"National health insurance finances stable … premium revenue expected to rise on semiconductor boom"

[123RF]
[123RF]

South Korea's national health insurance premium rate will be frozen at 7.19% next year, the same level as this year.

The Ministry of Health and Welfare said Tuesday it had decided to keep the 2027 national health insurance premium rate unchanged after convening a meeting of the Health Insurance Policy Deliberative Committee, the body responsible for setting health insurance policy.

The per-point amount for property-based premiums charged to self-employed subscribers was also held at this year's level of 211.5 won.

The decision came amid divided opinion. Some had argued that premium increases should be held back to ease the burden on households, while others contended that freezing premiums while the government has yet to fulfill its legal obligation to cover 20 percent of national health insurance costs through public funds would weaken coverage and drive up out-of-pocket medical expenses.

The Ministry of Health and Welfare cited the current state of national health insurance finances and expectations of rising premium revenue as the main reasons for the freeze.

The ministry said it had weighed the need to account for spending tied to ongoing efforts to strengthen regional, essential and public healthcare, as well as health insurance coverage reforms. It also factored in the stable fiscal performance of the national health insurance system — which has posted a current-account surplus for five consecutive years and holds reserves equivalent to 3.5 months of expenditure — along with a planned 1.1 trillion won ($819 million) increase in government support next year and expectations that premium revenue will rise on the back of a boom in the semiconductor industry.

The national health insurance premium rate had been frozen at 7.09% for two consecutive years in 2024 and 2025 before being raised 1.48% this year, the first increase in three years.


thlee@heraldcorp.com