Long-term Care Insurance
As Japanese society has aged in recent years, the need for long-term care has grown at the same time as society faces issues, such as a shift to nuclear families, aging of family members providing long-term care, and people taking leave from work to care for sick or injured family. As Japan confronts these types of social issues, long-term care insurance lays a foundation to support society as a whole by caring for the elderly over the long term and reducing the burden on families.
All insured persons age 40 become Type-2 Insured Persons who are required to pay long-term care insurance premiums.
Insured Persons Eligible for Long-term Care Insurance
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Type-1 Insured PersonsIndividuals Age 65 and Older
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Type-2 Insured PersonsIndividuals Age 40 to 64
Exempted Individuals
- Individuals working outside Japan who have submitted a move-out notice to the municipality in which they were living
- Foreign nationals whose residence status or anticipated stay is short term (three months or less)
- Individuals with physical disabilities who have been issued a handbook and who reside in assisted living facilities for people with physical disabilities
Long-term Care Insurance Premiums and Standard Remuneration
Long-term care insurance is a mandatory social insurance. All insured persons age 40 or older who belong to the Western Digital Technologies Health Insurance Association are enrolled in long-term care insurance (Type-2 Insured Persons) and must pay long-term care insurance premiums.
The Western Digital Technologies Health Insurance Association collects long-term care insurance premiums from insured persons age 40 to 64 in addition to the health insurance premiums while the local municipality collects long-term care insurance premiums from individuals age 65 or older (Type-1 Insured Persons; premiums withheld from annual pensions as a general rule).
Insurance Premium Calculation Method
Long-term care insurance premiums are calculated by multiplying the standard monthly remuneration and standard amount of bonuses by the insurance premium rate.
The insurance premium rate is calculated by dividing the total amount of long-term care benefit expense payments allocated to the Western Digital Technologies Health Insurance Association each fiscal year by the Health Insurance Claims Review & Reimbursement Services by the total amount of the standard monthly remuneration and the standard amount of bonuses for all insured persons age 40 to 64, with half being paid by the employer.
Long-term care insurance benefit services
Long-term care insurance provides two categories of services: preventive benefits and nursing care benefits.
Preventative benefits are long-term care insurance benefits paid to individuals recognized as requiring assistance. Long-term benefits are those paid to individuals requiring nursing care. The Western Digital Technologies Health Insurance Association reviews and assesses the degree of need for assistance or long-term care when certifying the need for assistance or long-term care.
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Individuals Eligible for Preventive BenefitsRequired Assistance
Level 1 and Level 2 -
Individuals Eligible for Long-term Care BenefitsRequired Long-term Care
Level 1 to Level 5
Long-term care insurance benefits are paid as benefits in kind (long-term care services). The maximum monthly payment standards are determined according to the category of need for assistance or long-term care.
Out-of-pocket Costs
An individual receiving long-term care services pays 10% of the cost (or 20% if an individual with income of a certain level). However, if the out-of-pocket amount exceeds a set maximum, the Western Digital Technologies Health Insurance Association reimburses the individual the amount exceeding this maximum. This is known as the High-cost Long-term Care Service System, and the amount is calculated on an individual or household basis, including a spouse or other family members. However, this does not apply to any portion of the long-term care costs not covered by insurance.
*Please contact the relevant office of your local municipality directly for any questions regarding long-term care services or on applying to certify a need for long-term care.