayhew, Les & Plumb, Robert & Rickayzen, Ben, 2006. "Future costs for long-term care: Cost projections for long-term care for older people in the United Kingdom," Health Policy, Elsevier, vol. 75(2), pages 187-213, January.
    4. Karlsson, Martin & Mayhew, Les & Rickayzen, Ben, 2007. "Long term care financing in 4 OECD countries: fiscal burden and distributive effects," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 34405, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Les Mayhew, 2017. "Means Testing Adult Social Care in England," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 42(3), pages 500-529, July.
    2. Joan Costa-Font & Martin Karlsson & Henning Øien, 2015. "Informal Care and the Great Recession," CINCH Working Paper Series 1502, Universitaet Duisburg-Essen, Competent in Competition and Health, revised Feb 2015.
    3. Hong Mi & Zhenzhen Yang & Tiantian Zhang, 2012. "Factors influencing Chinese long-term care," International Journal of Public Policy, Inderscience Enterprises Ltd, vol. 8(1/2/3), pages 31-42.
    4. Joan Costa‐Font & Martin Karlsson & Henning Øien, 2016. "Careful in the Crisis? Determinants of Older People's Informal Care Receipt in Crisis‐Struck European Countries," Health Economics, John Wiley & Sons, Ltd., vol. 25(S2), pages 25-42, November.
    5. Alain Paraponaris & Bérengère Davin & Pierre Verger, 2012. "Formal and informal care for disabled elderly living in the community: an appraisal of French care composition and costs," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 13(3), pages 327-336, June.
    6. Rinaldo Brau & Matteo Lippi Bruni, 2008. "Eliciting the demand for long‐term care coverage: a discrete choice modelling analysis," Health Economics, John Wiley & Sons, Ltd., vol. 17(3), pages 411-433, March.
    7. Mayhew, Les & Smith, David & Wright, Douglas, 2018. "The effect of longevity drift and investment volatility on income sufficiency in retirement," Insurance: Mathematics and Economics, Elsevier, vol. 78(C), pages 201-211.
    8. Guogui Huang & Fei Guo & Zhiming Cheng & Massimiliano Tani & Gong Chen, 2023. "Projections of Future Demand and Costs of Aged Care Services in China," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 42(4), pages 1-30, August.
    9. R. Tamara Konetzka & Daifeng He & Jing Dong & John A. Nyman, 2019. "Moral hazard and long-term care insurance," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 44(2), pages 231-251, April.
    10. Ruth Hancock & Marcello Morciano & Stephen Pudney & Francesca Zantomio, 2015. "Do household surveys give a coherent view of disability benefit targeting?: a multisurvey latent variable analysis for the older population in Great Britain," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 178(4), pages 815-836, October.
    11. William Lim & Gaurav Khemka & David Pitt & Bridget Browne, 2019. "A method for calculating the implied no-recovery three-state transition matrix using observable population mortality incidence and disability prevalence rates among the elderly," Journal of Population Research, Springer, vol. 36(3), pages 245-282, September.
    12. Comas-Herrera, Adelina & Wittenberg, Raphael & Pickard, Linda, 2003. "Making projections of long-term care: examples and methodological issues," LSE Research Online Documents on Economics 43294, London School of Economics and Political Science, LSE Library.
    13. Liangwen Zhang & Sijia Fu & Ya Fang, 2020. "Prediction the Contribution Rate of Long-Term Care Insurance for the Aged in China Based on the Balance of Supply and Demand," Sustainability, MDPI, vol. 12(8), pages 1-12, April.
    14. Schünemann, Johannes & Strulik, Holger & Trimborn, Timo, 2022. "Optimal demand for medical and long-term care," The Journal of the Economics of Ageing, Elsevier, vol. 23(C).
    15. Carole Bonnet & Sandrine Juin & Anne Laferrère, 2019. "Private Financing of Long‑Term Care: Income, Savings and Reverse Mortgages," Economie et Statistique / Economics and Statistics, Institut National de la Statistique et des Etudes Economiques (INSEE), issue 507-508, pages 5-24.
    16. Konstandatos, Otto, 2020. "Fair-value analytical valuation of reset executive stock options consistent with IFRS9 requirements," Annals of Actuarial Science, Cambridge University Press, vol. 14(1), pages 188-218, March.
    17. Brunton, Margaret & Jordan, Claire & Fouche, Christa, 2008. "Managing public health care policy: Who's being forgotten?," Health Policy, Elsevier, vol. 88(2-3), pages 348-358, December.
    18. J. Iñaki De La Peña & M. Cristina Fernández-Ramos & Asier Garayeta & Iratxe D. Martín, 2022. "Transforming Private Pensions: An Actuarial Model to Face Long-Term Costs," Mathematics, MDPI, vol. 10(7), pages 1-17, March.
    19. Elena Gentili & Giuliano Masiero & Fabrizio Mazzonna, 2016. "The Role of Culture in Long-term Care," IdEP Economic Papers 1605, USI Università della Svizzera italiana.
    20. Fuino, Michel & Wagner, Joël, 2018. "Long-term care models and dependence probability tables by acuity level: New empirical evidence from Switzerland," Insurance: Mathematics and Economics, Elsevier, vol. 81(C), pages 51-70.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:apjrin:v:7:y:2012:i:1:p:1-22:n:4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.