Article 13 (Premiums)

(1) The premiums described in any of the following subparagraphs shall be collected from an insurance subscriber to finance the expenses required for insurance activities：[Amended by Act No. 9989, Jan. 27, 2010]
1. Premiums (hereinafter referred to as “employment insurance premiums”) for employment security and vocational skills development projects and unemployment benefits；and
2. Premiums (hereinafter referred to as “industrial accident compensation insurance premiums”) for industrial accident compensation insurance.
(2) The amount of employment insurance premiums to be borne by a worker who has joined employment insurance shall be the amount produced by multiplying his/her total remuneration by one half of the premium rate for unemployment benefits under Article 14 (1). Provided that if the worker did not receive remuneration pursuant to Article 2 (3), he/she shall take a burden of the amount calculated by multiplying the money regarded as remuneration pursuant to Article 2 (3) by the premium rate of unemployment allowance pursuant to Article 14 (1). And the worker who received from the employer during his/her leave or other similar non-working period, belonging to reasons stipulated by the notification of the Minister of Employment and Labor, shall take its premium calculated by multiplying the total amount of remuneration received during the period by the premium rate of unemployment allowance pursuant to Article 14 (1). [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10894, Jul. 21, 2011]
(3) Notwithstanding the provisions of paragraph (1), If a person who is employed(except when a person has maintained the insured status from a period before being 65 years old and has been employed continuously after age 65) or becomes self-employed after 65 years of age pursuant to subparagraph 12 of Article 10 of the Employment Insurance Act, his/her premiums for unemployment benefits of employment insurance shall not be collected. [Amended by Act No. 11863, Jun. 4, 2013]
(4) The amount of employment insurance premiums to be borne by an employer pursuant to paragraph (1) shall be the sum of the individual amounts (the remuneration pursuant to the Proviso of paragraph (2) shall be excluded from the total sum or remuneration), each produced by multiplying the total remuneration of his/her insured workers engaging in the business by each of the following subparagraphs：[Amended by Act No. 10894, Jul. 21, 2011 and Act No. 11863, Jun. 4, 2013]
1. The premium rate for employment security and vocational skills development projects under Article 14 (1)
2. One half of the premium rate for unemployment benefits
(5) The amount of the insurance premiums to be borne by employers pursuant to paragraph (1) shall be the sum of the wages of each worker working in the employer’s business multiplied by the industrial accident insurance premium rate in accordance with a corresponding subparagraph below: Provided, That the industrial accident compensation insurance premium rate prescribed in subparagraph 1 shall be applied for cases falling under Article 34 paragraph (1).
1. The industrial accident insurance rate that is applied to the same kind of business in accordance with Article 14 paragraphs (3) through (6)
2. The industrial accident insurance rate in accordance with Article 14 paragraph (7)
(6) If it is difficult to decide the estimated total remuneration under Article 17 (1) or the total remuneration under Article 19 (1), the estimated total remuneration or the total remuneration may be determined using the labor cost ratio determined and announced by the Minister of Employment and Labor under the conditions as prescribed by the Presidential Decree. [Amended by Act No. 10339, Jun. 4, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 14 (Determination of Premium Rates)

(1) Employment insurance premium rates shall be prescribed by the Presidential Decree, separately for employment security and vocational skills development projects and for unemployment benefits, within the limits of 30/1,000, in consideration of trends in insurance revenues and expenses, economic conditions, etc.
(2) Any determination or change of the employment insurance premium rates under paragraph (1) shall be deliberated by the Employment Insurance Committee prescribed in Article 7 of the Employment Insurance Act.
(3) The industrial accident insurance rate regarding accidents on duty in accordance with Article 37 paragraph (1) subparagraphs 1 and 2 and subparagraph 3 a. of the Industrial Accident Compensation Insurance Act (referred to as “industrial accident insurance rate” from paragraph (4) to paragraph (6)) shall be determined, based on the total amount of industrial accident insurance benefits above the total amount of payment received on June 30 of the current year and previous two years, by Ordinance of the Ministry of Employment, in consideration of the amount of industrial accident insurance benefits such as annuities as prescribed in the Industrial Accident Compensation Act, the cost of preventing accidents and improving workers’ welfare, etc. by classifying business types. In such cases, the amount of insurance benefits paid due to an accident on duty as prescribed by Article 37 paragraph (1) subparagraph 3 b of the Industrial Accident Compensation Insurance Act shall not include the total amount of the industrial accident insurance benefit.
(4) Notwithstanding the provisions of paragraph (3), the industrial accident compensation insurance premium rates for businesses for which three years have not passed since their insurance relationship was established shall be determined by the Minister of Employment and Labor differently according to type of business through deliberation by the Deliberation Committee on Industrial Accident Compensation Insurance and Prevention under Article 8 of the Industrial Accident Compensation Insurance Act under the conditions as prescribed by the Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 10339, Jun. 4, 2010]
(5) The Minister of Employment and Labor shall, if industrial accident compensation insurance premium rates are determined pursuant to paragraph (3), ensure that the insurance premium rate for a particular type of business does not exceed 20 times the average insurance premium rate for all types of business. [Amended by Act No. 10339, Jun. 4, 2010]
(6) The Minister of Employment and Labor shall, if the industrial accident compensation insurance premium rate for a particular type of business is increased or decreased pursuant to paragraph (3), adjust it by no more than 30/100 of the insurance premium rate for the preceding year. [Amended by Act No. 10339, Jun. 4, 2010]
(7) The industrial accident insurance premium rate as prescribed by Article 37 paragraph (1) subparagraph 3 b of the Industrial Accident Compensation Insurance Act shall be determined by Ordinance of the Ministry of Employment and Labor considering the amount of money for the industrial accident insurance benefits due to the accident including annuity etc. as prescribed by the same Act and the cost of preventing accidents and improving workers’ welfare.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 15 (Special Cases of Premium Rate)

(1) In cases of a business prescribed by Presidential Decree for which three years have passed as of September 30 each year since an employment insurance relationship was formed, if the ratio of the amount of unemployment benefits to the insurance premium for the relevant unemployment benefits during the three years before September 30 of the relevant year constitutes the ratio prescribed by Presidential Decree, the rate raised or lowered based on the standard prescribed by Presidential Decree by up to 40/100 of the insurance premium rate for unemployment benefits applicable to such business, may be set as the insurance premium rate for unemployment benefits for such business for the following insurance year, notwithstanding Article 14 (1).

(2) In cases of a business prescribed by Presidential Decree for which three years have passed as of June 30 each year since an industrial accident insurance relationship was formed, if the ratio of the amount of industrial accident insurance benefits (excluding insurance benefits paid on grounds of occupational accidents under Article 37 (1) 3 (b) of the Industrial Accident Compensation Insurance Act) to the industrial accident insurance premium (excluding the amount calculated by multiplying the industrial accident insurance premium rate pursuant to Article 13 (5) 2) during the three years before June 30 of the relevant year constitutes the ratio prescribed by Presidential Decree, the rate raised or lowered as prescribed by Presidential Decree by up to 50/100 of the industrial accident insurance premium rate under Article 13 (5) 1 applicable to such business based on the scale of business adding industrial accident insurance premium rate under Article 13 (5) 2, may be set as the industrial accident insurance premium rate for such business for the following insurance year, notwithstanding Article 14 (3) and (4).

(3) Where the owner of a business prescribed by Presidential Decree, for which an industrial accident insurance relationship has been formed, is recognized by the Minister of Employment and Labor as having performed accident prevention activities for the safety and health of employees of the business, the rate lowered as prescribed by Presidential Decree by up to 30/100 of the industrial accident insurance premium rate under Article 13 (5) 1 applicable to such business after adding industrial accident insurance premium rate under Article 13 (5) 2, may be set as the industrial accident insurance premium rate (hereinafter referred to as "industrial accident prevention rate") for such business for the following insurance year, notwithstanding Article 14 (3) and (4).

