Appeals against administrative dispositions

How to Challenge a Long-Term Care Institution Business Suspension or Recovery — Written Opinion after the On-Site Investigation, Administrative Appeal, and Request for Review

If an on-site investigation by the National Health Insurance Service (NHIS) confirms improper claims or a violation of the staffing standards, a business suspension, an administrative fine and recovery of benefit costs can all be imposed at once. During a business suspension no benefit costs can be claimed at all, which leads directly to beneficiaries leaving and to problems with staff employment. The disposing authority and the appeal route differ for each disposition, so start by organizing the deadlines on the basis of each notice.

Procedure

  1. 1. Respond at the on-site investigation stage

    Before you sign the written confirmation of the investigation results, check whether any part differs from the facts, and if it does, write down your opinion. Gather the benefit provision records, work schedules and care workers' attendance records for the same period as the scope of the investigation.

  2. 2. Classify the issues

    Sort the case into claims for services not provided, claims made while a care worker was hospitalized or on leave, inflated service hours, or violation of the staffing standards. Also check whether it was a mistake or intentional, and whether the amount and the period were calculated accurately.

  3. 3. Submit a written opinion at the prior notice stage

    When you receive a prior notice of business suspension or a notice of planned recovery, submit a written opinion and explanatory materials within the deadline stated in the notice (usually about 2 weeks). Calculation errors are sometimes corrected at this stage.

  4. 4. Administrative appeal for business suspension, objection for administrative fines

    Against a business suspension disposition by the head of a city, county or district (si/gun/gu), you can file an administrative appeal within 90 days from the date you became aware of the disposition. An administrative fine is challenged not by an administrative appeal but by a written objection filed with the disposing authority within 60 days from the date you received the notice of imposition, and once an objection is filed the case goes to the court for trial. If you need to keep operating, apply for a stay of execution at the same time. Also review whether, depending on the grounds, you can request that the business suspension be replaced with a penalty surcharge.

  5. 5. Request for review to the NHIS against a recovery decision

    Against an NHIS decision to recover unjust enrichment, file a request for review with the NHIS within 90 days from the date you became aware of the disposition, and if you do not accept the result you can go on to a request for re-review.

Required documents

  • Opinion submission form (Enforcement Rule of the Administrative Procedures Act, Annexed Form No. 11), administrative appeal petition (Enforcement Rule of the Administrative Appeals Act, Annexed Form No. 30), and request for review (Enforcement Rule of the Long-Term Care Insurance Act, Annexed Form No. 32)
  • Written confirmation of the on-site investigation results, prior notice and disposition notice, notice of planned recovery
  • Long-term care benefit provision records, service contract for each beneficiary
  • Care workers' work schedules and attendance records, proof of hospitalization and leave
  • Staffing status and hiring and resignation materials
  • Materials on corrective and recurrence prevention measures, internal checklists
  • Materials on the institution's operating status (number of beneficiaries, number of staff, revenue)

Fees

There is no official fee for filing an administrative appeal or a request for review with the NHIS. At Hwang Yunsang Administrative Office, the service fee for relief from business suspension and penalty surcharges starts from 1,000,000 won (VAT excluded). It varies depending on whether we handle the case from the written opinion stage and whether the business suspension and the recovery are challenged together, so we review the disposition and inform you of the fee after a consultation.

Legal basis and review date

  • Long-Term Care Insurance Act, Article 37
  • Long-Term Care Insurance Act, Article 43
  • Long-Term Care Insurance Act, Article 55
  • Long-Term Care Insurance Act, Article 56
  • Administrative Appeals Act, Article 27
  • Act on the Regulation of Violations of Public Order, Article 20

Checked against the statutes on

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

  • The disposing authorities and appeal deadlines for business suspension and administrative fines on the one hand and for recovery on the other run separately, so manage the dates separately for each notice.

Frequently asked questions

By when must I challenge a business suspension disposition against a long-term care institution?
You must file an administrative appeal within 90 days from the date you became aware of the disposition and within 180 days from the date of the disposition. If the start date of the business suspension is near, apply for a stay of execution at the same time.
Is a recovery decision also challenged by an administrative appeal?
For an NHIS decision to recover unjust enrichment, the basic route is a request for review filed with the NHIS, and if you do not accept the result you can file a request for re-review. Also check the appeal guidance and the deadline written in the disposition notice.
Are claims made while a care worker was hospitalized also recovered?
Claims for a period when benefits were not actually provided are subject to recovery. However, the amount can change depending on whether substitute staff provided the service or it was a recording error, so compare the items one by one against the work records.
Are there cases where the business suspension period was reduced?
There are administrative appeal cases in which the business suspension period was reduced by half because it was accepted that the claims were made by mistake or that the disposition was heavy compared with the degree of the violation. The result differs from case to case, and an administrative fine is challenged not by an administrative appeal but by a written objection within 60 days from the date you received the notice of imposition.
Can I pay a penalty surcharge instead of a business suspension?
The Long-Term Care Insurance Act provides that a business suspension may be replaced with a penalty surcharge in certain cases. Set out the need to protect beneficiaries together with the grounds of the violation, and make the request.

Contact us

Hwang Yunsang Administrative Office in Songdo, Incheon prepares and submits administrative documents and explains the procedure. If your situation is similar, send us a message.

📍 2697, 26F POSCO Tower-Songdo, 165 Convensia-daero, Yeonsu-gu, Incheon, Republic of Korea · 📞 010-3374-2687 · 🌐 hwangadmin.com

This guide is general information based on public sources. Requirements, documents and deadlines differ by case and by the competent agency, so please confirm them before you proceed.