[Reporter’s View] Regarding the NHIS Special Judicial Police Act

Legislation granting the National Health Insurance Service (NHIS) special judicial police authority is now just one step away from final passage in the National Assembly.

Recent data submitted by the NHIS to Office of Rep. Jin-sook Jeon of the National Assembly's Health and Welfare Committee highlight the scale of financial losses caused by illegally established healthcare institutions. Uncollected losses to the National Health Insurance system from illegal medical institutions, including so-called "straw-owner hospitals" and pharmacies operating under borrowed pharmacist licenses, have reached KRW 2.65 trillion.

Of the approximately KRW 2.9 trillion in reimbursement recovery orders issued, only about 9% has actually been recovered. In the case of license-rental pharmacies, 92.2% of the approximately KRW 705.6 billion ordered for recovery remains uncollected. These figures demonstrate the limitations of the current investigative framework and underscore the urgent need to grant the NHIS special judicial police authority.

Recent amendments to the Criminal Procedure Act will eliminate prosecutors' supervisory authority over special judicial police officers. Some critics argue that, without prosecutorial oversight, granting such authority to the NHIS could lead to excessive investigations.

Others have raised concerns about the legal expertise and investigative experience of NHIS personnel, warning of potential abuse stemming from insufficient professionalism.

However, arguing that the proposal should be abandoned entirely simply because prosecutorial supervision is being eliminated or because investigators may lack experience is an overstatement. Leaving more than KRW 2.6 trillion in health insurance losses unchecked is not an acceptable option.

The NHIS, for its part, must also make every effort to address these concerns. It has already established a dedicated task force and secured approval from fiscal authorities to add 31 investigative personnel, effectively completing the necessary organizational hardware.

The next step is ensuring that current concerns never become reality. The NHIS must demonstrate its transparency and professionalism by establishing robust investigative guidelines that prevent human rights violations and abuse of authority, while providing intensive and ongoing legal and ethics training for investigators.

The National Assembly has also begun strengthening the legislative framework, presenting a bill (Rep. Seo Mi-hwa) that would clarify investigative jurisdiction over illegally established and operated pharmacies.

The National Assembly should no longer delay passage of the legislation because of peripheral concerns. Every delay simply allows further financial losses caused by illegal hospital and pharmacy operators.

It is time to end the unproductive debate, pass the bill promptly, and close the loophole through which health insurance funds continue to leak. After that, it will be up to the NHIS—through thorough preparation—to prove that it can exercise its new authority responsibly.