Foreigner Health Insurance in Korea: National Health Insurance vs. Private Insurance

As a foreigner living in South Korea, it’s essential to have health insurance in case of a sudden illness or accident. Despite Korea’s high medical standards and easy access to hospitals, paying for medical bills without insurance can be quite expensive. This is why many people consider buying ‘foreigner health insurance in Korea’. In this article, we’ll compare the two main options, the National Health Insurance and private insurance, to see which one is best for your situation. When you consider the premiums, coverage, and enrolment process, the answer is surprisingly simple.

Foreigner Health Insurance in Korea, National Health Insurance (Public Insurance)

Does everyone have to join?

Foreigners staying in Korea for longer than six months are basically required to enrol in the National Health Insurance (except for some visa types). For example, holders of student visas (D-2), work visas (E-7), and marriage visas (F-6) are required by Korean law to enrol in the National Health Insurance once their stay exceeds six months. With some exceptions (diplomatic, short-term visas, etc.), almost all long-term foreigners are covered.

Calculating and paying premiums

Health insurance premiums vary depending on your income and wealth, and the way they are calculated depends on whether you are an employed person (someone who receives a monthly salary from a company) or a local person (self-employed, international student, etc.). If you are employed, a certain percentage is automatically deducted from your salary, and your employer pays half. Local enrollees pay a monthly premium based on a standard calculated by the Korea Health Insurance Corporation. The same principle applies to foreigners, and the amount is determined by the length of time you live in Korea and your income.
For example, international students may pay around 40,000 to 50,000 won per month (depending on their circumstances), while those with work visas and higher salaries may pay more. You can also register your dependents, so your spouse or children are covered.

Coverage and hospital access

If you’re enrolled in the National Health Insurance, you’ll receive a 50-80% discount (depending on the treatment) on most hospital and clinic fees. For example, a 100,000 won test can cost less than half of the actual co-payment. Hospitalisation and surgery are also covered, and major illnesses (cancer, critical illnesses) are significantly reduced.
However, it doesn’t cover everything. Dental prosthetics, cosmetology, some elective treatments, and Chinese medicine are not covered, and deductibles can still be high. You may need to supplement this with private insurance or a rider.

Foreigner Health Insurance in Korea, private insurance: the benefits of freedom of choice and combination

Features of private insurance for foreigners

Private insurance is a system where you sign a contract with an insurance company (e.g. Samsung Fire, DB Insurance, Hyundai Marine, LIG, etc.) and receive a certain amount of money back when you make a hospital claim. Unlike the National Health Insurance, there is no obligation to enrol, but you have the flexibility to set your own coverage, limits, and special conditions. For example, you can add or subtract ‘dental treatment coverage’, ‘traffic accident injury coverage’, ‘severe illness coverage’, etc. as you wish, so you can customise your plan.
Premiums vary depending on your age, health status, and the number of riders. For example, if a foreign worker in his or her 30s chooses only accident and hospitalisation coverage, it can cost around 50,000 won per month, but if you add cancer, dental, and worker’s compensation, the cost goes up. Discounts may be available if your company or school buys private insurance as a group.

Standalone vs. combined with National Health Insurance

People often ask, ‘If National Health Insurance is compulsory, why do I need private insurance?’, but the two systems can be complementary due to the different scope of coverage. Dental treatment, plastic surgery, ophthalmology (vision correction), and certain non-payable items are not covered by the NHI, which means you will have to pay a large deductible. You can reduce your financial losses by covering these areas with a private insurance policy.
On the other hand, if you are a short-term visitor (6 months or less) or on a specific visa (which is not compulsory), you may be able to pay for private insurance without National Health Insurance. In this case, you will have to pay the full amount at the hospital and submit the receipt to your insurance company. It’s a bit of a hassle, but if you don’t plan on going to the hospital often, it’s probably worth it.

---

Foreigner Health Insurance in Korea, Insurance Costs, and Which is Better?

