Shouting "Data Economy Era"... But Only Insurance Companies Refuse to Comply (Comprehensive)

Public Medical Data Use Sparks Medical and Labor Sector Backlash
"Only Benefits Private Companies' Profits"... "Concerns Are Excessive"

[Image source=Yonhap News]

[Asia Economy Reporter Oh Hyung-gil] Although a path has opened for insurance companies to utilize public medical data for the first time in four years, concerns are rising that it might be canceled again due to continuous opposition from the medical and labor sectors. Despite efforts by the government and private companies to revitalize the data economy, the use of data by the insurance industry is being socially perceived as particularly sensitive.

According to the insurance industry on the 13th, the Health Insurance Corporation Labor Union stated in a position paper on the 11th, "The medical data of the people accumulated for the purpose of health insurance business has been handed over to be used for product development aimed at maximizing profits for private insurance companies," and demanded, "Immediately stop providing medical data to private insurance companies."

Last month, six companies including Samsung Life, KB Life, Hanwha Life, Meritz Fire & Marine, Samsung Fire & Marine, and KB Insurance obtained final approval from the Health Insurance Review & Assessment Service (HIRA) to use public medical data.

The Health Insurance Labor Union criticized that insurance companies requested data on "analysis of major diseases and treatment history status of elderly patients" and "analysis of disease occurrence status and risk rates using treatment data of health insurance subscribers," arguing that these requests focus on expanding the insurance companies' profit structure.

They claimed, "By private insurance companies taking over national health promotion projects, public insurance is being eroded," and warned that the role of public insurance will disappear due to insurance companies' use of public data.

They added, "The Health Incentive System, a pilot project started by the Corporation in July this year, which supports healthy lifestyle practices, could be rendered powerless in front of private insurance healthcare products."

[Image source=Yonhap News]

The medical community is also opposing the transfer of medical information to insurance companies. The Health and Medical Organizations Coalition stated, "Insurance companies intend to use the data to launch products like in the U.S., where insurers directly manage chronic diseases, care for patients and the elderly, and even refer medical institutions," and emphasized, "It is unacceptable to hand over medical information to private insurance companies who desire it the most."

In response, the insurance industry rebutted that these concerns are excessive. An insurance industry official said, "By analyzing accurate information and treatment history of elderly patients who are in the blind spots of insurance, we can create customized products with appropriate coverage," adding, "While insurance premium revenue will be generated, the social role of insurance is not being considered at all."

In particular, the data that insurance companies can use is provided following review procedures stipulated by law, and since it is not personally identifiable information, there is no room for misuse. Nevertheless, opposition from the medical community continues. This is also linked to the medical community's logic against the digitization of indemnity insurance claims.

Despite proposals from the insurance industry and government to digitize indemnity insurance claim documents submitted to insurance companies, the medical community has opposed for over a decade, arguing that insurance companies could misuse accumulated medical data.

An insurance industry official expressed frustration, saying, "Even though digitizing indemnity insurance claims does not require new additional documents, opposition persists, which seems to reflect a particular sensitivity to insurance companies accumulating data," and added, "It is frustrating to see such backward standards being applied in an era when countries around the world are actively promoting the data economy, not just in Korea."

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