Guangdong leads way in elderly care
COMMERCIAL insurance will cover elderly care service in south China’s Guangdong Province.
It is the first such attempt by local authorities to help elderly care institutions to cope with operating risks.
Guangdong’s Department of Civil Affairs has signed a three-year contract with a coinsurer, which is composed of several local insurers including the provincial branch of PICC Property and Casualty Company Limited — China’s largest general, non-life insurer.
The province’s elderly care institutions will receive up to 25 million yuan (US$3.6 million) for patients’ personal injuries due to the provider negligence and resulting legal fees, said an official with the provincial branch of PICC P&C.
The local insurance regulator said the contract would help to protect the legal interests of the elderly and promote sustainable development of elderly care institutions.
Official data showed that last April Guangdong had 2,966 elderly care institutions that could accommodate about 205,000 elderly people.
China’s aging society is a major social issue. There are more than 220 million people over 60 years old in the country, 16.1 percent of the population, and the numbers are growing.
Authorities have said they will streamline the approval process for elderly care institutions.
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