(4) For the purposes of applying the industrial accident prevention rate, the details of, and recognition period for, accident prevention activities, the period to which the industrial accident prevention rate is applied, and other necessary matters shall be prescribed by Presidential Decree, for each category of accident prevention activities performed by business owners.

(5) In cases of a business to which both the industrial accident insurance premium rates referred to in paragraphs (2) and (3) are applicable, the rate calculated by raising or lowering the value, which is obtained by aggregating the industrial accident insurance premium rate applicable to such business pursuant to Article 14 (3) or (4) and the rate raised or lowered, respectively, pursuant to paragraph (2) or (3) (if a raised rate and a lowered rate exist at the same time, the same value shall be offset mutually), shall be set as the industrial accident insurance premium rate for such business for the following insurance year.

(6) The Minister of Employment and Labor shall revoke recognition of accident prevention activities, if a business subject to the industrial accident prevention rate falls under any of the following cases:

1. Where accident prevention activities are recognized by fraud or other improper means;

2. Where any serious accident defined in subparagraph 2 of Article 2 of the Occupational Safety and Health Act occurs during the recognition period for accident prevention activities: Provided, That this shall not apply to any accident prescribed by Presidential Decree, which is not directly related to the duties of business owners referred to in Article 5 of the Occupational Safety and Health Act;

3. Where any other grounds prescribed by Presidential Decree exist, such as where it is impracticable to recognize that the purpose of accident prevention activities has been accomplished.

(7) In cases of a business for which recognition of accident prevention activities has been revoked pursuant to paragraph (6) 1, the application of the industrial accident prevention rate therefor shall be revoked; and the industrial accident insurance premium for the period to which the industrial accident prevention rate was applied shall be recalculated and reimposed.

(8) In cases of a business for which recognition of accident prevention activities has been revoked pursuant to paragraph (6) 2 or 3, the industrial accident insurance premium rate for such business for the following insurance year, shall be calculated by applying the industrial accident prevention rate based on the proportion of the recognition period for accident prevention activities in the relevant insurance year.

(9) The Minister of Employment and Labor may entrust his or her duties concerning recognition of accident prevention activities referred to in paragraph (3) to an agency prescribed by Presidential Decree, which is an institution or organization equipped with professional human resources and facilities relating to occupational safety and health.

(10) Matters necessary for applying the industrial accident prevention rate, procedures, etc. for recognizing, or revoking recognition of, accident prevention activities under paragraphs (3) and (6) shall be prescribed by Ordinance of the Ministry of Employment and Labor.

[This Article Wholly Amended on Dec. 30, 2009]

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Article 16 (Withholding of Employment Insurance Premiums)

(1) An employer may withhold at source the amount equivalent to the employment insurance premiums to be borne by an insured worker under Article 13 (2) from remuneration to be paid to the worker under the conditions as prescribed by the Presidential Decree.
(2) If an employer has withheld at source the amount equivalent to employment insurance premiums pursuant to paragraph (1), the employer shall issue the relevant withholding statement to the worker concerned.
(3) An original contractor or a subcontractor who becomes an employer under Article 9 (1) and (2) may entrust his/her subcontractors who employ workers other than insured workers employed by himself/herself to withhold at source the amount equivalent to the premiums to be borne by the workers from their remuneration under the conditions as prescribed by the Ordinance of the Ministry of Employment and Labor.
(4) In cases where the worker pays by him/herself the premium of unemployment allowance in accordance with the Proviso of the Article 13 (2), the employer shall report and pay on behalf of the worker, and then worker shall pay back the amount equivalent to the premium to the employer.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 16-2 (Imposition and Collection of Insurance Premiums)

(1) The Corporation shall impose the insurance premiums prescribed in Article 13 (1) every month and this shall be collected by the Health Insurance Corporation.
(2) Notwithstanding paragraph (1), Article 17 and Article 19 shall apply to cases of business such as construction etc. prescribed by the Presidential Decree.
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

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Article 16-3 (Calculation of Monthly Insurance Premiums)

(1) Monthly insurance premiums imposed by COMWEL pursuant to Article 16-2 (1) (hereinafter referred to as "monthly insurance premiums") shall be calculated by adding up the average monthly remuneration per individual of employees, the artists falling under Article 77-2 (1) of the Employment Insurance Act (hereinafter referred to as "artists"), or workers falling under Article 77-6 (1) of the same Act multiplied by the employment insurance rate and the industrial accident insurance premium rate, respectively: Provided, That, for persons prescribed by Presidential Decree, such as daily workers for whom it is impracticable to calculate the average monthly remuneration, the amount calculated as prescribed by Presidential Decree shall be deemed the average monthly remuneration per individual.

(2) The average monthly remuneration under paragraph (1) shall be calculated based on the remuneration paid by the business owner and money and goods under the proviso of subparagraph 3 of Article 2. In such cases, the method of calculating the average monthly remuneration, the applicable period, the standards for the minimum amount, etc. shall be prescribed by Presidential Decree.

(3) Deleted.

(4) Deleted.

[This Article Newly Inserted on Jan. 27, 2010]

Article 16-4 (Calculation of Monthly Insurance Premiums on Pro Rata Basis)

Where an employee falls under any of the following cases, the monthly insurance premium for such employee shall be calculated on a pro rata basis:

1. Where the employee is newly employed or an employment relationship is terminated in the middle of a month;

2. Where the employee is transferred from one place of business to another place of business of the same business owner;

3. Where the period constituting the grounds prescribed by Presidential Decree, such as temporary leave of the employee, is in the middle of a month.

[This Article Newly Inserted on Jan. 27, 2010]

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Article 16-5 (Special Cases of Calculating Premiums)

If a worker falls under reasons prescribed by the Presidential Decree such as payment of allowances during business suspension etc. pursuant to Article 46 (1) of the Labor Standards Act, the premiums shall be calculated excluding the whole or part of monthly average remuneration (total remuneration for businesses such as construction businesses etc. under Article 16-2 (2)) of the worker concerned pursuant to the conditions prescribed in the Presidential Decree.
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

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Article 16-6 (Calculation of Monthly Premium pursuant to Investigations etc.)

(1) If the employer fails to make a report as prescribed in Article 16-10 (1) to (5) or the report is different from facts, the Corporation may inform the employer of the investigation in advance and investigate the facts, and calculate monthly premiums by determining the monthly average remuneration on the basis of the amount falling under any of the following subparagraphs：[Amended by Act No. 11863, Jun. 4, 2013]
1. The amount calculated by the Corporation after investigation
2. If the employer has reported a worker’s remuneration etc. to a relevant institution such as the Corporation or National Tax Service, etc., the amount
3. If it is difficult to confirm materials related to a worker’s remuneration, etc., the standard remuneration
(2) In the case an employer makes a report after revising the monthly average remuneration etc. after the Corporation has calculated the premiums pursuant to paragraph (1), the Corporation may investigate the facts and recalculate the monthly premiums.
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

Article 16-7 (Deadline for Payment of Monthly Premiums)

(1) An employer shall pay the monthly premiums of the month by the tenth day of the following month.
(2) Notwithstanding paragraph (1), the premiums calculated pursuant to Article 16-6 and Article 16-9 (2) shall be paid by the deadline determined and notified by the Health Insurance Corporation.
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

Article 16-8 (Notification of Monthly Premiums)

(1) The Health Insurance Corporation shall notify an employer of the payment of monthly premiums at least 10 days before the payment deadline in a document stating the matters of the following subparagraphs：
1. Type of insurance premium, etc. to be collected
2. Amount of insurance premium, etc. that must be paid
3. Payment deadline and place
(2) In the case the Health Insurance Corporation notifies payment pursuant to paragraph (1), notifications may be made by an electronic document under the method of electronic document exchanges etc. upon requested by employers.
(3) If notified by electronic documents prescribed in paragraph (2), it shall be regarded as having reached the employer when saved on the information and communications network prescribed by Ordinance of the Ministry of Employment and Labor or when entered in the electronic mail address designated by the person liable for the payment. [Amended by Act No. 10339, Jun. 4, 2010]
(4) A notification to one of the persons liable for joint payment prescribed in Article 28-4 shall be regarded as notification of the other persons liable for the same joint payment.
(5) The application method and procedures and other necessary matters for notification by electronic documents prescribed in paragraph (2) shall be determined by Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 10339, Jun. 4, 2010]
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

Article 16-9 (Calculation of Insurance Premiums)

(1) COMWEL shall calculate insurance premium that a business owner shall actually pay by adding up the amount obtained by multiplying the total remuneration of each individual of employees reported by the business owner pursuant to Article 16-10 (1), (2), or (4) by the insurance premium rate. In such cases, excluded herefrom are cases where a person who has paid the insurance premium under Article 48-2 (6) or 48-4 (3) has paid the insurance premium of a business owner, artist or worker through withholding.

