NHIS to Reduce Recovery Amounts for Voluntary Reports of Illegally Established Institutions

The National Health Insurance Service announced on September 22 that it will operate a two-month intensive and voluntary reporting period for illegally established medical institutions and pharmacies until November 21.


Voluntary Reports of Office Manager Hospitals and License-Rented Pharmacies Accepted Until November 21 View original image

Illegally established institutions refer to medical facilities or pharmacies that are opened and operated by individuals who are not qualified to do so, by hiring licensed medical professionals or pharmacists. These are commonly known as "office manager hospitals" or "license-rented pharmacies." Such illegal activities lead to financial leakage in the health insurance system, threaten public health rights, and seriously undermine the order of medical services.


The government has previously stated that it will strengthen crackdowns on office manager hospitals to stabilize the health insurance budget, as part of its national agenda to transition to a sustainable healthcare system.


In response, the National Health Insurance Service is operating an online "Illegal Establishment Suspicion Reporting Center" on an ongoing basis to detect office manager hospitals and license-rented pharmacies, and from today, it will also accept intensive and voluntary reports. Suspected illegally established institutions can be reported through the National Health Insurance Service website or the "The Health Insurance" mobile app, as well as through the Anti-Corruption and Civil Rights Commission.


According to the public whistleblower reward system, general citizens may receive rewards of up to 5 million won, while internal employees may receive up to 2 billion won. Whistleblowers are protected in terms of identity, personal safety, and confidentiality, and will not suffer any disadvantages as a result of their report. In addition, those who voluntarily report illegally established institutions may receive a reduction in the amount to be recovered, in accordance with relevant regulations.



Heo Sujeong, Director of the Medical Institution Support Office at the National Health Insurance Service, stated, "Illegally established institutions are a serious crime that threatens the health and safety of the public and undermines the soundness of the health insurance budget," and added, "The National Health Insurance Service will work closely with related organizations such as the Anti-Corruption and Civil Rights Commission to ensure that the identity and rights of public whistleblowers are thoroughly protected."


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

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