South Korea Healthcare Insurance Market Report 2022 to 2030

South Korea Healthcare Insurance Market Analysis

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The South Korean healthcare insurance market is projected to grow from $29.61 Bn in 2022 to $57.28 Bn by 2030, registering a CAGR of 8.6% during the forecast period of 2022 - 2030. The main factors driving the growth would be rising healthcare costs, increasing disposable income, government support and technological advancements. The market is segmented by the component, provider, coverage, by health insurance plans and end-user. Some of the major players include Samsung Life Insurance, Hanwha Life Insurance, Kyobo Life Insurance, KB Insurance and Cigna.

ID: IN10KRHS008 CATEGORY: Healthcare Services GEOGRAPHY: South Korea AUTHOR: Neha Davda

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South Korea Healthcare Insurance Market Executive Summary

The South Korean healthcare insurance market is projected to grow from $29.61 Bn in 2022 to $57.28 Bn by 2030, registering a CAGR of 8.6% during the forecast period of 2022 - 2030. The national health expenditures in South Korea as a percentage of GDP in 2019 were 8.16% or $2,624.53 per person. Healthcare spending continues to be below the OECD average despite consistent increases over the years.

The National Health Insurance Service (NHIS) administers South Korea's universal healthcare system. The NHIS, which is funded by payments from employers, employees, and the government, offers healthcare coverage to all South Korean citizens and residents who are in the country legally.

The NHIS insures about 97% of the population and dominates the South Korean market for health insurance. Prescription medications, preventive services, and outpatient and inpatient care are all covered by the NHIS. It also includes the long-term care, dental care and mental health services. In South Korea, in addition to the NHIS, private health insurance plans are also offered. Private health insurance plans often give additional coverage and benefits over and above supplied by the NHIS, such as faster wait times, access to premium hospitals and clinics, and better reimbursement rates for specific treatments.

South Korea Healthcare Insurance Market

Market Dynamics

Market Growth Drivers

The South Korean healthcare Insurance market is expected to be driven by factors such as:

Rising healthcare costs- In South Korea, healthcare cost has been increasing over the past few years as a result of factors such as growing demand for healthcare services, developments in medical technology, and higher compensation for healthcare professionals. This led to more people, particularly those from lower- and middle-class households, who require more comprehensive and affordable healthcare insurance coverage
Rising disposable income- Throughout the past few decades, South Korea has witnessed speedy economic expansion, which has increased the country's population's disposable income. Since private health insurance plans generally provide more extensive coverage and more flexibility than public insurance, more people are now able to afford them
Government support- The South Korean government has been actively working towards the expansion of the health insurance market, particularly in the private sector. This includes initiatives such as tax incentives as well as regulatory reforms aimed at boosting competition and transformation in the insurance market
Advancements in technology- South Korea's healthcare sector is renowned for its dedication to technology innovation, especially in fields like telemedicine, digital health, and personalised treatment. New healthcare insurance services and products have been created as a result, utilising cutting-edge technology to offer customers more individualised and effective healthcare coverage

Market Restraints

The following factors are expected to limit the growth of the healthcare insurance market in South Korea:

Inadequate reimbursement rates- The treatments that are covered by NHIS often have lower reimbursement rates than the actual cost of providing those services. As a result, the healthcare provider struggles with financial difficulties which often lead to a decrease in the quality and standard of services being offered
Limited transparency- There is limited transparency in terms of the pricing and reimbursement of healthcare services in South Korea. This is making it challenging for customers to compare prices and decide on their insurance coverage

Competitive Landscape

Key Players

Samsung Life Insurance (KOR)- It is South Korea's leading life insurer, providing a wide range of life and health insurance products to both individuals and businesses. They furthermore offer financial services like loans, pensions for retirees, funds, and trusts. To accomplish sustainability, they are dedicated to proactively addressing environmental, social, and governance (ESG) risk and opportunity
Hanwha Life Insurance (KOR)- Hanwha Life was founded in 1946 and is not only one of the top South Korean life insurance providers but also the first and oldest in the country. It offers life insurance as well as other relevant insurance services. Individual insurance, corporate insurance, and asset management are its three main business segments
Kyobo Life Insurance (KOR)- It offers life insurance services and products for both private individuals and businesses. The business provides health, pension, accident, and other insurance services so that clients can concentrate on long-term objectives and be compensated in an emergency
KB Insurance (KOR)- It offers credit and insurance services, as well as products for health, injuries, property, and vehicle insurance. Additionally, the business offers lending services such as home loans, credit loans, and loan insurance. Besides retirement, pensions, and savings products, KB Insurance also provides fire, marine, life, and personal pension insurance. The business is headquartered in Seoul, South Korea
Cigna- It is a US-based healthcare firm that operates in various international markets, including South Korea. It provides a variety of healthcare insurance products, such as medical insurance and insurance against serious illnesses

Notable Deals

April 2020- KB Financial Group has agreed to pay $1.89 billion for a 100% stake in Prudential Financial Inc's South Korean affiliate. The acquisition is being made in order to make its own life insurance company more competitive.

