Taiwan should transition to a new insurance-based model of long-term care, Chinese Nationalist Party (KMT) Chairman Eric Chu (朱立倫) said yesterday, as his party’s think tank proposed a bill to instate a new scheme.
Instead of relying on a system funded by tax revenues and government contributions, Taiwan should transition to a model in which each citizen pays a monthly premium of about NT$100, Chu said.
The figure would be between 20 percent and 25 percent of the current monthly premium for National Health Insurance, he added.
Photo courtesy of the National Policy Foundation
The KMT-run National Policy Foundation from Monday to Wednesday last week conducted a survey on long-term care insurance.
It had a total of 1,069 respondents, 77.3 percent of whom supported the reform, while 14.8 percent opposed it, Chu said.
The KMT’s proposed insurance scheme would apply to Taiwanese living in the country and some foreign residents for equity, the KMT think tank said in a news release.
Individuals, employers and the government would shoulder about 30 percent, 40 percent and 30 percent of the program’s costs respectively, while those who are self-employed would pay the full premium, it said.
The government should fully subsidize the care for low-income policyholders and bolster the fund against fiscal risks if needed, it added.
Boards would be established to manage the fund and arbitrate disputes on insurance coverage, to ensure the program’s fiscal viability and to protect the rights of elderly people, the think tank said.
Chu said that the KMT and the Democratic Progressive Party have debated whether the nation should fund long-term care via the budget or social insurance for a decade.
The number of Taiwanese who need long-term care has increased five-fold since then, and is expected to double in the near future, he added.
People that support elderly family members who have impeded mobility, dementia or loss of function on average spend NT$30,000 to NT$40,000 per month, he said, adding that it was a considerable burden for ordinary people.
In December last year, the Cabinet confirmed plans to introduce a Long-term Care 3.0 program this year, which would expand program eligibility requirements, more closely integrate healthcare and long-term care services, and expand their capacity.
The new program is set to replace Long-term Care 2.0, which was launched in 2017 during former president Tsai Ing-wen’s (蔡英文) administration.
Asked about the KMT’s proposed universal cash payment program, Chu cited Singapore’s decision to provide tax rebates to people and corporations.
“Many other countries do it, why can’t Taiwan?” he said.
The party would also do a poll on annual leaves and national holidays, Chu said.
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