Funding Level Of Long-term Care Insurance System For The Elderly

Aging and highly aging is the basic trend of world's population development and the longevity of the population not only changed the social structure of the population, but also increased the health risks with particularly prominent elderly disability and long-term care problems. Therefore, many developed countries established long-term care insurance system for elderly to deal with the elderly disability risk, and our country also propose to establish the elderly long-term care insurance system in the 13th Five-year Plan. Under the guidance of national policy, this paper conducted a case study in Shanghai, to discuss establishing a scientific, realistic and moderate funding level for long-term care insurance system for the elderly and provide feasible policy suggestions for the system establishment and development. This paper reviews the development of long-term care insurance system for the elderly in major developed countries and part domestic exploration and practice, estimates the funding needs of the elderly long-term care in Shanghai between 2015 and 2050, and come to the conclusion that the feasible system payment rates is 0.77% to 1.21% from the perspective of the balance of supply and demand and based on the actuarial model, and furthermore, analyzes the sharing of the payment rate and affordability. This paper believes that establishing elderly long-term care insurance system is the inevitable choice of China's social insurance system. Currently, all provinces should actively pilot elderly long-term care insurance system and thus form unified national systematic arrangements.