Willingness to Pay for Long-term Care Insurance System in a Municipality in Tokyo

Abstract

This study attempted to estimate the valuation of Long-term care (LTC) insurance system among the residents in a municipality in Tokyo by applying the Willingness to Pay (WTP) approach. The mean WTP for Group one (those aged 65 and over) and Group two (those aged between 40 and 64) was estimated to be 13, 305 Japanese Yen and 8, 722 Japanese Yen, respectively. Both amounts exceed the contribution estimated by the Ministry of Health and Welfare (2, 500 Japanese Yen). The result reflects a high expectation for the system especially among those in Group one. It also suggests that those in Group one may be able to shoulder more financial responsibility for the system. Further research on WTP for LTC insurance system is deemed beneficial for its successful management.

Keywords

Willingness to pay long-term care insurance system Japan

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