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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] Seoul, August 28, 2025 — South Korea will raise its National Health Insurance (NHI) premium rate by 1.48% to 7.19% next year, the Ministry of Health and Welfare announced on August 28 following a decision by the Health Insurance Policy Deliberation Committee, the top decision-making body on health insurance policy.
Under the adjustment, the average monthly premium for employees will increase by KRW 2,235, while the average for self-employed subscribers will rise by KRW 1,280.
The committee explained that while NHI finances remain stable, the revenue base has weakened due to past freezes in contribution rates and the country’s prolonged low-growth trend. At the same time, spending needs are increasing to strengthen regional and essential medical services, creating a need for a moderate rate increase.
The government initially reviewed a hike of around 2%, but ultimately settled on a smaller adjustment of 1.48%, taking into account household affordability.
With the change, employed subscribers will see their average monthly premium increase from KRW 158,464 this year to KRW 160,699 in 2026. Employee contributions are shared equally between workers and employers. For self-employed subscribers, the average monthly premium will rise from KRW 88,962 to KRW 90,242.
This marks the first premium rate increase in three years. The last adjustment was in 2022, when the rate for 2023 was raised to 7.09%. Rates were frozen in both 2023 and 2024 to ease the financial burden on households, marking the first time the government had frozen rates for two consecutive years.
알파경제 Kim Jisun (stockmk2020@alphabiz.co.kr)