(2) Where a business owner fails to report the total remuneration referred to in Article 16-10 (1), (2), or (4) or falsely reports it, COMWEL shall calculate the insurance premium referred to in paragraph (1) by applying Article 16-6 (1) mutatis mutandis thereto.

(3) The Health Insurance Service shall return an excess amount to the relevant business owner if the insurance premium already paid by the business owner exceeds the insurance premium calculated pursuant to paragraph (1) or (2); and collect a shortage from the relevant business owner if the insurance premium already paid is less than that.

(4) Where the Health Insurance Service collects any shortage from a business owner pursuant to paragraph (3), it shall do so by adding it to the insurance premium for the month for which the accounts have been settled: Provided, That where a shortage exceeds the insurance premium for the month for which the accounts have been settled, such shortage shall be collected, by halving it and then adding each half to the insurance premium for the month for which the accounts have been settled and to the insurance premium for the following month, respectively.

[This Article Newly Inserted on Jan. 27, 2010]

Article 16-10 (Report of Total Remuneration etc.)

(1) A business owner shall report to COMWEL the total remuneration, etc. paid to employees, artists, or workers in the previous year, by March 15 each year. In such cases, excluded herefrom are cases where a person who has paid the insurance premium under Article 48-2 (6) or 48-4 (3) has paid the insurance premium of a business owner, artist or worker through withholding.

(2) Where an insurance relationship is terminated due to discontinuance, termination, etc. of a business, the relevant business owner shall report the total remuneration, etc. paid to employees, artists, or workers to COMWEL, within 14 days from the date the insurance relationship is terminated.

(3) In any of the following cases, a business owner shall report the name, address, etc. of an employee, artist or worker to COMWEL by the 15th day of the month in which the relevant employee is employed or the relevant artist or worker begins to provide labor: Provided, That a report need not be submitted with respect to employees prescribed by Presidential Decree, such as those whose contractual work hours are less than 60 hours for a month.

1. When it employs a new employee;

2. When a contract related culture and arts services under Article 77-2 (1) of the Employment Insurance Act (hereinafter referred to as "contract related to culture and arts services") is concluded;

3. When a labor contract (hereinafter referred to as "labor contract") is concluded under Article 77-6 (1) of the Employment Insurance Act;

(4) In any of the following cases, a business owner shall report to COMWEL the total remuneration paid to the relevant employee, artist, or worker, employment relationship, or the expiration date of a contract or labor contract related to culture and arts services, etc. by the 15th day of the month following the month in which the relevant employment relationship or contract expires:

1. When he or she terminates an employment relationship with an employee;

2. When he or she has completed a contract related to culture and arts services with an artist;

3. When a labor contract is terminated with a worker.

(5) Where any ground prescribed by Presidential Decree, such as temporary leave of an employee, artist or worker or his or her transfer to another place of business, arises, the relevant business owner shall report such fact to COMWEL, within 14 days from the date such ground arises.

(6) Matter to be reported, the method and procedures for reporting under paragraphs (1) through (5), and other necessary matters shall be prescribed by Presidential Decree.

(7) Where a business owner, or the person placing an order or an original contractor has reported matters referred to in paragraphs (3) through (5) to the Minister of Employment and Labor pursuant to Articles 15, 77-2 (3), 77-5 (1) and 77-10 (1), the report referred to in paragraphs (3) through (5) may be omitted.

(8) A business owner required to report the matters specified in paragraphs (1) through (5) shall do so by using information and communications networks or by submitting the relevant report in electronic recording media, such as compact discs: Provided, That a business owner of such size as prescribed by Presidential Decree may file a relevant report in writing.

[This Article Newly Inserted on Jan. 27, 2010]

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Article 16-11 (Report of Revision)

An employer who submitted the report on total remuneration pursuant to Article 16-10 (1) or (2) within the deadline for report, may revise the total remuneration and make a new report until before the Corporation gives advance notice of its intention to investigate the facts in the employer’s original report pursuant to Article 16-6 (1) and 16-9 (2) in the case where the total remuneration written in the total remuneration report is different from the total remuneration amount that must actually be reported. In this case, the necessary matters concerning the report on the revised remuneration and the report procedures shall be prescribed by Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 10339, Jun. 4, 2010 and Act No. 11863, Jun. 4, 2013]
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

Article 16-12 (Payment of Insurance Premiums, etc., by Credit Card, etc.)

(1) The person liable for payment may pay insurance premiums, etc. with a credit card or debit card, etc., (hereinafter in this Article referred to as “credit card, etc.”) via an agency for payment of insurance premiums determined by Presidential Decree.
(2) When paying insurance premiums, etc., by credit card, etc., pursuant to paragraph (1), the payment date shall be deemed as the approval date of an agency for payment of insurance premiums.
(3) An agent for payment of insurance premiums may receive payment agency fees in exchange for payment of insurance premiums, etc., by credit card, etc., from the person liable for the payment.
(4) Matters necessary for appointment and operation of an agency for payment of insurance premiums, payment agency fees, etc., shall be determined by Presidential Decree.
[This Article Newly Inserted by Act No. 12526, Mar. 24, 2014]

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Article 17 (Report and Payment of Estimated Premiums of Construction Business, etc.)

(1) An employer falling under Article 16-2 (2) (hereinafter in this Article through Article 19, the same shall apply.) shall report and pay to the Corporation every insurance year the amount (hereinafter referred to as “estimated premiums”) calculated by multiplying the estimated total remuneration (total wages paid to workers who were used for the previous year, in the cases prescribed by the Presidential Decree) to be paid to his/her workers (excluding workers excluded from application under Article 10 of the Employment Insurance Act, in the case of calculating employment insurance premiums；hereinafter in this Article and Article 19, the same shall apply.) who will be used for the one year (the period from the date of establishment of an insurance relationship to the end of the insurance year, in case the insurance relationship is established during the insurance year) by the premium rates, each for employment insurance and industrial accident compensation insurance, until March 31 (within 70 days from the date of establishment of an insurance relationship, in case the insurance relationship is established during the insurance year, and until the day prior to the date of completion of such business in case the business with a fixed period, such as construction work, is completed within 70 days) of the said insurance year under the conditions as prescribed by the Presidential Decree：Provided that if the deadline for the report and payment of the estimated insurance premiums of the insurance year concerned is later than that for the report and payment of the final insurance premiums under Article 19, the deadline for the report and payment of the final insurance premiums of the insurance year shall be the deadline for the report and payment of the estimated insurance premiums of the insurance year. [Amended by Act No. 9989, Jan. 27, 2010]
(2) If an employer does not make a report as prescribed in paragraph (1) or the report is different from facts, the Corporation shall calculate and collect estimated premiums after investigating the facts, and if there are some amounts already paid, collect the shortfall.
(3) An employer may pay in installments the estimated premiums under paragraph (1) under the conditions as prescribed by the Presidential Decree.
(4) If an employer pays in a lump sum the whole estimated premiums which can be paid in installments pursuant to paragraph (3) before the payment deadline under paragraph (1), an amount not more than 5/100 of the estimated premiums prescribed by the Ordinance of the Ministry of Employment and Labor shall be cut. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
(5) An employer who has reported estimated premiums before the deadline under paragraph (1) may, if the amount of estimated premiums already reported exceeds the amount of estimated premiums which has to be reported under this Act (excluding the case prescribed in Article 18 (2)), request the Corporation to revise the originally reported amount of estimated premiums within one year after the deadline under paragraph (1) has passed.
(6) Necessary matters concerning the request for the revision of estimated premiums under paragraph (5) and notification on the results of the request for the revision shall be prescribed by the Presidential Decree.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]
[Title Amended by Act No. 9989, Jan. 27, 2010]

