"Increased Burden of National Health Insurance Premiums... Negative Public Opinion Despite Additional Hikes"

Korea Employers Federation 'National Health Insurance Current Issues Public Awareness Survey'

[Asia Economy Reporter Kiho Sung] It has been revealed that the burden of insurance premiums on the public has intensified due to the Moon Jae-in administration's implementation of measures to strengthen coverage and the impact of COVID-19. Additionally, with the Ministry of Health and Welfare's 2023 health insurance premium rate adjustment review scheduled for next month, negative public opinion regarding further premium rate increases is also significant.

The Korea Employers Federation (KEF) announced on the 24th, based on the results of the "National Health Insurance Current Issues Public Awareness Survey" conducted nationwide among 1,000 people aged 20 and over from the 28th of last month to the 4th (7 days), commissioned to the survey agency Monoresearch, that increasing the premium rate is inappropriate amid the accumulated burden on the national economy.

According to the survey, 73.6% of respondents said the current premium level relative to income is "burdensome," while 3.5% said it is "not burdensome." Compared to last year's survey where 62.6% responded that the premium level was "burdensome," it can be seen that the actual burden on the public has significantly intensified.

Regarding the health insurance premium rate increase level from August 2017, when the Moon Jae-in administration implemented the health insurance coverage strengthening measures, until 2022, 82.1% responded that it was "high," while 1.9% said it was "low."

Concerning the health insurance premium rate adjustment to be applied next year, 71.2% of respondents demanded a "reduction or freeze," whereas the "3% range increase" planned in the Moon Jae-in administration's first comprehensive national health insurance plan (2019?2023) was the least demanded at 1.1%.

Meanwhile, assuming the current comprehensive plan's annual premium rate increase of 3.2%, it is projected that the actual premium rate will exceed the statutory upper limit (8%) by 2027. Regarding revising the statutory upper limit on premium rates, 64.0% opposed it, while 24.7% supported it.

The revision of the statutory upper limit on premium rates is a contentious issue, with "support" opinions emphasizing the inevitability of premium rate increases due to aging and efforts to strengthen coverage, and "opposition" opinions emphasizing the need to manage expenditures efficiently within the current statutory limit. The majority of the public appears to sympathize with the latter.

Ryu Ki-jung, Executive Director of KEF, pointed out, "Health insurance premiums naturally increase automatically every year due to wage increases and rising official land prices," adding, "With the prevailing outlook that comprehensive economic uncertainties such as high inflation, high exchange rates, and high interest rates will continue for the time being, the health insurance premium rate for next year should be reduced or frozen considering the burden on the national economy."

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