Average lifetime medical spending in Korea nears ₩250 mil.; peak shifts to age 78

The average lifetime medical expenditure for a Korean citizen has approached 250 million won ($172,544), with the peak age for medical spending shifting to 78. The data indicates a structural trend where the financial burden of healthcare grows significantly as the population enters advanced age.

Average lifetime medical spending in Korea has climbed to nearly 250 million won, with the peak age of healthcare expenditure shifting seven years later to 78 as longer life expectancy increasingly coincides with prolonged, high-cost medical care. (Image created using Gemini)

According to the report "Analysis of Health Insurance Medical Expenses through Lifetime Medical Expense Estimation" released by the National Health Insurance Service (NHIS) Health Insurance Research Institute on Wednesday, the estimated lifetime medical cost per person in 2023 stands at approximately 246.56 million won. The figure includes health insurance benefits, patient copayments, and non-covered expenses.

The most notable change is the shift in the high-cost medical spending period.

In 2004, medical expenditure peaked at age 71 before declining, but this peak has moved seven years later to age 78.

During the same period, the annual spending at this peak age surged 2.6 times from 1.72 million won to 4.46 million won. Researchers found that the period during which individuals utilize the most expensive medical services has been delayed and extended.

The finding suggests that beyond simply living longer, the duration of hospital dependence before death is increasing.

In terms of gender, women spend significantly more on medical expenses than men over their lifetimes.

The lifetime medical cost for women was estimated at 214.74 million won, which is about 32 million won higher than the 182.63 million won spent by men. The disparity is attributed to the fact that women live an average of 5.8 years longer than men.

When analyzing spending by type of medical institution, local clinics and pharmacies accounted for the largest share.

Pharmacies accounted for 39.93 million won and clinics for 39.84 million won, followed by tertiary general hospitals at 34.97 million won and general hospitals at 33.88 million won.

The distribution reflects the consistent use of local medical facilities for managing chronic diseases such as hypertension and diabetes.

The financial burden increases drastically if a critical illness strikes at a younger age.

The report estimated that if a person is diagnosed with cancer at age 30, they would spend an additional 111.42 million won on cancer treatment alone until death.

Among cancer types, pancreatic cancer was the most expensive at 226.75 million won, while lung cancer and breast cancer also exceeded 100 million won, costing 114.98 million won and 104.31 million won, respectively.

As the population ages, the rate of increase in medical expenses is accelerating.

In 2004, a one-year increase in life expectancy corresponded to a 20.1 percent increase in lifetime medical expenses. However, in 2023, a one-year increase in life expectancy led to a 51.8 percent spike in costs.

The institute attributed this to the rapid increase in the use of high-cost medical technologies and long-term care services among the elderly.

Lee Soo-yeon, a research fellow at the institute who conducted the study, emphasized the need for a paradigm shift.

Lee stated that society must focus on extending healthy life expectancy rather than simply extending lifespan.

“Shifting toward prevention-centered policies, such as managing obesity and smoking and early detection of chronic diseases, is essential to reducing the financial shock of an aged society,” she said.