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Article 18 (Measures Accompanying Rises or Falls, etc. in Premium Rates)

(1) If premium rates are increased or decreased, the Corporation shall adjust upwards or downwards the monthly premiums and estimated premiums, and when the monthly premiums are adjusted upward, it shall be collected by the Health Insurance Corporation and when the estimated premiums are adjusted upward, it shall be collected by the Corporation. In this case, necessary matters concerning notification to an employer, deadline for payment, etc., shall be prescribed by the Presidential Decree. [Amended by Act No. 9989, Jan. 27, 2010]
(2) If the actual amount of the total estimated premiums is down by the standard prescribed by the Presidential Decree or more from the total estimated premiums already reported because the employer reduces his/her business scale during the insurance year, the Corporation may accept the request of the employer and reduce the excess amounts. [Amended by Act No. 9989, Jan. 27, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 19 (Report, Payment and Calculation of Final Premiums of Construction Business, etc.)

(1) An employer shall report the Corporation of the amount (hereinafter referred to as “final premiums”) calculated by multiplying the total remunerations (including amounts whose payment is decided) paid to his/her workers (excluding those excluded from application under Article 10 and 10-2 of the Employment Insurance Act, in case employment insurance premiums are calculated) who are used until the last day (until the day prior to the date of termination, in case the insurance relationship is terminated during the insurance year) of each insurance year by the employment insurance premium rates and the industrial accident compensation insurance premiums rate, respectively, until March 31 (within 30 days of the termination date, in case of a business where insurance relationship is terminated during the insurance year) of the following insurance year under the conditions as prescribed by the Presidential Decree：Provided that if the employer is the state or a local government, the report may be made until the last day (within 30 days of the termination date, in case of a business where the insurance relationship is terminated during the insurance year) of the insurance year. [Amended by Act No. 9989, Jan. 27, 2010]
(2) If the amount of estimated premiums paid or additionally collected pursuant to Article 17 and Article 18 (1) exceeds the amount of final premiums under paragraph (1), the Corporation shall return the excess amounts to the employer, and if there is a shortfall, the employer shall pay the shortfall until March 31 (within 30 days of the termination date, in case of a business where the insurance relationship is terminated during the insurance year) of the following insurance year：Provided that the employer is the state or a local government, the payment may be made until the last day (within 30 days of the termination date, in case of a business where the insurance relationship is terminated during the insurance year) of the insurance year.
(3) Notwithstanding the provisions of paragraphs (1) and (2), if the deadline for the report and payment of the final premiums of the insurance year concerned is later than that for the report and payment of the final premiums of the following insurance year, the deadline for the report and payment of the final premiums of the following insurance year shall be the deadline for the report and payment of the final premiums of the insurance year concerned.
(4) If an employer does not make a report as prescribed in paragraph (1) or the report is different from facts, the Corporation shall investigate the facts and calculate final premiums accordingly and the Corporation shall, if the employer fails to pay estimated premiums, collect the full amount of the final premiums from the employer, and if the employer has paid estimated premiums but there is any difference in amount between the already paid estimated premiums and final premiums, return the excess amount to or collect the shortfall from the employer. In this case, if the facts are to be investigated, the employer shall be informed of the investigation plan in advance.
(5) An employer who has reported final premiums before the deadline under paragraph (1) may submit a final premium revision report until before the Corporation notifies an investigation plan pursuant to the latter part of paragraph (4), if the amount of final premiums already reported is short of the amount of final premiums which has to be reported under this Act.
(6) Necessary matters concerning entries in a final premium revision report and reporting procedures shall be prescribed by the Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 10339, Jun. 4, 2010]
(7) The provisions of Article 17 (5) and (6) shall apply mutatis mutandis to reporting final premiums under paragraph (1). In this case, “estimated premiums” in Article 17 (5) and (6) shall be regarded as “final premiums”.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]
[Title Amended by Act No. 9989, Jan. 27, 2010]

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Article 19-2 (Period for Changing Method of Payment for Premiums)

If the method of payment for premiums changes due to a change in business type, the date prior to the date of changing the business type shall be regarded as the date of business closure, and the date of changing the business type shall be regarded as the date of establishment of a new business.
[This Article Newly Inserted by Act No. 9989, Jan. 27, 2010]

Article 20 (Special Cases of Premium Collection)

When collecting premiums pursuant to Articles 17 (2) and 19 (4), the Corporation may, if there are the reasons prescribed by the Presidential Decree, such as when it is difficult to secure basic materials used for premium calculation including a statement of accounts, calculate, impose, and collect premiums, using as a basis the premiums of the same kind of business which is similar to that of the employer in terms of business size, remuneration levels, sales amounts, etc., under the conditions as prescribed by the Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 21 (Subsidy of the Insurance Premium)

(1) The State may subsidize part of the employment insurance premium paid individually by the employer and workers as prescribed in Article 13 paragraphs (2) and (4) within budgetary limits for those workers to whom all of the following subparagraphs apply:
1. They are employed by a business smaller than the standard set by Presidential Decree and receive wages less than the amount determined by Presidential Decree;
2. The workers’ private property as defined by Presidential Decree is smaller than the standard set by Presidential Decree;
3. Their global incomes as prescribed in Article 4 paragraph (1) subparagraph 1 of the Income Tax Act are smaller than the standard set by Presidential Decree.
(2) Necessary matters such as the size of employment insurance premium subsidy, application method and process etc. are determined by Presidential Decree.

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Article 21-2 (Retrieval of the Subsidy)

(1) Where a person subsidized with the employment insurance premium under Article 21 falls under any of the following cases, the State may recover all or part of the subsidy: Provided, That where the amount to be recovered is less than the amount prescribed by Presidential Decree, it shall not be recovered:

1. Where the relevant person receives the subsidy by fraud or other improper means;

2. Where a person ineligible for subsidization receives a subsidy.

(2) Subsidies which become subject to recovery under paragraph (1) shall be collected by COMWEL in the same manner as delinquent national taxes are collected.

(3) Articles 27, 27-2, 27-3, 28, 28-2 through 28-7, 29, 29-2, 29-3 and 30 shall apply mutatis mutandis to restitution under paragraph (1). In such cases, the "Health Insurance Service" shall be construed as the "COMWEL."

(4) Detailed standards for recovery, procedures for recovering subsidies under paragraph (1), and other necessary matters shall be prescribed by Presidential Decree.

[This Article Newly Inserted on Feb. 1, 2012]

Article 22 deleted

Article 22-2 (Reduction of Insurance Premiums, etc.)

