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Equity of the National Health Insurance contribution between the self-employed and employees

홍백의 1 Bae ji young 1 Park, Mihee 1 강준모 1

1서울대학교

Accredited

ABSTRACT

Due to the improbability of probing exact household income, the Korean National Healthcare System imposes a different contribution rate for two groups: employee and self-employed. The different contribution rating system have caused people to raise issue of equity. However, previous literature on this issue have fall short in using a multidimensional and subjective method when measuring household’s contribution ability. Thus, using the Korean Labor & Income Panel data, this study compared the household’s contribution ability by measuring contribution ability with household's income, consumption expenditure, savings, asset and liability. Furthermore, it analyzes the equity in contribution ability and actual payment using the Kakwani coefficient. The paper concludes by suggesting a unified contribution rate system which should be based on household’s aggregate income.

Citation status

* References for papers published after 2023 are currently being built.