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KMID : 1170320200260040047
Korean Journal of Health Economics and Policy
2020 Volume.26 No. 4 p.47 ~ p.72
The effects of long-term care insurance on the utilization of long-term care facility by inpatients in long-term care hospitals
Cho Yoon-Min

Kwon Soon-Man
Abstract
The public Long-term Care Insurance (LTCI) was introduced in July 2008. The main purpose of LTCI is to contribute to healthy aging of older people by providing timely and appropriate care services. Furthermore, it is expected to improve the distributional efficiency by reducing older people¡¯s social admissions, which is considered medically unnecessary, due to social reasons such as an absence of the in-home caregiver.
This study aimed to evaluate the effects of the LTCI introduction on utilization of long-term care facility (LTCF) by inpatients in long-term care hospitals (LTCH). In particular, whether the medical fee reduction, which is the penalty for extended hospital stays, has affected the LTCF uses by the LTCH patients was evaluated.
The results showed that LTCF uses of the treatment group was 19.9% higher than that of the comparison group. In order to estimate the effect of the medical fee reduction policy, an interaction term between the policy treatment and medical fee reduction was introduced in the model. Study results indicated that the 5% reduction of the medical fee did not affect the use of LTCF of the treatment group while while a 10% reduction increased the LTCF utilization.
In conclusion, in order to improve the care continuity between medical services and long-term care and to reduce hospitalization with long-term stay, it is necessary to reform the medical fee reduction policy as penalty for long-term stay in long-term care hospital.
KEYWORD
long-term care insurance, long-term care hospital, social admission
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