"17.6% More to Pay..." Gyeongnam Civic Groups Urge Extension of Government Support for Health Insurance

Civil society organizations in the Gyeongnam region held a press conference urging the abolition of the sunset clause on government support for health insurance. Photo by Se-ryeong Lee ryeong@

[Asia Economy Yeongnam Reporting Headquarters Reporter Lee Seryeong] Civic groups in the Gyeongnam region have called for the extension of government support for health insurance, which is scheduled to end at the end of this year.

Government support for health insurance was introduced in 2007 to ensure the financial soundness of health insurance.

According to Article 108, Paragraph 1 of the current National Health Insurance Act, "The state shall support the National Health Insurance Corporation from the national treasury with an amount equivalent to 14% of the estimated insurance premium revenue for the relevant year within the scope of the annual budget."

The supplementary provisions related to the National Health Promotion Act state, "Notwithstanding the provisions of Article 25, Paragraph 1, the Minister of Health and Welfare shall support the National Health Insurance Corporation annually from the fund with an amount equivalent to 6% of the estimated insurance premium revenue for the relevant year under the National Health Insurance Act until December 31, 2022."

Through this, 14% of the estimated insurance premium revenue is supported from the national treasury, and 6% from the health promotion fund, making a total of 20% borne by the national treasury.

This provision is scheduled to sunset at the end of December this year, so civic groups argue that it should be extended or the sunset clause deleted to prevent deterioration of health insurance finances.

They stated, "Due to the spread of COVID-19, 300 billion KRW was spent on testing and treatment in 2020, 1.2 trillion KRW in 2021, and 900 billion KRW on vaccinations, with an additional 1.4 trillion KRW claimed for January to February this year, so expenditures will increase."

They added, "Health insurance has been the backbone protecting the people during the national disaster of COVID-19. If the government support provisions in the Health Insurance Act and the validity period of the Health Promotion Act are not amended, the public will face a 17.6% increase in insurance premiums."

After the press conference, the groups plan to launch a petition campaign to gather one million signatures urging the revision of government support for health insurance.

This content was produced with the assistance of AI translation services.