(1) For insurance subscribers for whom it is deemed necessary to reduce insurance premiums due to natural disasters or other special reasons prescribed by the Presidential Decree, the Minister of Employment and Labor may reduce insurance premiums and other charges prescribed in this Act after deliberation by the Employment Insurance Committee under Article 7 of the Employment Insurance Act or the Deliberation Committee on Industrial Accident Compensation Insurance and Prevention under Article 8 of the Industrial Accident Compensation Insurance Act. In this case, the reduction rate shall be set under the Presidential Decree within the limits of 50/100 and necessary matters concerning procedures for applying for reduction and the notification of a decision on whether to reduce or not shall be prescribed by the Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 10339, Jun. 4, 2010]
(2) For employers who report their total remuneration under Article 16-10 (1) or estimated premiums under Article 17 (1) through an information and communication network for employment and industrial accident by the deadline, the Corporation may reduce the monthly premiums or estimated premiums by the amount prescribed by the Presidential Decree：Provided that this shall not apply if the amount of the monthly premium or estimated premiums is less than one hundred thousand won. [Amended by Act No. 9989, Jan. 27, 2010]
(3) For employers who pay their monthly premiums or estimated premiums by means of an electronic fund transfer, the Corporation may offer them financial benefit such as reducing monthly premiums or estimated premiums as prescribed by the Presidential Decree or offering free gifts by lottery, etc. [Amended by Act No. 9989, Jan. 27, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 22-3 (Special Cases concerning Exemption from Industrial Accident Insurance Premiums)

(1) If a business owner who obtains labor from a worker in a special type of employment under Article 125 (1) of the Industrial Accident Compensation Insurance Act reports any of the following, industrial accident insurance premiums, additional charges and arrears (hereinafter referred to as "industrial accident insurance premiums, etc.") may be fully or partially exempted for the period before the date when the business owner obtaining labor from a worker in a special type of employment under Article 125 (1) of the Industrial Accident Compensation Insurance Act makes any of the following reports (referring to a report on, among other things, the date the business obtains labor from a worker in a special type of employment for the first time and on the details of work of such worker; hereinafter the same shall apply).
1. A report on an insurance relationship formed pursuant to Article 7; or a report on the provision of labor by the relevant worker in a special type of employment pursuant to Article 125 (3) of the Industrial Accident Compensation Insurance Act;

2. A report on the provision of labor by the relevant worker in a special type of employment pursuant to Article 125 (3) of the Industrial Accident Compensation Insurance Act, if the relevant business owner has already filed a report on an insurance relationship formed pursuant to Article 7.

(2) The percentage of exemption of industrial accident insurance premiums, etc. under paragraph (1) shall be in accordance with the following classification:

1. Where a business owner files a report under any subparagraph of paragraph (1) by December 31, 2021: All of the industrial accident insurance premiums, etc.;

2. Where a business owner files a report under any subparagraph of paragraph (1) from January 1, 2022 to December 31, 2022: 50/100 of industrial accident insurance premiums, etc.

[This Article Wholly Amended on Feb. 1, 2012]

[Title of This Article Amended on Jan. 5, 2021]

[This Article shall remain effective until December 31, 2022 pursuant to Article 2 of the Addenda (Act No. 17858, Jan. 5, 2021)]

Enforcement Ordinance

Article 22-4 (Special Cases concerning Restrictions on Support following Exemption from Industrial Accident Insurance Premiums)

No return-to-work subsidies, vocational adaption training costs, rehabilitation exercise costs referred to in Article 75 of the Industrial Accident Compensation Insurance Act shall be paid to the relevant business owner during the period during which he or she is exempt from industrial accident insurance premiums, etc. pursuant to Article 22-3 (1).

[This Article Newly Inserted on Feb. 1, 2012]

[Title of This Article Amended on Jan. 5, 2021]

[This Article shall remain effective until December 31, 2022 pursuant to Article 2 of the Addenda (Act No. 17858, Jan. 5, 2021)]

Article 23 (Appropriation and Return of Premiums, etc. Paid in Excess)

(1) If the Corporation desires to return money paid in mistake out of the amount paid by an employer, it shall first appropriate that money for the premiums etc. and retrievals pursuant to Article 21-2(hereinafter referred to as the "retrieval") in the order of the following subparagraphs, and if there is a remaining amount, it shall be returned to the employer, and the amount shall be paid by the Health Insurance Corporation：Provided that, the Corporation shall pay the remaining balance for estimated premiums, final premiums and charges under Article 17, Article 19 and Article 26. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 11863, Jun. 4, 2013]
1. Disposition fees for arrears under Article 28 (1)；
2. Monthly insurance premiums, estimated premiums or final premiums.
3. Arrears under Article 25 (1)；
4. Additional charges under Article 24；
5. Insurance benefits collected under Article 26 (1)；and
6. Retrieval.
(2) In the case of paragraph (1), the mistakenly paid money shall, if it is related to employment insurance, be appropriated to employment insurance premiums and related charges, retrieval and disposition fees for arrears, and if it is related to industrial accident compensation insurance, be appropriated to industrial accident compensation insurance premiums and related charges and disposition fees for arrears, and if there are two or more insurance premiums and other charges, retrieval and disposition fees for arrears under this Act, which have the same priority, the insurance premiums and other charges, retrieval and disposition fees for arrears, whose payment deadline comes earlier shall be given a priority.
(3) If industrial accident compensation insurance benefits are paid to an insurance subscriber pursuant to Article 89 of the Industrial Accident Compensation Insurance Act, they shall be first appropriated for the premiums and other charges and disposition fees for arrears (limited to charges and disposition fees for arrears related to industrial accident compensation insurance) prescribed in this Act in the order of the subparagraphs of paragraph (1) and then the balance shall be paid to the employer.
(4) If the Corporation appropriates the money paid in mistake under paragraph (1) or (2) for the premiums, retrieval and other charges and disposition fees for arrears under this Act or returns it, it shall add the amount calculated at the interest rate prescribed by the Presidential Decree for the period from the day following the date prescribed in any of the following subparagraphs to the day on which the appropriation or return is made to the amount of money paid in mistake：[Amended by Act No. 9989, Jan. 27, 2010]
1. The date on which the payment is made, in case of excess amounts due to mistaken payment, double payment or a decision to cancel or rectify the imposition after payment；
2. The date falling under the following items, in case of a return made pursuant to Article 16-9 (3)
A. The seventh day after the reporting deadline, in case the employer reported within the reporting deadline under Article 16-10 (1), (2) or (4);
B. The seventh day after the report, in case the employer reported after the reporting deadline under Article 16-10 (1), (2) or (4);
C. The last day of the month of the date the Corporation calculated the premiums pursuant to Article 16-9 (2), in case the employer didn't report pursuant to Article 16-9 (2).
3. The seventh day after the application for reduction of estimated premiums is received, in case of excess amounts due to a reduction in premiums made pursuant to Article 18 (2)；and
4. The seventh day after the report of final premiums is received, in case of a return made pursuant to Article 19 (2) or (4).
(5) If the Corporation intends to return the amount decided to be returned pursuant to paragraph 1, and if it cannot return the money to the employer due to his/her passing away, disappearance, or for other reasons prescribed by Presidential Decree, the amount of employment insurance premiums borne by the worker (excluding workers employed in the business pursuant to paragraph 2 of Article 16-2, hereinafter the same shall apply in this paragraph and paragraph 6) pursuant to Article 13 (2) shall be returned directly to the worker upon application from the worker concerned, and the Health Insurance Corporation shall pay the amount.
(6) The Corporation shall retrieve the returned amount under paragraph (5) if the worker received the money in false or other fraudulent ways. Provided that if the amount to be retrieved is less than the amount prescribed by Presidential Decree, it shall not be retrieved.
(7) Necessary matters concerning the procedures, methods, etc., of the return under paragraph (5) shall be prescribed by Ordinance of the Ministry of Employment and Labor.
(8) Regarding retrieval under paragraph 6, Article 27, 28, 29 shall apply mutatis mutandis. In this case “the Health Insurance Corporation” shall be regarded as “the Corporation”.

