Enactment of the Digital Healthcare Act begins in earnest

attention focused on whether telemedicine and medicine delivery platforms will benefit from the enactment

Will clarify the concept and prepare basis for support and nurturing… to support industry vitalization

IT dinosaurs like Naver and Kakao may jump into the industry in addition to IT ventures

With the National Assembly moving to enact a law specifically for the digital healthcare industry, attention is focused on whether the non-face-to-face treatment and drug delivery platform may gain momentum and make growth.

 

The non-face-to-face and drug delivery platforms have been operating based on the non-face-to-face treatment that was temporarily allowed due to the COVID-19 pandemic and lacks specific legal and institutional grounds or support.

 

If a law is enacted to foster the digital healthcare industry, the law and institutional support for the industry will be improved while the industry may enjoy benefits from the new various special provisions that would be set.

 

NA member Tae-ho Jung of the Democratic Party of Korea recently submitted a bill as representative for the ‘Foster and Support of the Digital Healthcare Industry.’ The law aims to foster and support the digital healthcare industry and stipulate the basic matters necessary for development to strengthen industry competitiveness.

 

The bill defines the Digital Healthcare Industry, subjects for support, and also contains provisions that require a comprehensive plan for foster and support be established every 5 years.

 

Also, the bill will provide the basis for support such as certification, preferential treatment, tax exemptions, and prepurchase approvals for best companies while also providing support for training and employment of professionals and the establishment of a Digital Healthcare Business Association.

 

The healthcare industry has started collecting opinions related to the proposed enactment of the bill.

 

The Korean Hospital Association is collecting opinions from its member countries, and groups related to digital healthcare are expressing their agreement to the enactment of the bill.

 

7 associations including the Korea Medical Devices Industry Association, Korea Digital Health Industry Association, and the Korea Medical Device Industry Cooperative Association have issued a joint statement welcoming the bill.

 

Digital healthcare is essential for responding to the post-COVID-19, data economy, and non-face-to-face society.

 

In particular, if enacted, the bill will directly influence the management of the non-face-to-face treatment and drug delivery platform.

 

Companies that have jumped into telemedicine and prescription drug delivery service due to COVID-19 have made remarkable growth despite the temporarily approved environment.

 

If the regulations are lifted, industry analysis is that the telemedicine and prescription drug delivery platforms will grow explosively.

 

The enactment of the Digital Healthcare Act is being evaluated as the trigger that will speed up such regulatory reform.

 

In addition, there is a high possibility that dinosaur companies such as Naver and Kakao will enter the non-face-to-face treatment and drug delivery business in addition to IT venture companies.

 

Tae-ho Jung, who submitted the bill said, “The COVID-19 pandemic has rapidly changed our living environment, and the limited amount of medical resources have been greatly affecting public health and the industry in general.

 

It is imperative that we develop the digital healthcare technology to solve chronic problems such as aging and the upsurge of chronic disease patients."