Article 1 (Purpose)

The purpose of this Act is to contribute to the promotion of the stable livelihood and welfare of the public by providing pension benefits for the old-age, disability, or death.

Article 2 (Administration)

The Minister of Health and Welfare shall be in charge of the national pension services provided under this Act.

Article 3 (Definitions, etc.)

(1) The terms used in this Act shall be defined as follows:
1. The term "employee" means a person (including directors or other executive officers of corporations) who offers his/her labor and services in a workplace, irrespective of the type of occupation, and receives wages in return for his/her labor and services to maintain his/her livelihood: Provided, That persons prescribed by Presidential Decree shall be excluded herefrom;
2. The term "employer" means the business owner of a workplace to which a relevant employee belongs;
3. The term "income" means an amount obtained by deducting non-taxable income prescribed by Presidential Decree from the money earned from offering of one’s labor for a specified period, or an amount obtained by deducting necessary expenses from the money earned from operating a business or the management of assets;
4. The term "average monthly income" means an amount computed by averaging the standard monthly income for all workplace-based insured persons and individually insured persons each year;
5. The term "standard monthly income" means an amount determined on the basis of the monthly income of a person insured by the National Pension Service (hereinafter referred to as "insured person") in order to calculate his/her pension premiums and benefits;
6. The term "workplace-based insured person" means an employee employed in a workplace and an employer, insured by the National Pension Service pursuant to Article 8;
7. The term "individually insured person" means a person insured by the National Pension Service pursuant to Article 9, who is not a workplace-based insured person;
8. The term "voluntarily insured person" means a person insured by the National Pension Service pursuant to Article 10, who is neither a workplace-based insured person nor an individually insured person;
9. The term "voluntarily and continuously insured person" means a person currently or formerly insured by the National Pension Service, who becomes insured pursuant to Article 13 (1);
10. The term "contribution" or “pension premiums” means, in cases of a workplace-based insured person, the sum of employer contributions and employee’s contribution, and in cases of an individually insured person, voluntarily insured person, and voluntarily and continuously insured person, an amount paid exclusively by such person, all of which are necessary to support the costs associated with national pension services;
11. The term "employer contribution" means an amount contributed by the employer of a workplace-based insured person;
12. The term "employee contribution" means an amount borne by a workplace-based insured person;
13. The term "workplace" means a place of business or an office that hires employees.
(2) In applying this Act, the term "spouse, husband or wife" includes any person who is in a de facto marital relationship.
(3) If the fetus of a currently or formerly insured is delivered at the time when such person acquires his/her entitlement to benefits pursuant to this Act, the child shall be deemed a child whose livelihood is supported by such a currently or formerly insured.
(4) The range of income according to the types of insured persons, methods of calculating the amount of average monthly income, methods of determining the amount of standard monthly income, and the period for application thereof, etc., shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 3-2 (Responsibility of the State)

The State shall establish and implement policies necessary so that pension benefits under this Act are provided in a stable and continuous manner.
[This Article Newly Inserted by Act No. 12242, Jan. 14, 2014]

Article 4 (Financial Accounting of National Pension Scheme and Securing Long-term Financial Balance)

(1) The level of benefits and contributions under this Act shall be adjusted to secure the long-term financial balance of the National Pension Scheme.
(2) The Minister of Health and Welfare shall, every five years in accordance with Presidential Decree, make an accounting of the finances of the National Pension Scheme, and map out a comprehensive plan on the overall operation of the National Pension Scheme, including its financial outlook, adjustment of contributions, and an operational plan for the National Pension Fund, and obtain the President’s approval following the deliberation by the State Council, and then submit the approved plan to the National Assembly and publish the plan in accordance with Presidential Decree.
(3) If any significant change occurs in securing long-term financial balance of national pension, demographic structure, living standards, incomes, prices, or other economic conditions, the contributions, benefits to be paid, conditions for receiving benefits, etc. under this Act shall be adjusted accordingly.

