Korean Job Discussion Forums

[Epicurus]

http://www.koreatimes.co.kr/www/news/biz/2009/08/123_50730.html

this is relevant to the hysteria in the US today over Obama's health care overhaul proposals.

I'm no liberal, but I can't think of a finer example than THIS ONE of why a private profit incentive in health care is basically INCOMPATIBALE with the "public good".




By Yoon Ja-young
Staff Reporter

The number of cancer patients has been increasing steeply, with one in four Koreans suffering from the disease during their lifetime. On top of physical and mental shock, cancer places a huge financial burden on patients and families, at a time when insurance is most needed.

However, cancer insurance ― which could relieve them of their huge financial burden ― is disappearing from the market.

AIA Life, for example, will stop selling ``Onestop Cancer Insurance" and ``Lifetime Cancer Insurance" from Friday, while Tong Yang Insurance will withdraw ``Guardian Angel Homecare Cancer Insurance" from next month.

Large players such as Samsung, Korea Life, Kyobo, and ING Life stopped selling cancer policies a few years ago. Only six mid-tier life insurers ― Mirae Asset, Shinhan, Kumho, Hana HSBC, Woori Aviva and Lina ― now sell the specialized coverage.

The demise of the policies contrasts with the early 2000s, when they were the best-selling items among life insurers. In December 2003, for example, 16 life insurance companies were selling cancer insurance.

``In the past, it was hard to detect cancer at early stages since medical devices were not so good. Now, many people detect cancer at an earlier stage,'' said a spokesperson at Korea Insurance Consumer Federation.

The development of cancer treatment has also helped cancer patients, with sufferers now more likely to survive.

But it also means that it would take more money for cancer patients to get treatment. Consequently, they are requesting more money from insurance companies, pushing up loss ratios.

Hence, insurance companies have stopped selling cancer insurance. Instead, subscribers can add cancer coverage to other insurance policies.

However, these products are not offering as much protection as cancer insurance.

``Cancer-specialized insurance is better for consumers than other products that include cancer coverage, of course,'' said the spokesperson at the Korea Insurance Consumer Federation.

He said that insurance companies in other countries, including the United States, the United Kingdom and Australia, are continuing to sell cancer insurance, despite an increasing number of cancer patients.

``Insurance companies, of course, should seek profit as a business, but they should not forget that they exist for public benefit as well,'' the spokesperson said.

He suggested that insurance companies should raise premiums to make up for the rising loss ratio instead of scrapping the product completely from the market.

``Even those who have been cured of cancer can subscribe to insurance in other countries after a certain period of time. Life insurers here, however, are completely rejecting such people," the spokesperson said. ``They seem to be neglecting those who really need insurance, overlooking the other insurance function: for public good."

[Forward Observer]

I just got a supplemental health insurance policy that covers cancer from AIG.

On a side note, I recently heard that (LIFE INSURANCE) Korean companies have a lot of "conditions" that they try to find loopholes not to pay out life policies.

Does anyone here have any experience with researching Korean companies vs. international companies for life insurance? What do you recommend?

I have an F5 permanent resident visa, and my wife is Korean. That's the only reason I've considered Kumho and Samsung for life insurance.

Thanks

[bassexpander]

Got a policy from Samsung. It's about 120,000 per month. There is cancer coverage as a part of it.

The problem with these coverages is that once they reach a certain level of pay-out, you are dropped from the entire policy, and no Korean company will pick you up again. That's my mother-in-law's problem. She beat breast cancer, got a pay-out to cover most of the bills, and is unable to ever get insurance again.

[xingyiman]

[Spongebob Squarepants]

While we're on the topic of insurance could you other F visa people run your life insurance experiences by me.

I have a policy with Lina and my wife has one with AIG, our monthly premiums are 35,000ish and here's what I don't get, we are insured for a measly 100,000,000 won ($90,000).

When we signed up I was shocked at how low the payout would be if either of us were to die, but I was told by the company, and later my wife confirmed this by looking at other companies, that 100,000,000 is the normal maximum coverage (unless you're a CEO or something). We've seen ads on the home shopping channels for other companies that do 2 - 300,000,000 won but even that leaves me feeling that it's not enough.

Obviously back home you can insure yourself for millions of dollars (friends I have pay monthly premiums of $45 for coverage of $1,000,000), why the heck isn't it possible here?

I want to ensure that I have provided for my dependent (s) in this country if I were to die, but 90,000 is barely a couple years of my base salary here, and is a total joke.

Have any of you gotten coverage of say 3 - 500,000,000 won here, and if so with which company, and how much are your premiums (obviously they will differ with age, past history of health problems, etc but just as a guide)?

[benji]

[tzechuk]

I've got a couple of policies with Friends Provident that I have a broken arranged for me.

The thing I dislike the most about Korean insurance is that it is not transferrable. I looked into it and they said if I moved, my policy wouldn't move with me. So it's pointless - like throwing money away, really.

[Skippy]

What aspect of insurance do you not understand. Thing of it this way. Insurance is gambling - you are just making a bet that if you get cancer you win. The insurance company is the house - why would the house continue to pay out when the odds are against them. I totally understand many companies deciding to get out of the cancer insurance game.
Also, If the profit is so low or you are paying out so much why not stop! As to insurance with conditions once again like the casino. Why pay if the players hand is close to a straight but is not - because its the rules, you smoke you loose - you drink you loss.. Also those things in contracts that will disqualify you that you do not like - they are contracts - so negotiate with what you want. If they do not provide or negotiate for what you want , do not buy.

As to the companies should maybe continue and just raise the premium. Supply and demand. The more you raise the premium the less people who sign up. The less people who save up the more the other have to pay to cover.

People should start saving money into a medical fund.

But thats my opinion!

[Epicurus]

[Epicurus]