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Article 23-2 (Appropriation of Medical Care Expenses, etc., under Industrial Accident Compensation Insurance)

If the Corporation pays medical care expenses to a industrial accident insurance-related medical institution where the worker received medical care pursuant to Article 40 (2) of the Industrial Accident Compensation Insurance Act or costs of medicines to a pharmacy which provides medicines pursuant to subparagraph 2 of paragraph (4) of the same Article, they shall be first appropriated for the industrial accident compensation insurance premiums the medical institution or the pharmacy has to pay and other charges and disposition fees for arrears under this Act and then the balance shall be paid to the medical institution or the pharmacy. In this case, the order of priority in which they are appropriated shall be the same as the order of the subparagraphs of Article 23 (1).
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 24 (Collection of Additional Charges)

(1) If collecting premiums pursuant to Article 19 (4) as an employer fails to report total remuneration or final premiums by the deadline prescribed in Article 19 (1), or final premium is different from facts, the Corporation shall impose as additional charges the amount equivalent to 10/100 of the amount of premiums to be collected：Provided that this shall not apply to cases where the amount of additional charges is small, or cases prescribed by the Presidential Decree where collecting additional charges is deemed inappropriate, or to the portion exceeding the amount prescribed by the Presidential Decree. [Newly Inserted by Act No. 9989, Jan. 27, 2010]
(2) Deleted. [Act No. 11269, Feb. 1, 2012]
(3) Notwithstanding paragraph (1), the Corporation shall reduce 50/100 of the additional charges under paragraph (1) to employers who submitted a revised report of final premiums pursuant to Article 19 (5). [Newly Inserted by Act No. 9989, Jan. 27, 2010]

Enforcement Ordinance

Article 25 (Collection of Arrears)

(1) Where a business owner fails to pay the insurance premium or other money collectable under this Act by the payment deadline referred to in Article 16-7, 17, or 19, the Health Insurance Service shall collect arrears by adding an amount equivalent to 1/1,000 of the insurance premium in arrears and other money collectable thereto, each day from the date the payment thereof becomes overdue. In such cases, the arrears shall not exceed 20/1,000 of the insurance premium, etc. in arrears.

(2) The arrears referred to in paragraph (1) shall be calculated from the following relevant date:

1. Date following the payment deadline specified in Article 16-7, for the insurance premium calculated pursuant to Article 16-3, 16-6 (1), or 16-9 (1) or (2);

2. Date following the payment deadline specified in Article 17 (1) or 19 (2) or (3), for the insurance premium referred to in Article 17 (1) or 19 (2);

3. Date following the payment deadline specified in Article 16-7, 17 (1), or 19 (2) or (3), for the money collectable under Article 16-9 (3), 17 (2), or 19 (4);

4. Date following the payment deadline notified by COMWEL pursuant to Article 27 (1), for the insurance premium referred to in Article 18.

(3) Where a business owner fails to pay any insurance premium or other money collectable under this Act, the Health Insurance Service shall collect arrears equivalent to 1/6,000 of the insurance premium in arrears and other money collectable, in addition to the arrears referred to in paragraph (1), each day from the date the payment thereof becomes 30 days overdue. In such cases, the arrears shall not exceed 50/1,000 of the insurance premium in arrears and other money collectable.

(4) Notwithstanding paragraphs (1) and (3), the Health Insurance Service may not collect the arrears referred to in paragraphs (1) and (3), if the collection thereof is deferred pursuant to Article 140 of the Debtor Rehabilitation and Bankruptcy Act, or in any other cases prescribed by Presidential Decree where it is deemed inappropriate to collect the arrears.

[This Article Wholly Amended on Dec. 30, 2009]

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Article 26-2 (Priority of Collection of Charges)

With regard to the order in which overdue insurance premiums, retrieval or other charges and disposition fees for arrears under this Act are collected (if employment insurance-related charges and industrial accident compensation insurance-related charges are all collected, then collection shall be according to the ratio of total amount of charges of each insurance), the order shall be subject to the order in the subparagraphs of Article 23 (1).

Article 27 (Notification of Charges and Urge for Their Payment)

(1) If the Health Insurance Corporation or Corporation collects the premiums (excluding the premiums under Articles 17 (1) and 19 (2)) or other charges under this Act, it shall notify in writing the person liable for the payment thereof of their amounts and payment deadline：Provided that if an employer who pays his/her insurance premiums by means of an electronic fund transfer pursuant to Article 22-2 (3) agrees, the notification may be given using electronic documents through an information and communication network as prescribed by the Ordinance of the Ministry of Employment and Labor. In this case, the electronic documents shall be considered to arrive when their data are entered into the computer designated by the employer. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
(2) If a person who has subscribed to insurance fails to pay the premiums or other charges under this Act by the payment deadline, the Health Insurance Corporation shall set a fixed deadline and urge the person liable for the payment thereof to pay the charges before that deadline. [Amended by Act No. 9989, Jan. 27, 2010]
(3) If the Health Insurance Corporation urges payment pursuant to paragraph (2), it shall issue a reminder letter. In this case, the payment deadline shall be 10 days or more away from the date of the issuance of the reminder letter. [Amended by Act No. 9989, Jan. 27, 2010]
(4) An urging for the payment to one of the persons liable for joint payment prescribed in Article 28-4 shall be regarded as an urging for the payment of the other persons liable for the same joint payment. [Newly Inserted by Act No. 9989, Jan. 27, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 27-2 (Collection Before End of Payment Deadline)

(1) The Corporation or the Health Insurance Corporation may, if an employer has a reason falling under any of the following subparagraphs, collect the final insurance premiums he/she is obliged to pay and other charges under this Act even before the end of the payment deadline：Provided that this shall not apply in case the amount of insurance premiums and other charges under this Act is less than five million won in total：[Amended by Act No. 9989, Jan. 27, 2010]
1. In case the employer is subject to a disposition of national taxes in arrears due to his/her failure to pay national taxes；
2. In case the employer is subject to a disposition of local taxes or public utility charges in arrears due to his/her failure to pay them；
3. In case the employer is subject to compulsory execution；
4. In case the employer is subject to suspension of transaction at a clearing house under the Bills of Exchange and Promissory Notes Act and under the Check Act；
5. In case an auction is commenced；and
6. In case a corporation is disbanded.
(2) If the Corporation or Health Insurance Corporation collects insurance premiums and other charges under this Act before the end of the payment deadline pursuant to paragraph (1), it shall state a new payment deadline and reasons for change in deadline and inform the employer of them. In this case, if notification of the payment was already given, the employer shall be informed of the change of deadline. [Amended by Act No. 9989, Jan. 27, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 27-3 (Payment of Insurance Premiums in Installments)

(1) When inheritance commences, the relevant heir (including a testamentary donee by a universal title referred to in Article 1078 of the Civil Act; hereinafter the same shall apply) or administrator of inherited property referred to in Article 1053 of the Civil Act (hereinafter referred to as "administrator of inherited property") shall be liable to pay, within the limit of inherited property, any insurance premium and other money and expenses for disposition on default collectable under this Act, which are imposed on or must be paid by, the relevant decedent.

(2) Where at least two heirs exist in cases falling under paragraph (1), each heir shall be liable to jointly or severally pay, within the limit of inherited property, any insurance premium and other money and expenses for disposition on default collectable under this Act calculated based on the shares of inheritance under Articles 1009, 1010, 1012, and 1013 of the Civil Act, which are imposed on or must be paid by, the relevant decedent. In such cases, the relevant heirs shall determine a representative, from among themselves, who is to pay the insurance premium and other money and expenses for disposition on default collectable under this Act that must be paid by the decedent; and shall file a report with the Health Insurance Service thereon, as prescribed by Presidential Decree.