Enforcement Ordinance

Article 5 (National Pension Council)

(1) A National Pension Council shall be established under the Ministry of Health and Welfare to deliberate on the following matters concerning national pension services:
1. Matters concerning the national pension system and accounting of finances;
2. Matters concerning benefits;
3. Matters concerning contributions;
4. Matters concerning the National Pension Fund;
5. Other matters concerning the operation of the National Pension Scheme tabled to the meeting by the Minister of Health and Welfare.
(2) The National Pension Council shall consist of a chairperson, a vice chairperson and council members; the Vice Minister of Health and Welfare shall be the chairperson of the Council, and the vice chairperson shall be elected from among and by council members representing the public interests; council members shall be appointed or commissioned by the Minister of Health and Welfare in accordance with the following classifications:
1. Four persons recommended by employers' organizations to represent employers;
2. Four persons recommended by employees' organizations to represent employers;
3. The following persons representing individually insured persons:
(a) Two persons recommended by organizations of farmers and fishermen;
(b) Two persons recommended by organizations related to self-employed persons, other than by organizations of farmers and fishermen;
(c) Two persons recommended by civic organizations and consumer organizations;
4. Five experts having knowledge and experience in the National Pension Scheme as members representing the public interest.
(3) Necessary matters concerning the organization and operation of the National Pension Council shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 6 (Coverage)

A national of the Republic of Korea who resides in the territory of the Republic of Korea and who is aged between 18 and under 60 shall be insured under the National Pension Scheme: Provided, That public officials, military personnel and private school teachers and staff to whom the Public Officials Pension Act, the Veterans' Pension Act and the Pension for Private School Teachers and Staff Act apply, respectively and other persons as prescribed by Presidential Decree shall be excluded herefrom.

Enforcement Ordinance

Article 7 (Types of Insured Status)

Insured persons shall be classified into workplace-based insured persons, individually insured persons, voluntarily insured persons, and voluntarily and continuously insured persons.

Article 8 (Workplace-Based Insured Persons)

(1) An employee or employer aged between 18 and under 60 in a workplace prescribed by Presidential Decree in consideration of type of business and number of employees, etc. (hereinafter referred to as “mandatorily applicable workplace”) shall become workplace-based insured as a matter of course: Provided, That the foregoing shall not apply to any of the following persons:
1. A person who becomes entitled to a retirement pension, disability pension, or lump-sum retirement pension under the Public Officials Pension Act, the Pension for Private School Teachers and Staff Act, or the Special Post Offices Act, or a retirement pension, wounded veterans' pension, or lump-sum retirement pension under the Military Pension Act (hereinafter referred to as "beneficiary of a retirement pension, etc."): Provided, That the foregoing shall not apply where a beneficiary of a retirement pension, etc. has applied for aggregation as prescribed in Article 8 of the Act on Aggregation of National Pension and Occupational Pensions;
2. Deleted.
(2) Notwithstanding paragraph (1) and Article 6, an employee under age 18 engaged in a workplace covered by the National Pension Service, shall be deemed a workplace-based insured person. Provided, That if he/she does not wish to be a workplace-based insured person, he/she may opt not to be a workplace-based insured person.
(3) Notwithstanding paragraph (1), a recipient of financial assistance defined in the National Basic Living Security Act can elect not to become workplace-based insured if he/she so desires.

Enforcement Ordinance

Article 9 (Individually Insured Persons)

A person who is not a workplace-based insured person under Article 8 and who is aged between 18 and under 60 shall become individually insured as a matter of course: Provided, That the foregoing shall not apply to a person who falls under any of the following subparagraphs:
1. A non-income earner whose spouse falls under any of the following categories:
(a) A person who is excluded from the coverage of the National Pension Scheme under the proviso to Article 6;
(b) A workplace-based insured person, individually insured person, or voluntarily and continuously insured person;
(c) An employee of a special post office;
(d) A beneficiary of an old-age pension or a beneficiary of a retirement pension, etc.;
2. A beneficiary of a retirement pension, etc.: Provided, That where a beneficiary of a retirement pension, etc. has applied for aggregation as prescribed in Article 8 of the Act on Aggregation of National Pension and Occupational Pensions, the foregoing shall not apply;
3. A person aged between 18 and under 27 and who has no income for reasons such as study or military service (excluding those who have ever paid contributions);
4. A recipient of assistance under the National Basic Living Security Act;
5. A person whose whereabouts is unknown for at least one year. In such case, the criteria and method to recognize that a person’s whereabouts is unknown shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 10 (Voluntarily Insured Person)

(1) A person who does not fall under any of the following subparagraphs and who is aged between 18 and under 60 may become voluntarily insured if he/she submits an application for coverage by the National Pension Scheme to the National Pension Service, as determined by Ordinance of the Ministry of Health and Welfare:
1. Workplace-based insured person;
2. Individually insured person.
(2) A voluntarily insured person may withdraw from the coverage of the National Pension Scheme by submitting an application for such to the National Pension Service, as prescribed by Ordinance of the Ministry of Health and Welfare.

