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Health-Care Reform in Korea

Author

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  • Randall S. Jones

    (OECD)

Abstract

Korea’s health-care system has contributed to the marked improvement in health conditions, while limiting spending to one of the lowest levels in the OECD through high patient co-payments and limited coverage of public health insurance. However, spending is now increasing at the fastest rate in the OECD. With continued upward pressure, not least from rapid population ageing, it is essential to boost efficiency by reforming the payment system, reducing drug expenditures, shifting long-term care out of hospitals, promoting healthy ageing and introducing gatekeepers. As the heavy reliance on social insurance payments for health will be an increasing drag on employment as the population ages, it is necessary to raise the share of tax-based financing in conjunction with effective measures to keep spending in check. Measures to ensure adequate access for low-income households are a priority given the high out-of-pocket payments. Quality should be improved by enhancing transparency, promoting restructuring in the hospital sector and expanding the number of doctors. La réforme des soins de santé en Corée Le système de santé coréen a contribué à la nette amélioration de l’état de santé de la population, tout en limitant les dépenses à un niveau qui compte parmi les plus faibles de la zone de l’OCDE, les deux facteurs qui ont joué à cet égard étant la forte participation financière du patient et la couverture limitée de l’assurance-maladie publique. Néanmoins, les dépenses augmentent actuellement au rythme le plus rapide de la zone de l’OCDE. La tendance à la hausse étant appelée à se poursuivre, en particulier à cause du vieillissement rapide de la population, il est indispensable d’accroître l’efficience en réformant le système de paiement, en réduisant les dépenses pharmaceutiques, en ne confiant plus aux hôpitaux les soins de longue durée, en favorisant le vieillissement en bonne santé et en mettant en place un filtrage pour l’accès aux soins. Puisque, du fait du vieillissement de la population, le poids accordé aux paiements d’assurances sociales pour le financement du système de santé constituera de plus en plus un frein pour l’emploi, il est important d’accroître la part du financement de source fiscale. Il faut prioritairement assurer un accès correct des ménages à bas revenu, étant donné le niveau élevé des versements directs. Il faudrait améliorer la qualité des soins en instaurant plus de transparence, en favorisant la restructuration du secteur hospitalier et en augmentant les effectifs de médecins.

Suggested Citation

  • Randall S. Jones, 2010. "Health-Care Reform in Korea," OECD Economics Department Working Papers 797, OECD Publishing.
  • Handle: RePEc:oec:ecoaaa:797-en
    DOI: 10.1787/5kmbhk53x7nt-en
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    Citations

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    Cited by:

    1. Young Suk Yoon & Boyoung Jung & Dongsu Kim & In-Hyuk Ha, 2019. "Factors Underlying Unmet Medical Needs: A Cross-Sectional Study," IJERPH, MDPI, vol. 16(13), pages 1-19, July.
    2. repec:ilo:ilowps:486945 is not listed on IDEAS
    3. Eunkyoung Kim & Soonman Kwon, 2021. "The effect of catastrophic health expenditure on exit from poverty among the poor in South Korea," International Journal of Health Planning and Management, Wiley Blackwell, vol. 36(2), pages 482-497, March.
    4. Messenger, Jon C. & Vidal, Patricia., 2015. "The organization of working time and its effects in the health services sector : a comparative analysis of Brazil, South Africa and the Republic of Korea," ILO Working Papers 994869453402676, International Labour Organization.
    5. Minhye Kim & Suzin You & Jong-sung You & Seung-Yun Kim & Jong Heon Park, 2021. "Income-Related Mortality Inequalities and Its Social Factors among Middle-Aged and Older Adults at the District Level in Aging Seoul: An Ecological Study Using Administrative Big Data," IJERPH, MDPI, vol. 19(1), pages 1-17, December.
    6. Sanggon Na & Soonman Kwon, 2015. "Building Systems for Universal Health Coverage in South Korea," Health, Nutrition and Population (HNP) Discussion Paper Series 98266, The World Bank.
    7. Lim, Seunghoo & Lee, Keon-Hyung & Suh, Hae Sun & Bae, Kwi-Hee, 2014. "To whom do bureaucrats need to respond? Two faces of civil society in health policy," Social Science & Medicine, Elsevier, vol. 123(C), pages 269-277.
    8. Lim, Kyoung Mook, 2020. "Public provision of health insurance and aggregate saving in an overlapping generations model with endogenous health risk: The South Korean case," Economic Modelling, Elsevier, vol. 91(C), pages 233-246.

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