(3) Where any heir is unascertainable in cases falling under paragraph (1), a notice or overdue notice on payment or any other necessary matters that must be given to the decedent in connection with the insurance premium and other money and expenses for disposition on default collectable under this Act, shall be given to the relevant administrator of inherited property.

(4) Where any heir is unascertainable and no administrator of inherited property exists, in cases of falling under paragraph (1), the Health Insurance Service may request a court having jurisdiction over the relevant decedent's address to appoint an administrator of inherited property.

(5) In cases falling under paragraph (1), any disposition or procedure taken for the decedent, shall be effective for the relevant heir or administrator of inherited property as well.

[This Article Wholly Amended on Dec. 30, 2009]

Article 28 (Disposition, etc. of Charges In Arrears)

(1) If a person who has been urged to make a payment pursuant to Article 27 (2) and (3) fails to pay the premiums and other charges under this Act by the deadline, the Health Insurance Corporation may collect them according to the example of a disposition of national taxes in arrears, with approval of the Ministry of Employment and Labor. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
(2) If it is deemed that professional knowledge is needed for the public sale of properties seized according to the example of a disposition of national taxes in arrears under paragraph (1) or if the direct public sale is deemed inappropriate because of other special conditions, the Health Insurance Corporation may have the Korea Asset Management Corporation established pursuant to the Act on the Efficient Disposal of Insolvent Assets, etc. of Financial Companies and the Establishment of the Korea Asset Management Corporation (hereinafter referred to as “Korea Asset Management Corporation”) sell the seized properties publicly on behalf of it. In this case, the public sale shall be considered to be conducted by the Corporation. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10682, May. 19, 2011]
(3) If the Health Insurance Corporation has the Korea Asset Management Corporation sell properties publicly on behalf of it pursuant to paragraph (2), it may pay commissions to the Korea Asset Management Corporation under the conditions as prescribed by the Ordinance of the Ministry of Employment and Labor. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
(4) If the Korea Asset Management Corporation sells properties publicly on behalf of the Corporation pursuant to paragraph (2), staff of the Korea Asset Management Corporation shall be regarded as public officials in applying the provisions of Articles 129 through 132 of the Criminal Act.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 28-2 (Succession of Payment Obligation Due to Merger of Corporations)

In the case of a merger of corporations, the corporation surviving after the merger or established by the merger shall have the obligation to pay the insurance premiums and other charges and disposition fees for arrears under this Act, which are imposed on or should be paid by the corporation that ceases to exist as a result of the merger.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 28-3 (Succession of Payment Obligation Due to Inheritance)

(1) When inheritance is commenced, the successor (including those who receive a testamentary gift by universal title pursuant to Article 1078 of the Civil Act) or the administrator of inherited properties (hereinafter referred to as the “administrator of inherited properties”) under Article 1053 of the Civil Act shall have the obligation to pay the insurance premiums and other charges and disposition fees for arrears under this Act, which are imposed on or should be paid by the predecessor, within the limits of properties gained as a result of the inheritance.
(2) In the case of paragraph (1), if there are two or more successors, after calculating by proportionally dividing the insurance premiums and other charges and disposition fees for arrears under this Act which are imposed on or should be paid by the predecessor according to the share of inheritance under Articles 1009, 1010, 1012 and 1013 of the Civil Act, each of the successors shall have the obligation to jointly pay the amount within the limits of properties gained as a result of the inheritance. In this case, the successors shall select among themselves a representative who will pay the predecessor’s insurance premiums and other charges and disposition fees for arrears under this Act and report the representative to the Health Insurance Corporation as prescribed by the Presidential Decree. [Amended by Act No. 9989, Jan. 27, 2010]
(3) In the case of paragraph (1), if it is not clear whether a successor exists or not, notification of and urging for the payment of insurance premiums and other charges and disposition fees for arrears under this Act or other necessary measures shall be directed to the administrator of inherited properties.
(4) In the case of paragraph (1), if it is not clear whether the successor exists or not and there is no administrator of inherited properties, the Health Insurance Corporation may request a court having jurisdiction over the address of the predecessor to select an administrator of inherited properties. [Amended by Act No. 9989, Jan. 27, 2010]
(5) In the case of paragraph (1), measures or procedures taken for the predecessor shall be binding on the successor or the administrator of inherited properties.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 28-4 (Joint Payment Obligation)

(1) Insurance premiums and other charges and disposition fees for arrears under this Act relating to joint business shall be paid jointly by the employers involved.
(2) If a corporation is split or a corporation is split and then merged, insurance premiums and other charges and disposition fees for arrears under this Act, which were imposed or were obliged to be paid by the splitted corporation before the date of the split or the date of the split-and-merger, shall be paid jointly by corporations described in any of the following subparagraph：
1. Splitted corporation；
2. Corporation established through the split or split and merger；and
3. Newly emerged corporation, in case a part of the splitted corporation is merged with another corporation and the newly emerged corporation survives
(3) If a corporation is disbanded through a split or a split-and-merger, insurance premiums and other charges and disposition fees for arrears under this Act, which are imposed on or should be paid by the disbanded corporation, shall be paid jointly by the corporations described in paragraph (2) 2 and 3.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 28-5 (Mutatis Mutandis Application of the Civil Act to Joint Payment Obligation)

Articles 413 through 416, 419, 421, 423 and 425 through 427 of the Civil Act shall apply mutatis mutandis to the obligation to jointly pay insurance premiums and other charges and disposition fees for arrears.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Article 28-6 (Disclosure of Personal Information on High-Amount or Habitual Delinquents)

(1) If the total amount of insurance premiums which are two years overdue from the day after the payment deadline prescribed in this Act and other charges and disposition fees for arrears under this Act (including insurance premiums and other charges and disposition fees for arrears which are disposed of as deficits pursuant to Article 29 and for which extinctive prescription for the collection right does not expire), is more than one billion won, the Health Insurance Corporation may make public personal information on the delinquent, the amount of arrears, etc.(hereinafter referred to as “personal information, etc.”)：Provided that this shall not apply in case an administrative appeal or an administrative litigation case concerning insurance premiums in arrears and other charges and disposition fees for arrears under this Act is pending, or in case there are reasons prescribed by the Presidential Decree, such as the partial payment of arrears. [Amended by Act No. 9989, Jan. 27, 2010]
(2) The Health Insurance Corporation shall have the Deliberation Committee on Disclosure of Insurance Premium-related Information (hereinafter referred to as the “Committee”) to deliberate on whether to make public personal information, etc., on a delinquent as prescribed in paragraph (1). [Amended by Act No. 9989, Jan. 27, 2010]
(3) The Health Insurance Corporation shall inform those whose disclosure of personal information, etc., has been decided after deliberation by the Committee that they are subject to the disclosure and thus give a chance for them to explain, and after having the Committee deliberate again on whether to disclose their personal information, etc., given their compliance with the obligation to pay arrears, six months after the date of the notification, the Health Insurance Corporation shall select persons subject to the disclosure. [Amended by Act No. 9989, Jan. 27, 2010]
(4) The disclosure of personal information, etc., on delinquents under paragraph (1) shall be made by publishing it in an official gazette, via an information and communication network for employment and industrial accident or by posting it on the bulletin board of the Corporation. [Amended by Act No. 9989, Jan. 27, 2010]
(5) Necessary matters concerning the procedures for the disclosure of personal information, etc., on delinquents and the composition and operation of the Committee shall be prescribed by the Presidential Decree.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 28-7 (Mutatis Mutandis Application of the Framework Act on National Taxes)

Articles 18 through 23 of the National Tax Collection Act shall apply mutatis mutandis to providing security for payment to defer a disposition on default of any insurance premium and other money collectable under this Act. In such cases, "tax-related Acts" shall be construed as "this Act"; "security for tax payment", as "security for payment"; "head of a tax office", as "Health Insurance Service"; "insurance policy for guarantee of tax payment", as "insurance policy for guarantee of payment"; "written guarantee of tax payment", as "written guarantee of payment"; "security for tax payment", as "security for payment"; and "any national tax, additional dues and disposition fee for arrears", as "any insurance premium and other money and expenses for disposition on default collectable under this Act".