Article 11 (Timing of Acquisition of Insured Status)

(1) A workplace-based insured person shall acquire insured status on the date on which he/she falls under any of the followings:
1. When he/she gets hired in the workplace referred to in the main sentence of Article 8 (1) or becomes an employer of such workplace;
2. When his/her workplace becomes a mandatorily applicable workplace.
(2) An individually insured person shall acquire his/her insured status on the date on which he/she falls under any of the followings. If such person cannot verify when income has occurred in cases referred to in subparagraph 3 or 4, he/she acquires such insured status on the date on which he/she files a report pursuant to Article 21 (2):
1. When he/she loses the status of a workplace-based insured person;
2. When he/she ceases to be excluded from the coverage of the National Pension Scheme under the proviso to Article 6;
3. When his/her spouse referred to in Article 9 earns separate income;
4. When a person aged between 18 and under 27 earns income.
(3) A voluntarily insured person shall acquire insured status on the date on which the application for coverage is accepted.

Article 12 (Timing for Loss of Insured Status)

(1) A workplace-based insured person shall lose insured status on the date following the date he/she falls under any of the following subparagraphs: Provided, That in cases falling under subparagraph 5, he/she shall lose insured status on the same date that he/she falls under that subparagraph:
1. When he/she dies;
2. When he/she loses his/her nationality or emigrates overseas;
3. When his/her employment relationship terminates;
4. When he/she reaches age 60;
5. When he/she becomes excludable from coverage by the National Pension Scheme under the proviso to Article 6.
(2) An individually insured person shall lose the insured status on the date following the date he/she falls under any of the following subparagraphs: Provided, That in cases under subparagraphs 3 and 4, he/she shall lose the insured status on the same date that he/she falls under those subparagraphs:
1. When he/she dies;
2. When he/she loses his/her nationality or emigrates overseas;
3. When he/she becomes excludable from coverage by the National Pension Scheme under the proviso to Article 6;
4. When he/she acquires the status of a workplace-based insured person;
5. When he/she no longer has a separate income as the spouse of a person falling under subparagraph 1 of Article 9;
6. When he/she reaches age 60.
(3) A voluntarily insured person shall lose insured status on the date following the date he/she falls under any of the following subparagraphs: Provided, That in cases under subparagraphs 6 and 7, he/she shall lose his/her insured status on the same date he/she falls under those subparagraphs:
1. When he/she dies;
2. When he/she loses his/her nationality or emigrates overseas;
3. When an application for withdrawal as referred to in Article 10 (2) is received;
4. When he/she reaches age 60;
5. When he/she continues to fail to pay contributions for a period exceeding that prescribed by Presidential Decree;
6. When he/she acquires the status of a workplace-based insured person or an individually insured person;
7. When he/she becomes excludable from the coverage by the National Pension Scheme under the proviso to Article 6.

Enforcement Ordinance

Article 13 (Voluntarily and Continuously Insured Persons)

(1) Notwithstanding Article 6, any person who falls under any of the following may become voluntarily and continuously insured if he/she files an application for membership with the National Pension Service, as prescribed by Ordinance of the Ministry of Health and Welfare, until he/she reaches age 65. In such cases, such entitlement shall be obtained on the date the application is accepted:
1. A person currently or formerly insured by the National Pension Service, who has reached age 60: Provided, That any of the following persons shall be excluded herefrom:
(a) A person who has never paid a contribution;
(b) An old age pension beneficiary receiving pension benefits;
(c) A person who has received a lump-sum refund on the grounds prescribed in Article 77 (1) 1;
2. A currently or formerly insured by the National Pension Service as an employee in occupational categories prescribed by Presidential Decree for at least three fifths of the total insurance coverage period of the National Pension Service (hereinafter referred to as "employees in special occupational categories"), who is not paid old age pension benefits, among the following persons:
(a) A person who has acquired entitlement to an old age pension pursuant to Article 61 (1);
(b) A person who has acquired entitlement to a special old age pension pursuant to Article 5 of the Addenda to the National Welfare Pension Act (Act No. 3902).
(2) A voluntarily and continuously insured person may opt out of the coverage of the National Pension Scheme by submitting an application to the National Pension Service, as prescribed by Ordinance of the Ministry of Health and Welfare.
(3) A voluntarily and continuously insured person shall lose entitlement on the day following the date he/she falls under any of the following cases:
1. When he/she dies;
2. When he/she loses his/her nationality or emigrates overseas;
3. When an application for withdrawal pursuant to paragraph (2) is accepted;
4. When he/she continuously fails to pay contributions for at least the period prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 14 (Confirmation of Insured Status)

(1) The National Pension Service shall confirm the acquisition or loss of insured status for all insured persons.
(2) The acquisition or loss of insured status shall take effect at the time the insured status is acquired or lost under Articles 11 through 13 with the confirmation of the National Pension Service as referred to in paragraph (1).
(3) The confirmation referred to in paragraph (1) shall be made at the request of an insured person, by a report filed pursuant to the provision of Article 21, or at the discretion of the National Pension Service.
(4) A currently or formerly insured may, at any time, request confirmation of the acquisition and loss of insured status, or changes in the type of insured status, as prescribed by Ordinance of the Ministry of Health and Welfare.

