COVID-19 Severe Patient Treatment Costs, Minimum 55 Million Won

NHIS Simulation Results
80% Covered by Health Insurance…20% Supported by Government

Gachon University Gil Medical Center announced that a severe patient who was diagnosed with COVID-19 in Daegu last month and transferred to Incheon was discharged on the 24th after receiving inpatient treatment for a month in a nationally designated bed at Gil Medical Center. <이미지:연합뉴스>

[Asia Economy Reporters Choi Dae-yeol, Kim Heung-soon, Jo Hyun-ui] An estimate has emerged that it costs at least 55 million KRW to treat a severe patient with the novel coronavirus infection (COVID-19). Since severe patients are treated in isolation, the longer the hospitalization period, the higher the medical expenses are likely to be. On the other hand, medical expenses for mild patients are expected to be between 3 million and 4 million KRW. Although medical expenses can reach tens of millions of KRW depending on symptoms, most are covered by health insurance, so the patient’s burden is very low.

According to the simulation results of COVID-19 patient medical expenses conducted by the National Health Insurance Service (NHIS) on the 25th, the average cost for moderate to severe patients is estimated to be about 11.96 million KRW. This figure was calculated assuming an average daily medical expense of 650,000 KRW and an average hospitalization period of 18.4 days. For mild patients, the cost is lower. At hospital-level facilities, the average daily cost is 180,000 KRW, and assuming the same hospitalization period of 18.4 days, the medical expense is estimated at 3.31 million KRW. At general hospital-level facilities, where fees are somewhat higher, the cost is around 4.78 million KRW.

Medical expenses for severe patients in poor condition are at least 55 million KRW, averaging around 70 million KRW. Severe patients are expected to have relatively longer hospital stays and receive intensive care while isolated in large hospital isolation rooms, which is why medical expenses are expected to be high. Although more than 5,000 confirmed patients are still being treated in isolation and medical expense reviews are ongoing, the NHIS conducted the simulation to gauge the impact on health insurance finances according to the scale of patients.

Medical staff are treating severe COVID-19 patients in the intensive care unit of a hospital in Bergamo, Lombardy, northern Italy, where a large number of novel coronavirus (COVID-19) cases have been concentrated, on the 17th (local time).

Assuming 10,000 COVID-19 Patients, Total Medical Expenses Estimated at 82.2 Billion to 89.5 Billion KRW
Mild Patients, Accounting for About 80% of Confirmed Cases, Estimated at 3 to 4 Million KRW
Insurance Coverage Varies Widely Overseas…Some Countries Require Foreigners to Pay Out-of-Pocket

Although there are some differences depending on hospitalization status, hospital scale, and insurance enrollment, the NHIS expects that about 80% of the total medical expenses will be covered by health insurance. According to the NHIS, if the number of domestic patients is around 10,000, total medical expenses are estimated to be between 82.2 billion and 89.5 billion KRW. If the total number of patients increases to 15,000, medical expenses could reach up to 134.3 billion KRW. According to health authorities and the medical community, mild patients are estimated to account for more than 80% of domestic cases. The number of moderate to severe patients has recently remained at around 80 to 90.

Although medical expenses per patient reach hundreds of thousands to tens of millions of KRW, the patient’s burden is almost none. For Korean nationals, since virtually all patients are covered by insurance, about 80% of the cost is borne by insurance, and the remaining 20% is covered by government funds under the Infectious Disease Control and Prevention Act. Even if not insured, the government covers the medical expenses. The same applies to foreigners. This is because if the cost burden causes patients to hide their infection or avoid treatment, the risk of spreading the infection to others and causing greater damage increases.

Unlike South Korea, where treatment costs are almost free, the personal burden is high overseas. Recently, U.S. President Donald Trump announced, "We will waive out-of-pocket costs and expand insurance coverage," but in the U.S., the burden varies depending on whether one has insurance and the type of insurance. According to foreign media, uninsured patients incurred costs of $34,927 from hospitalization to discharge. In China, which mainly relies on private medical insurance, support varies according to policy terms, and in Singapore, Vietnam, and the United Kingdom, domestic patients receive free treatment, while foreigners are required to pay out-of-pocket.

This content was produced with the assistance of AI translation services.