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KMID : 1138920080070030055
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Health Insurance Forum
2008 Volume.7 No. 3 p.55 ~ p.81
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Reform of Entry Regulation to Healthcare Market in Korea
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Lee Key-Hyo
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Abstract
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In Korea, there are two types of entry regulation to healthcare market. Profit organizations and non-physician individuals are prohibited to own and operate health services organizations. And a physician can run only one business. This regulation brought on monopoly and oligopoly industry structure, lack of capital, low levels of linkage with other health industries, and a wide gap between consumer’s expectation to Korean healthcare industry.
This paper describes the concept and necessity of the entry regulation reform, and discusses various aspects of the scheme for it. Drawing on the comprehensive discussion, skeptical questions about entry regulation reform is assessed to either wrong or incomplete. Also, new policy approaches introducing for-profit healthcare organizations, and at the same time, regulating more sensibly and effectively all kinds of healthcare providers are suggested. In short, promoting competition through entry regulation reform will be very much crucial for increasing competitive power of healthcare industry, and based on it, for ensuring health security of Korean people.
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KEYWORD
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Reform, Entry Regulation, Healthcare Market, For-Profit, Cometition
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