Majority of foreign health insurance dependents Chinese

A majority of foreign dependents subscribed to Korea’s national health insurance were Chinese, data showed.

A branch office of National Health Insurance Corporation [JOONGANG PHOTO]

A majority of foreign dependents subscribed to Korea’s national health insurance were Chinese, data showed.

According to National Health Insurance Corporation data obtained by People Power Party (PPP) Rep. Lee Jong-seong, 110,988 people out of 161,744 were registered as dependents of Chinese employed in Korea and subscribed to national health insurance as of May this year.

This accounts for 68.6 percent, the highest percentage, out of the top ten countries with the most subscribers to the country's health insurance.

Vietnam followed with 21,668 dependents.

China also has the highest number of elderly dependents aged 60 and above.

Out of all Chinese dependents, 35.1 percent, or 38,925 individuals, were aged 60 and above. Over 13 percent, or 15,001 people, were aged 70 and above.

They were followed by elderly dependents from the United States (27.3 percent), Uzbekistan (12 percent) and Vietnam (10.5 percent).

Out of the total elderly subscribers from the ten major countries, Chinese accounted for 87 percent.

This trend has continued for the past five years.

The number of elderly dependents among Chinese aged 60 and above has increased by 18.1 percent compared to 2018.

This growth rate is lower than that of Vietnam (35.7 percent) and Uzbekistan (118.7 percent). However, the rate for countries such as the United States, Nepal, and Indonesia has decreased over the same period.

The Chinese were the only foreigners that received more benefits than they paid into the health insurance system. They incurred a deficit of 22.9 billion won ($17.5 million) last year, double the amount of 10.9 billion won in 2021.

The accumulated deficit over five years from 2018 to 2022 has reached 307.3 billion won.

“Restrictions on travel from China and entry to Korea have made the deficit decrease during the Covid-19 era, but it is increasing again,” an official from the National Health Insurance Corporation said.

“There is a high possibility that it will further increase this year."

China was the only country that yielded a deficit among the ten major countries in the past five years.

Last year, the United States yielded a surplus of 75.8 billion won and Nepal 57.5 billion won.

The Ministry of Health and Welfare estimates that there are also a significant number of elderly individuals among Chinese local subscribers of the country’s national health insurance.

Foreigners subscribed to Korea’s health insurance service are largely divided into employed subscribers, local subscribers and their dependents or families.

Local subscribers are those that are not registered as employed subscribers and dependents. Their families are only allowed to benefit from the insurance after six months of stay in Korea as opposed to dependents of employed subscribers who can make use of the insurance as soon as they arrive in the country.

As such, PPP lawmakers Joo Ho-young and Song Eon-seog proposed a regulation that sees dependents of employed subscribers benefit from the insurance six months after arrival. But the proposal has never been discussed at the parliament.

The People Power Party has said that instead of amending the law, it will amend the enforcement regulations of the National Health Insurance Act.

“Whether through an amendment to the health insurance law or enforcement regulations, we must promptly address the issue of immediate access to Korean healthcare upon entry," PPP Rep. Lee Jong-seong said.

On June 20, PPP leader Kim Gi-hyeon said during his parliamentary speech that it is unjust and unfair that the Chinese are benefiting more from the country’s health insurance, stressing the need to re-establishing the relationship between the two countries under the principle of reciprocity.

However, it is highly unlikely for the issue of insurance dependents to be addressed based on the principle of reciprocity as the healthcare insurance systems of the two countries are significantly different. Restricting only Chinese nationals would also face the same issues.

BY SHIN SEONG-SIK, CHO JUNG-WOO [cho.jungwoo1@joongang.co.kr]