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Welfare, veterans & labour

Long-Term Care Institution Transfer Procedure — Designation Is Not Succeeded, So File Closure and New Designation Together

The Long-Term Care Insurance Act has no provision that transfers a long-term care institution designation to a transferee, so when an institution is acquired the transferor files a closure report and the transferee must obtain a new designation. The transferor's closure report is due 30 days before the planned closure date, and the transferee's application goes through designation review by the city, county or district, so both schedules are aligned to avoid gaps in beneficiaries' services. On the other hand, the effects of administrative sanctions imposed on the transferor pass to the transferee for 3 years from the sanction date, so the sanction history should be checked before the acquisition.

Written by Hwang Yunsang, Administrative Agent · Published 2026-10-14 · Updated 2026-10-14

Procedure

  1. 1. Check sanction history and disqualification before acquisition

    Article 37-4 of the Long-Term Care Insurance Act provides that the effects of administrative sanctions such as designation revocation or business suspension pass to the transferee for 3 years from the sanction date, and that pending sanction procedures may continue against the transferee. The transferor must notify the transferee of any sanction by certified content mail with delivery certification, so obtain written notice and confirmation before signing. Also check whether the transferee (or its representative, for a corporation) falls under the disqualification grounds of Article 32-2 or within 3 years of a designation revocation.

  2. 2. Prepare a transfer schedule

    Based on the transferor's planned closure date, align the closure report deadline (30 days before) with the transferee's elderly welfare facility installation report and designation application in one schedule. Designation is decided after review by the city, county or district long-term care institution designation review committee, and designation standards can be discussed with the competent office in advance (Enforcement Rule Article 23(4)). Fixing the closure date before the designation result may leave beneficiaries without services, so adjust the order.

  3. 3. Transferee's installation report and designation application

    For a home-based care institution such as home visit care, the transferee files a Home-Based Elderly Welfare Facility Installation Report (Enforcement Rule of the Welfare of Senior Citizens Act, Form No. 20), and for a nursing home an Elderly Medical Welfare Facility Installation Report (Form No. 16). The transferee then submits a Long-Term Care Institution Designation Application (Enforcement Rule of the Long-Term Care Insurance Act, Form No. 19) with general, staffing and facility status, a copy of the business or unique number registration certificate, a business plan and operating rules. Once designated, a designation certificate (Form No. 20) is issued, valid for 6 years from the designation date.

  4. 4. Transferor's closure report and measures for beneficiaries

    At least 30 days before the planned closure date, the transferor submits a Long-Term Care Institution Closure Report (Form No. 26) to the city, county or district office with a beneficiary transfer plan, the designation certificate and the settlement report (plus a closure resolution for corporations). The transferor prepares and carries out a plan so beneficiaries can choose another institution, including the transferee's, and settles any co-payments to be refunded. The closure report for the elderly welfare facility under the Welfare of Senior Citizens Act (Form No. 21) is prepared at the same time.

  5. 5. Transfer of care records to the NHIS

    By the closure date, the transferor transfers records still within the retention period, such as care contracts, care provision records and home nursing instructions, to the National Health Insurance Service with the Form No. 36 application, a transfer list and a list of lost or damaged records. The NHIS issues a receipt certifying the transfer. Care records must be kept for 5 years from the end of care, so keep them separate from the new records created by the transferee's institution.

Required documents

  • Long-Term Care Institution Designation Application (Enforcement Rule of the Long-Term Care Insurance Act, Form No. 19; transferee)
  • Home-Based Elderly Welfare Facility Installation Report (Enforcement Rule of the Welfare of Senior Citizens Act, Form No. 20) or Elderly Medical Welfare Facility Installation Report (same Rule, Form No. 16); transferee
  • General, staffing and facility status, copy of business or unique number registration certificate, business plan and operating rules (attachments to the transferee's designation application)
  • Long-Term Care Institution Closure Report (Enforcement Rule of the Long-Term Care Insurance Act, Form No. 26; transferor)
  • Beneficiary transfer plan, designation certificate or home-based long-term care institution installation report certificate, settlement report, closure resolution (corporations only)
  • Elderly Welfare Facility Closure Report (Enforcement Rule of the Welfare of Senior Citizens Act, Form No. 21; transferor)
  • Application for transfer of care records to the NHIS (Enforcement Rule of the Long-Term Care Insurance Act, Form No. 36) with the transfer list and the list of lost or damaged records
  • Notice of administrative sanctions sent by the transferor by certified content mail with delivery certification (if there is a sanction history)

Fees

Typically ranges from tens of thousands to several hundred thousand won in the industry · Depends on whether it is a home-based institution or a nursing home, whether both the transferor's closure report and the transferee's installation report and designation application are handled, and the number of beneficiaries and volume of records to transfer; quoted after consultation.