Article 15 (Presumption of Death)

A person concerning whom it is impossible to ascertain whether he/she is alive after being aboard a ship or aircraft involved in an accident, or a person regarding whom it is impossible to know whether he/she is alive due to other reasons, shall be presumed deceased in relation to the confirmation of the eligibility of an insured person and the payment of a pension, as prescribed by Presidential Decree.

Enforcement Ordinance

Article 16 (Insurance Certificates)

(1) The National Pension Service shall issue a national pension insurance certificate to an insured person if he/she desires so.
(2) Detailed information to be stated in a national pension insurance certificate referred to in paragraph (1) shall be prescribed by Presidential Decree.
(3) Matters necessary for issuing certificates referred to in paragraph (1) shall be determined by Ordinance of the Ministry of Health and Welfare.

Enforcement Ordinance

Article 17 (Calculation of Insurance Coverage Period)

(1) An insurance coverage period under the National Pension Scheme (hereinafter referred to as "insurance coverage period") shall be calculated on a monthly basis, beginning with the month immediately following the month in which a person acquires insured status, and ending with the month in which the date immediately preceding the date on which the person loses such status falls: Provided, That in any of the following cases, the month in which a person acquires insured status shall be included in the insurance coverage period, buf if an insured person re-acquires insured status in the month of the date immediately preceding the date he/she lost insured status, the month in which he/she re-acquires the insured status shall not count toward the insurance coverage period:
1. Where the date of acquisition of the insured status is the first day of the month in which such date falls (excluding cases where a person loses again his/her insured status in the month of the date of acquisition of such status);
2. Where a person acquires the status of a voluntarily and continuously insured person;
3. Where an insured person so desires.
(2) The period during which no contribution is paid shall not be counted when computing the insurance coverage period: Provided, That where an employer who has deducted employee contributions from the wages of an employee fails to pay the contributions, a period corresponding to 1/2 of the period of not paying contributions shall be included in the insurance coverage period of such employee. In such case, a period of less than one month shall be counted as one month.
(3) Where the National Health Insurance Corporation (hereinafter referred to as "Health Insurance Corporation") established under Article 13 of the National Health Insurance Act notifies an employee of his/her workplace's default on the payment of contributions, as prescribed by Ordinance of the Ministry of Health and Welfare, the default period starting from the month immediately following the notified default month shall not count towards the insurance coverage period, notwithstanding the proviso to paragraph (2). In such case, such employee may make his/her contributions to the Health Insurance Corporation, as prescribed by Presidential Decree, notwithstanding Article 90 (1).
(4) Where a lump-sum refund paid under Article 77 corresponds to benefits to be recovered pursuant to Article 57 (1), when such benefits are not returned, a period corresponding to such shall not count towards the insurance coverage period.

Enforcement Ordinance

Article 17-2 (Calculation of Insurance Coverage Period for Month of Partial Payment of Contribution)

(1) In calculating an insurance coverage period, if a contribution has been partially paid, such partially paid contribution shall be appropriated for payment of contributions payable, arrears, etc. of any month in which a contribution was partially paid, and the month in which contribution is fully paid after appropriation shall be included in the insurance coverage period. In such cases, matters necessary for the objects and method of appropriation, calculation of the insurance coverage period, and payment of pension benefits and other matters shall be prescribed by Presidential Decree.
(2) If some contributions remain unpaid even after an appropriation has been made pursuant to paragraph (1), such contributions shall be refunded in the month in which the first pension benefits are paid: Provided, That where a currently or formerly insured makes a request, the unpaid contributions, arrears, etc. in the month of partial payment of contributions may be collected, notwithstanding Article 99, and included in the insurance coverage period of the relevant month.
(3) Where contributions, arrears, etc. are refunded or collected pursuant to paragraph (2), accrued interest prescribed by Presidential Decree shall be added thereto.
[This Article Newly Inserted by Act No. 10783, Jun. 7, 2011]

Enforcement Ordinance

Article 18 (Inclusion of Additional Insurance Coverage Period for Military Service)

