Study On The Proportion Of Financing Of Long-Term Care Insurance System For Disabled Elderly

As the global aging is deepening,the risk of unsatisfied care for the disabled elderly is becoming more and more significant.In order to resolve the social risks of potential or existing nursing needs,many countries have established Long-term Care Insurance systems,which stipulate coverage,financing methods,funding channels,fundraising levels and fund-sharing methods of Long-term Care Insurance in legal form and have achieved good results.Based on the theory of Mixed Economy of Welfare,Social Risk and Public Goods and Public Choice,this paper demonstrates the scientificity and rationality of adopting multi-subject fundraising sharing method for Long-term Care Insurance in China.In order to scientifically design and analyze different fund-sharing programs,the Long-term Care needs should be measured first.Through the calculation of the disabled population and the disability rate,it is found that the number of disabled elderly people grows rapidly as time goes by.With the help of the nursing cost algorithm and the ratio of usage in different nursing methods,the total demands by residence of Long-term Care of disability elderly in the year of 2015-2050 is calculated.We sort out the domestic long-term care insurance pilot situation which provide practical basis for the design of fund-raising plan before the fund-raising ratio is measured.Then the fund-raising capacity of each fundraising entity(government,employer,and employee)is measured.The calculation results show that the government finance has strong fund-sharing ability,and after measuring the total Long-term Care insurance rate,it is found that the total rate has grown too fast,from1.39% in 2015 to 4.75% in 2050 which individuals are unable to withstand.The current social security contributions of enterprises are relatively high,and it is not appropriate to make them bear excessive premiums.When coming up with the fund-sharing plan,with reference to foreign experience and combined with the actual situation in China,this paper sets two types of co-payment ratio:10% and 20%,and the government financial subsidies are 20%,30%,40% and 50% under each co-payment ratio(subsidies are 60%,65%,70% and 75% in rural area),which forms eight schemes.Based on the overall payment rates and individual payment rates by residence,different schemes are analyzed.In the last chapter,the full paper issummarized.Combined with the implementation experience of foreign Long-term Care Insurance,this paper provides policy recommendations for the establishment of China’s Long-term Care Insurance system.This paper believes that the Long-term Care Insurance for the disabled in China should learn from the experience of other countries and establish social Long-term Care Insurance system which takes the government as the main body of the system.The government should take the responsibility of the establishment,operation and supervision of the system and financial subsidies.China should learn from the experience of developed countries,establish a multi-collaborative financing system,and scientifically determine the payment rates so that Long-term Care Insurance can meet the needs of disabled elderly while ensuring the stability and sustainability of funding sources to make Long-term Care Insurance system operate continuously and healthily.