In-Depth 60 Minutes: The Reality of Nursing Home Transactions... 15 Million Won Premium per Resident

KBS 1TV current affairs program In-Depth 60 Minutes will broadcast the 1470th episode, "The Bare Face of a Super-Aged Society Trilogy - Part 3: Care Business, the Transaction Between Nursing Homes and the Elderly," on Friday, the 28th at 10 PM. This episode traces the structure where the number of residents is used as a criterion for calculating business premiums during the sale of nursing facilities, through a case of a nursing home that neglected residents despite fall accidents and the spread of infectious diseases.

Falls, Scabies Infection, and Sale

According to the production team, Cho Sun-im, who is in her 80s, fell and was seriously injured while bathing at a nursing home, but was moved back to the facility despite the emergency room's recommendation for hospitalization, and the accident was only reported to her family a day later. During the same period, staff testified that scabies, an infectious disease, was spreading in this nursing home, but measures to prevent the spread, such as full-scale treatment, were not taken in time. The investigative team noted that the nursing home in question was facing a sale at that time.

Resident Count Equals Premium, Even Admission Brokers Exist

According to testimony from industry insiders, when a nursing home is sold, the number of residents as of a specific date is reflected in the calculation of the premium, with cases appearing where approximately 10 million to 15 million won per resident is added to the premium. Families raised suspicions that the nursing home management, ahead of the sale, may not have properly informed them of Cho's recommendation for hospitalization and the scabies infection due to concerns about a drop in the premium caused by a decrease in residents. The Ministry of Health and Welfare stated that merely calculating the transfer price based on the number of residents is difficult to view as a violation of current law, but explained that the act of mediating or inducing recipients in exchange for money is prohibited by law. The investigative team also secured testimony from industry insiders that so-called "admission brokers" exist, who connect residents to nursing homes and receive money.

Management Agencies That Did Not Act Despite Multiple Reports

In other nursing homes contacted by the investigative team, suspicions of abuse, such as tying the bodies of residents for long periods without the consent of guardians, as well as poor hygiene and meal management, were confirmed, and staff testified that they had reported these issues to local governments several times, but no on-site inspections or substantial improvement measures were taken. Lee Min-ji (pseudonym), a nursing home official, said, "Staff reported to the city hall, the corporation, and even specialized elderly abuse agencies many times. I know of three public interest whistleblowers alone. But even when we reported, nothing changed. It was so strange that I eventually reported it to the broadcasting station." Experts pointed out that local governments may find it difficult to take active sanctions due to concerns such as the burden of litigation following administrative measures, and noted that the evaluation method of the National Health Insurance Service needs to be supplemented so that it can verify the actual state of care beyond checking documents and records.

Source: KBS Press Release

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