[This Article Wholly Amended on Dec. 30, 2009]

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Article 29 (Deficits Disposal of Charges)

(1) If there are reasons falling under any of the following subparagraphs, the Health Insurance Corporation may account for the premiums and other charges under this Act as deficits with the approval of the Minister of Employment and Labor：[Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10339, Jun. 4, 2010]
1. In cases where the disposition on charges in arrears is closed and the amount to be appropriated for the arrears is less than the amount of arrears；
2. In cases where the period of extinctive prescription is completed；and
3. In cases as prescribed by the Presidential Decree where they are deemed impossible to collect.
(2) If the Health Insurance Corporation finds other properties possible to be seized, after deficits disposal under paragraph (1) 3, it shall cancel the deficits disposal, and impose a disposition on charges in arrears without delay. [Amended by Act No. 9989, Jan. 27, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 29-2 (Provision of Materials on Arrearage or Deficits Disposal)

(1) If a Comprehensive Credit Information Agency prescribed in Article 25 (2) 1 of the Act on the Use and Protection of Credit Information asks for materials (hereinafter referred to as “data on arrears, etc.”) on personal information, the amount of arrears or the amount of deficits of delinquents or those subject to deficits disposal who fall under any of the following subparagraphs, the Health Insurance Corporation may provide those materials：Provided that this shall not apply in case an administrative appeal or an administrative litigation case concerning insurance premiums in arrears and other charges and disposition fees for arrears under this Act is pending, or in case there are reasons prescribed by the Presidential Decree, such as the postponement a disposition on arrears. [Amended by Act No. 9989, Jan. 27, 2010]
1. A person for whom the total amount of insurance premiums and other charges and disposition fees for arrears under this Act, that are one year overdue from the day after the payment deadline under this Act, is five million won or more；
2. A person who has failed to pay three times or more in one year and for whom the total amount of insurance premiums and other charges and disposition fees for arrears under this Act, overdue after the payment deadline under this Act, is five million won or more；or
3. A person for whom the total amount of deficits disposal under Article 29 is five million won or more.
(2) Necessary matters concerning the procedures for providing materials on arrears, etc., under paragraph (1) shall be prescribed by the Presidential Decree.
(3) A person provided with materials on arrears, etc., under paragraph (1) shall neither use nor leak them for purposes other than his/her work.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

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Article 29-3 (Requests, etc. for Provision of Financial Transaction Information)

(1) Where necessary to inquire into property of any of the following defaulters, the Health Insurance Service may request a particular branch of a financial company, etc. defined in subparagraph 1 of Article 2 of the Act on Real Name Financial Transactions and Confidentiality to provide information or data relating to financial transactions (hereinafter referred to as "financial transaction information"), notwithstanding Article 4 of the same Act; and the particular branch of the relevant financial company, etc. so requested shall provide such information:

1. A person whose total amount of the insurance premium in arrears for a period exceeding one year from the day following the payment deadline specified in this Act, and other money and expenses for disposition on default collectable under this Act is at least five million won;

2. A person whose total amount of the insurance premium, which has been unpaid at least three times a year and for which the payment deadline specified in this Act has passed, and other money and expenses for disposition on default collectable under this Act is at least five million won.

(2) Where the Health Insurance Service requests financial transaction information under paragraph (1), he or she shall do so in the standard form determined by the Financial Services Commission under Article 4 (2) of the Act on Real Name Financial Transactions and Confidentiality.

(3) A request for financial transaction information under paragraph (1), shall be made to the minimum extent necessary to inquire into a defaulter's property.

(4) Where a financial company, etc. provides financial transaction information to the Health Insurance Service pursuant to paragraph (1), the financial company, etc. shall notify, in writing, the relevant traders of the major contents and use of the financial transaction information provided, person provided with such information, date of provision thereof, etc., within ten days from the date it provides such information. In such cases, Article 4-2 (4) of the Act on Real Name Financial Transactions and Confidentiality shall apply mutatis mutandis to the expenses incurred in making such notification.

(5) Where the Health Insurance Service requests a financial company, etc. to provide financial transaction information pursuant to paragraph (1), he or she shall record such fact, and keep the relevant records for five years from the date he or she requests the financial transaction information.

(6) No person who has learned financial transaction information pursuant to paragraph (1), shall provide or divulge such financial transaction information to another person, or use it for other than its original purpose.

[This Article Newly Inserted on Dec. 30, 2009]

Article 30 (Priority in Collection of Premiums)

The premiums and other charges under this Act shall be collected in preference to other claims except national and local taxes：Provided that in case premiums, etc. are collected from the proceeds of a sale of a property for which the fact that the establishment of a right of lease, pledge, mortgage or right of security pursuant to Act on Security over Movables Property, Claims, etc., as Security has been recorded and registered before the payment deadline is proved, this shall not apply to the bonds secured by the right of lease, pledge or right of security pursuant to Act on Security over Movables Property, Claims, etc. [Amended by Act No. 10366, Jun. 10, 2010]
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]
[Implemented Jun. 11, 2012]

Article 31 (Special Cases of Collection of Premiums and Charges for Industrial Accident Compensation Insurance)

(1) The Corporation or the Health Insurance Corporation shall collect in an integrated manner the premiums and other charges for industrial accident compensation insurance under this Act and the charges and other levies under Articles 9 and 16 of the Wage Claim Guarantee Act and the alloted charges and other levies for individuals under Article 31 (1) 1 of the Asbestos Injury Relief Act (tentative English title). [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10155, Mar. 22, 2010]
(2) An employer shall report and pay in an integrated manner the premiums for industrial accident compensation insurance under this Act and the charges under Article 9 of the Wage Claim Guarantee Act and the alloted charges and other levies for individuals under Article 31 (1) 1 of the Asbestos Injury Relief Act (hereinafter referred to as “charges”). [Amended by Act No. 10155, Mar. 22, 2010]
(3) If an employer has paid premiums for industrial accident compensation insurance and charges (including arrears and additional charges for each；hereinafter in this Act, the same shall apply.) pursuant to paragraphs (1) and (2), he/she shall be considered to have paid premiums and charges in an amount proportional to the ratio of premiums and charges that have to be paid by the employer to the total amount paid.
(4) The Corporation or Health Insurance Corporation shall pay the premiums and charges collected or paid pursuant to paragraphs (1) and (2) into the fund established pursuant to Article 95 of the Industrial Accident Compensation Insurance Act, into the fund established pursuant to Article 17 of the Wage Claim Guarantee Act, and into the fund established pursuant to Article 24 of the Asbestos Injury Relief Act, respectively. [Amended by Act No. 9989, Jan. 27, 2010 and Act No. 10155, Mar. 22, 2010]
(5) If premiums and charges are paid to each fund pursuant to paragraph (4), necessary matters concerning the standards and methods of the calculation shall be prescribed by the Presidential Decree.
[This Article Wholly Amended by Act No. 9896, Dec. 30, 2009]

Enforcement Ordinance

Enforcement Ordinance

Article 32 (Delivery of Documents)

(1) Article 17 of the National Tax Collection Act and Articles 8 through 12 of the Framework Act on National Taxes (excluding the proviso of Article 8 (2) of the same Act) shall apply mutatis mutandis to serving documents related to insurance premiums and other money collectable under this Act.

(2) Where any document related to a notice, overdue notice, or disposition on default on any insurance premium and other money collectable under this Act is served by mail, the method of doing so shall be prescribed by Presidential Decree, notwithstanding paragraph (1).

[This Article Wholly Amended on Dec. 30, 2009]

Enforcement Ordinance