Stability of the National Health Insurance

Because it’s a public system, there are few risks, such as non-payment of claims or disputes over terms and conditions. It’s also convenient because it can be used at any hospital in Korea. Furthermore, even if you have a chronic or pre-existing condition, you won’t be turned down (although premiums may vary). Private insurance, on the other hand, may reject you or charge you higher premiums based on your past medical history, age, and occupational risk.

Additional coverage with private insurance

Private insurance is flexible because it can include additional coverage, such as dental care, certain general check-ups, travel accident and death benefits. It can be a good way to fill in certain gaps in your National Health Insurance coverage. For example, if you’re in a car accident and want a large settlement or after-effects coverage, you’re better off with private insurance. If you’re an expat who travels abroad a lot, you can also add an overseas accident cover option.

Actual cost comparison examples

• A (foreign worker, 30s): Employee with National Health Insurance. Every month, the company pays half the cost, and I pay about 70,000 won out of pocket. Even without private insurance, she can save a lot of money on hospital bills, but she thinks she will have to pay for orthodontic treatment.
• Mr B (foreign student, 25 years old): Local National Health Insurance subscriber. About 50,000 won/month. In addition, I have a private insurance policy that covers hospitalisation costs (20,000 won per month). In total, about 70,000 won per month for hospitalisation and surgery.
• Mr C (short-term resident, 3-month stay): National Health Insurance is not compulsory. Private travel insurance (around 30,000 won per month). Prepayment at the airport and at the hospital through the documentation process and later billed to the insurer. No medical conditions and short stay, so less burden.

---

How to get health insurance as a foreigner: documents and where to apply

National Health Insurance

Employed: Automatically processed by the company. You will need to submit a copy of your Alien Registration Card, employment contract, etc.

Local subscribers: Visit a KHIC branch or apply through the website. Submit your Alien Registration Card, visa information, and documents confirming your residence in Korea. Applicable for stays of 6 months or more.

Private insurance

• Visit the websites of major property and casualty insurers (Samsung Fire, Hyundai Marine, DB Insurance, etc.) or visit an agent. Some companies have separate products for foreigners. You may be asked for your passport, alien registration card, and medical examination records. After signing up, check the terms and conditions and the policy carefully, and familiarise yourself with the claims procedure (submitting receipts, medical certificates, etc.).

---

Foreigner Health Insurance in Korea, what to look for to make the right choice for you

1. Length of stay: National Health Insurance for foreigners is generally mandatory for stays of 6 months or more. For less than 6 months, consider private travel insurance.
2. Health conditions and medical history: If you have a chronic illness or need dental care, private insurance may be more affordable.
3. Budget: National health insurance premiums vary depending on income and wealth, but are stable over the long term. Private insurance can get more expensive each month as you add more benefits.
4. Frequency of medical visits: If you plan to go to the hospital often, public health insurance is better. If you plan to go infrequently, you can opt for partial coverage with private insurance.
5. How often you travel abroad: You will need international private insurance or travel insurance to cover accidents and illnesses outside of Korea.

---

Bottom line: a combination of Foreigner Health Insurance in Korea is best, but it depends on your situation

When choosing health insurance for foreigners in Korea, you don’t have to choose between the National Health Insurance and private insurance. A combination of the National Health Insurance + private insurance can provide more comprehensive coverage for dental, cosmetic, and hospitalisation benefits, and is more reliable, even if it costs more. On the other hand, if you are not covered by the National Health Insurance, such as for a stay of 6 months or less, you can focus on private insurance.

In the end, you need to consider your purpose and length of stay, your health, and your budget. You never know when something will go wrong with your health, so it’s important to be prepared so that you don’t end up with a hospital bill because you thought it was ‘too much of a hassle’. Insurance can be your best ally if it works for you, but if you misunderstand it, you could end up spending unnecessary money or not being covered when you need it.

Finally, you can find information about health insurance for foreigners at the National Health Insurance Service (English website) or at the foreign language consultation service of each private insurer. Read the terms and conditions carefully before enrolling, and prepare the necessary documents and procedures in advance to make the process easier. Hopefully, you’ll never need to go to the hospital, but it’s good to have insurance to give you peace of mind in case you do.