Article 25 (Object and Scope of Advances)
(1) The object of advances paid under Article 47 (1) of the Act shall be limited to damages, and shall not
include expenses for mediation, arbitration, lawsuit, etc.
(2) The scope of advances paid under Article 47 (1) of the Act shall be the outstanding amount of damages,
but shall exclude damages on or after each date specified as follows:
1. In cases described in Article 47 (1) 1 of the Act: the date mediation concludes or the date of an
arbitral award, or the date a mediation statement is prepared;
2. In cases described in Article 47 (1) 2 of the Act: the date a mediation statement is prepared;
3. In cases described in Article 47 (1) 3 of the Act: the date a deed of assignment for execution is
prepared: Provided, That it shall be the date a judgment is final and conclusive when the deed of
assignment for execution is the judgement.
Article 26 (Claim for Advances)
Each person who intends to file a claim for an advance pursuant to Article 47 (1) of the Act, shall submit
a written request for advance, together with the following documentation:
1. In cases described in Article 47 (1) 1 of the Act: a written determination of mediation or a written
arbitral award, or a mediation statement;
2. In cases described in Article 47 (1) 2 of the Act: a mediation statement;
3. In cases described in Article 47 (1) 3 of the Act: a deed of assignment for execution: Provided, That
it shall include the certification that a judgment is final and conclusive when the deed of assignment for
execution is the judgement.
Article 27 (Payment, etc., for Expenses for Advances by Operators of Public Health or Medical
Institutions)
(1) The president shall obtain approval from the Minister of Health and Welfare where he/she intends to
determine or change the annual target amount of a reserve fund for expenses necessary for the advances of
damages (hereinafter referred to as “expenses for advances”) to be paid by the operators of public health
or medical institutions pursuant to Article 47 (2) of the Act.
(2) The president shall determine the standards for calculating expenses for advances to be paid by the
operators of public health or medical institutions and the amount of money to be paid accordingly by each
operator of public health or medical institution, within the range of the annual target amount of a
reserve fund referred to in paragraph (1). In such cases, the president may determine the method for
calculating the amount of expenses for advances differently according to the types of the operators of
public health or medical institutions.
(3) Where the president intends to collect expenses for advances as calculated pursuant to paragraph (2)
from each operator of a public health or medical institution (including cases for collecting some of
expenses for the medical care benefits under Article 47 (4) of the Act), he/she shall post public notice
of the amount of expenses for advances to be paid by each operator of a public health or medical
institution and of the period of collection before one month from the date of collection, and shall notify
the National Health Insurance Corporation under the National Health Insurance Act of such notice.
(4) Where necessary in order for determining the standards for calculating expenses for advances to be
paid by each operator of a public health or medical institution pursuant to paragraph (2) or in order for
collecting the calculated amount of expenses for advances pursuant to paragraph (3), the president may
request that related materials be submitted to the National Health Insurance Corporation or the Health
Insurance Review and Assessment Service under the National Health Insurance Act.
(5) Where necessary in order for determining the standards for calculating expenses for advances to be
paid by each operator of a public health or medical institution pursuant to paragraph (2) or in order for
collecting the calculated amount of expenses for advances pursuant to paragraph (3), the president may
request that materials related to the following matters be submitted to local governments: Newly Inserted
by Presidential Decree No. 26317, Jun. 15, 2015
1. Matters related to the opening or closure of a public health or medical institution;
2. Matters related to changes in the opening of a public health or medical institution;
3. Matters related to changes in the registration of a public health clinic, public health branch clinic,
or public health and medical care center.
(6) Where any operator of a public health or medical institution becomes unable to continue operating a
public health or medical business due to closure, the president may fully or partially pay expenses for
advances paid by the operator of the relevant public health or medical institution by obtaining approval
of the Minister of Health and Welfare. Newly Inserted by Presidential Decree No. 26317, Jun. 15, 2015
Article 28 (Reimbursement of Advances)
(1) Where the president has paid an advance for damages pursuant to Article 47 (5) of the Act, he/she
shall, without delay, request that the operator of the relevant public health or medical institution or
the relevant public health or medical professional (hereinafter referred to as to "person obliged to
reimburse") pay the full amount of the advance to the Mediation and Arbitration Agency within a specified
period.
(2) Where the president obtains the amount of the advance from a person obliged to reimburse after making
a request pursuant to paragraph (1), he/she shall include the relevant amount of money obtained into an
account for the advances for damages referred to in Article 47 (3) of the Act.
Article 29 (Disposition of Write-Off of Losses of Advances)
(1) The president may write off losses with respect to any of the following advances, with approval from
the board of directors, pursuant to Article 47 (7) of the Act:
1. Where it is impossible to exercise the right to demand reimbursement due to such grounds as the death,
loss of the juristic personality, missing, etc., of a person obliged to reimburse;
2. Where a person obliged to reimburse owns no assets or where even the assets of a person obliged to
reimburse falls short of the amount of value of a claim to reimburse in any of the following cases:
(a) Where it is verified that the assets of a person obliged to reimburse will have no residual value
after being appropriated for expenses for the procedures for exercising the right to demand reimbursement;
(b) Where it is verified that the assets of a person obliged to reimburse will have no residual value
after being appropriated for the payment of national taxes and local taxes or the payment for claims
secured by the right of mortgage, etc., which takes precedence over the claim for an advance.
3. Where a statute of limitations period on the claim to reimburse has expired;
4. Where the disposition of the write-off of losses is approved by the board of directors for any other
applicable grounds falling under any of subparagraphs 1 through 3.
(2) Where it becomes possible to exercise the right to demand reimbursement due to grounds, including that
a person obliged to reimburse who was missing is found or other assets which can be seized, is found after
writing off an advance as losses pursuant to paragraph (1), the president shall, without delay, revoke the
write-off.
