[2020 National Audit] Ruling and Opposition Parties "Health Insurance Financial Management is Important"... Corporation "Non-Covered Services Management, Key to Moon Care"

Kim Yong-ik, President of the National Health Insurance Service, is responding to questions from lawmakers at the National Health Insurance Service and Health Insurance Review and Assessment Service audit held by the Health and Welfare Committee of the National Assembly in Yeouido, Seoul on the 20th.

[Asia Economy Reporter Choi Dae-yeol] Both ruling and opposition party lawmakers have voiced a consensus on the need to manage the National Health Insurance (NHI) finances more prudently during the process of strengthening coverage, known as Moon Jae-in Care. Kim Yong-ik, the chairman of the National Health Insurance Service (NHIS) and regarded as the architect of Moon Care, clearly stated that he will focus on reducing overall medical expenses by strengthening control over non-reimbursable items.

At the NHIS audit held on the 20th, Kang Ki-yoon, a member of the People Power Party, pointed out, "Health insurance must be sustainable, and no policy should end as mere populism," adding, "Moon Care was implemented, but the government has not fulfilled its responsibilities properly, resulting in increased burdens on the public." Jeon Bong-min, also from the same party, said, "Since Moon Care, revenues have decreased and expenditures have increased," and noted, "The problem is that although coverage has been strengthened, the actual burden of medical expenses has not been alleviated."

Moon Care was a campaign pledge of President Moon Jae-in, and while the opposition party had strongly opposed the policy itself in the past, this year’s first audit after the new National Assembly was formed focused on acknowledging the policy but pointing out issues in its implementation process. Opposition lawmakers criticized the government for providing support far below the legally mandated national treasury contribution and highlighted that non-reimbursable medical treatments have not decreased even after Moon Care.

On the ruling party side, while acknowledging that medical expense burdens have decreased mainly for vulnerable groups such as low-income households after Moon Care, they emphasized the need for more prudent financial management to ensure sustainability going forward. Heo Jong-sik, a member of the Democratic Party of Korea, said, "With the expansion of coverage, there are cases of excessive medical treatment," adding, "We must suppress and prevent excessive treatments and the development of non-reimbursable services." Kim Sung-joo, also from the same party, stated, "We need to move in the right direction by increasing benefits for the people while considering sustainability."

Kim Yong-ik, who participated in the past integration process of health insurance and laid the foundation for Moon Care, emphasized that as aging progresses, medical expenses will inevitably increase, and he will focus more on managing non-reimbursable items. Chairman Kim said, "The core of the coverage expansion policy is to convert medically necessary non-reimbursable services into reimbursable ones, and it is essentially a battle against the 'non-reimbursable balloon effect,'" adding, "The success or failure of Moon Care depends on whether non-reimbursable services are controlled."