1. Executive Summary
1.1 Service Overview
1.2 Global Scenario
1.3 Country Overview
1.4 Healthcare Scenario in Country
1.5 Healthcare Services Market in Country
1.6 Recent Developments in the Country

2. Market Size and Forecasting
2.1 Market Size (With Excel and Methodology)
2.2 Market Segmentation (Check all Segments in Segmentation Section)

3. Market Dynamics
3.1 Market Drivers
3.2 Market Restraints

4. Competitive Landscape
4.1 Major Market Share

4.2 Key Company Profile (Check all Companies in the Summary Section)

4.2.1 Company
4.2.1.1 Overview
4.2.1.2 Product Applications and Services
4.2.1.3 Recent Developments
4.2.1.4 Partnerships Ecosystem
4.2.1.5 Financials (Based on Availability)

5. Reimbursement Scenario
5.1 Reimbursement Regulation
5.2 Reimbursement Process for Services
5.3 Reimbursement Process for Treatment

6. Methodology and Scope

Healthcare Insurance Market Segmentation

By Provider (Revenue, USD Billion):

It mainly includes healthcare insurance that provides safety against the increasing cost of medical treatments and in case of health emergencies such as critical illnesses. Hence, it is the best way to safeguard medical expenses.

Public
Private

By Coverage Type (Revenue, USD Billion):

In terms of sales and market share, it is anticipated to rule the market over the projection period. This is explained by a number of benefits provided by life insurance, including guaranteed death payout and permanent coverage. Additionally, investing in these kinds of plans enables working professionals to save taxes

Life Insurance
Term Insurance

By Health Insurance Plans (Revenue, USD Billion):

Health Maintenance Organization (HMO)
Preferred Provider Organization (PPO)
Exclusive Provider Organization (EPO)
Point of Service (POS)
High Deductible Health Plan (HDHP)

By Demographics (Revenue, USD Billion):

Minors
Adults
Seniors

There is a high prevalence of lifestyle disease in the adult population that can increase health risks in the future. The population is more prone to cardiac and other diseases that require hospitalization. Healthcare insurance plans for seniors are more of a necessity, especially in the case of retirement. Also, it carries various advantages such as no medical screening before buying plans, includes coverage of the outpatient department, and provides the benefit of fee annual checkups along with lifetime renewability.

By End-user (Revenue, USD Billion):

Individuals
?Corporates

A large number of people buy individual health plans as they are also customizable. Also, it gives more control over deductibles, co-pays, and benefits limits and is not dependent on employment status.

Methodology for Database Creation

Our database offers a comprehensive list of healthcare centers, meticulously curated to provide detailed information on a wide range of specialties and services. It includes top-tier hospitals, clinics, and diagnostic facilities across 30 countries and 24 specialties, ensuring users can find the healthcare services they need.

Additionally, we provide a comprehensive list of Key Opinion Leaders (KOLs) based on your requirements. Our curated list captures various crucial aspects of the KOLs, offering more than just general information. Whether you're looking to boost brand awareness, drive engagement, or launch a new product, our extensive list of KOLs ensures you have the right experts by your side. Covering 30 countries and 36 specialties, our database guarantees access to the best KOLs in the healthcare industry, supporting strategic decisions and enhancing your initiatives.

How Do We Get It?

Our database is created and maintained through a combination of secondary and primary research methodologies.

1. Secondary Research

With many years of experience in the healthcare field, we have our own rich proprietary data from various past projects. This historical data serves as the foundation for our database. Our continuous process of gathering data involves:

Analyzing historical proprietary data collected from multiple projects.
Regularly updating our existing data sets with new findings and trends.
Ensuring data consistency and accuracy through rigorous validation processes.

With extensive experience in the field, we have developed a proprietary GenAI-based technology that is uniquely tailored to our organization. This advanced technology enables us to scan a wide array of relevant information sources across the internet. Our data-gathering process includes:

Searching through academic conferences, published research, citations, and social media platforms
Collecting and compiling diverse data to build a comprehensive and detailed database
Continuously updating our database with new information to ensure its relevance and accuracy

2. Primary Research

To complement and validate our secondary data, we engage in primary research through local tie-ups and partnerships. This process involves:

Collaborating with local healthcare providers, hospitals, and clinics to gather real-time data.
Conducting surveys, interviews, and field studies to collect fresh data directly from the source.
Continuously refreshing our database to ensure that the information remains current and reliable.
Validating secondary data through cross-referencing with primary data to ensure accuracy and relevance.

Combining Secondary and Primary Research

By integrating both secondary and primary research methodologies, we ensure that our database is comprehensive, accurate, and up-to-date. The combined process involves:

Merging historical data from secondary research with real-time data from primary research.
Conducting thorough data validation and cleansing to remove inconsistencies and errors.
Organizing data into a structured format that is easily accessible and usable for various applications.
Continuously monitoring and updating the database to reflect the latest developments and trends in the healthcare field.

Through this meticulous process, we create a final database tailored to each region and domain within the healthcare industry. This approach ensures that our clients receive reliable and relevant data, empowering them to make informed decisions and drive innovation in their respective fields.