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Legal basis and review date

  • Long-Term Care Insurance Act Article 31
  • Long-Term Care Insurance Act Article 32-2
  • Long-Term Care Insurance Act Article 32-3
  • Long-Term Care Insurance Act Article 32-4
  • Long-Term Care Insurance Act Article 33
  • Long-Term Care Insurance Act Article 36
  • Long-Term Care Insurance Act Article 37
  • Long-Term Care Insurance Act Article 37-4
  • Enforcement Decree of the Long-Term Care Insurance Act Article 10
  • Enforcement Rule of the Long-Term Care Insurance Act Article 23
  • Enforcement Rule of the Long-Term Care Insurance Act Article 25
  • Enforcement Rule of the Long-Term Care Insurance Act Article 27
  • Enforcement Rule of the Long-Term Care Insurance Act Article 28
  • Enforcement Rule of the Long-Term Care Insurance Act Article 28-2
  • Enforcement Rule of the Long-Term Care Insurance Act Article 29-5
  • Welfare of Senior Citizens Act Article 40
  • Enforcement Decree of the Welfare of Senior Citizens Act Article 21
  • Enforcement Rule of the Welfare of Senior Citizens Act Article 20
  • Enforcement Rule of the Welfare of Senior Citizens Act Article 28
  • Enforcement Rule of the Welfare of Senior Citizens Act Article 30

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

  • If the transferor's closure date is fixed before the transferee's designation result, beneficiaries may be left without an institution for a period, so set the planned closure date after checking the designation review schedule.
  • Not providing long-term care benefits for 1 year or more without filing a closure or suspension report is a ground for designation revocation (Article 37(1)3-5 of the Long-Term Care Insurance Act), and a person whose designation was revoked cannot be designated again until 3 years have passed.

Frequently asked questions

Can I keep using the existing designation after acquiring a long-term care institution?
No. The Long-Term Care Insurance Act has no provision transferring a long-term care institution designation to a transferee, so the transferee must obtain a new designation under Article 31. The transferor files a closure report under Article 36 of the same Act, so both procedures run on the same schedule.
When must the transferor file the closure report?
It must be filed with the competent city, county or district office at least 30 days before the planned closure date. Article 21 of the Enforcement Decree of the Welfare of Senior Citizens Act requires an elderly welfare facility closure report 3 months before closure, so check the facility closure schedule as well.
Does a business suspension imposed on the former director pass to the transferee?
Yes, for 3 years from the sanction date. Article 37-4 of the Long-Term Care Insurance Act passes the effects of administrative sanctions to the transferee and allows pending procedures to continue, except where the transferee proves it did not know of the sanction or violation at the time of acquisition. For this reason, obtain the sanction history from the transferor in writing before signing.
Is a new designation needed if only the corporate representative changes?
It depends. If the designated corporation continues to operate and only its representative changes, it is subject to a change report on Form No. 23 within 14 days of the change. If the operator itself changes from one individual to another individual or a corporation, a new designation is required.
How long is the transferee's new designation valid?
6 years from the date of designation. The remaining validity of the transferor's designation does not carry over, so to continue operating, apply for renewal at least 90 days before the new designation expires.
Can an administrative agent prepare long-term care institution transfer documents?
Yes. Hwang Yunsang Administrative Office prepares the transferor's long-term care institution closure report and elderly welfare facility closure report, and the transferee's installation report, designation application, business plan and operating rules, and submits them to the city, county or district office on your behalf. The beneficiary transfer plan and the NHIS record transfer application are prepared on the same schedule.

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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.

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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.