(1) Where any of the following persons acquires entitlement to an old-age pension (including cases where a person can be entitled to an old-age pension if an additional period is added to his/her coverage period under this Article), six months shall be added to the calculation of the insurance coverage: Provided, That this shall not apply where the period during which a person performed mandatory military service under the Military Service Act is less than six months:
1. A person with active duty service under Article 5 (1) 1 of the Military Service Act;
2. Public interest service personnel referred to in Article 2 of the Military Service Act.
(2) Notwithstanding paragraph (1), paragraph (1) shall not apply to any of the following cases:
1. Where the whole or part of the period for which a person served mandatory military service under the Military Service Act is added to the term of service under the Public Officials Pension Act, the Pension for Private School Teachers and Staff Act and the Special Post Offices Act, or to the military service period under the Veterans' Pension Act;
2. Where a person has paid contributions during the period for which he/she served mandatory military service under the Military Service Act and such period is recognized as an insurance coverage period: Provided, That where the relevant insurance coverage period is less than 6 months, such period shall be excluded.
(3) The financial resources required for the inclusion of additional insurance coverage periods under paragraph (1) shall be wholly borne by the State.

Article 19 (Inclusion of Additional Insurance Coverage Period for Childbirth)

(1) When a currently or formerly insured having two or more children acquires entitlement to an old-age pension (including where a person can acquire entitlement to an old-age pension if an additional period should be added to his/her coverage period under this Article), an additional period shall be added thereto as specified in the following subparagraphs: Provided, That such additional period shall not exceed 50 months; necessary matters concerning the method of recognition of the number of children and similar matters shall be prescribed by Presidential Decree:
1. Where the number of children is two: 12 months;
2. Where the number of children is three or more: 12 months recognized for two children plus 18 months for each additional child.
(2) Where both parents are currently or formerly insured, the additional period referred to in paragraph (1) shall be added to only one of the two parents' insurance coverage periods by agreement between the father and the mother, and when the parents fail to reach agreement, the additional period shall be equally divided to be added to each parent’s insurance coverage period. In such case, necessary matters concerning the procedure of agreement, etc. shall be determined by Ordinance of the Ministry of Health and Welfare.
(3) The financial resources required for the inclusion of the additional coverage periods referred to in paragraph (1) shall be borne by the State in whole or in part.

Enforcement Ordinance

Article 19-2 (Additional Inclusion of Unemployment in Insured Period of Cover)

(1) When a person meeting all the following requirements and receiving a job seeker's allowance under Article 37 (1) of the Employment Insurance Act files an application with the National Pension Service to include the period during which the job seeker's allowance is received in the insured period of cover, the National Pension Service shall additionally include such period in the insured period of cover: Provided, That the additionally included period shall not exceed one year:
1. He/she shall be currently or formerly insured, among those aged between 18 and under 60;
2. His/her property or income prescribed by Presidential Decree shall be below the standards prescribed and announced by the Minister of Health and Welfare.
(2) In regard to a period included in the insured period of cover pursuant to paragraph (1), he/she shall be deemed insured by the National Pension Service based on income equivalent to half the amount of wage, which is converted from daily wages to monthly wages (hereinafter referred to as "recognized income" in this Article), which serves as the basis of calculating the job seeker's allowance under Article 45 of the Employment Insurance Act: Provided, That the upper limit and the lower limit of the recognized income shall be the amount prescribed and announced by the Minister of Health and Welfare.
(3) Where a currently or formerly insured intends to additionally include the period during which a job seeker's allowance is received in the insured period of cover pursuant to paragraph (1), he/she shall pay contributions based on the recognized income. In such cases, the Government may fully or partially subsidize contributions from general accounts, the National Pension Fund under Article 101, and the Employment Insurance Fund under Article 78 of the Employment Insurance Act.
(4) Where an additionally included period in the insured period of cover (hereinafter referred to as "additionally included period" in this paragraph) pursuant to paragraph (1) is applied to benefits under subparagraphs 1 through 3 of Article 49, each of the following subparagraphs shall apply:
1. Old age pension under subparagraph 1 of Article 49: An additionally included period shall be reflected in the amount of basic pension under Article 51;
2. Disability pension under subparagraph 2 of Article 49: No additionally included period shall be reflected in any amount of basic pension under Article 51;
3. Survivor pension under subparagraph 3 of Article 49: No additionally included period shall be reflected in any amount of basic pension under Article 51, but shall be reflected in the insured period of cover falling under the subparagraphs of Article 74.
(5) The National Pension Service may entrust affairs, such as receiving and processing applications under paragraph (1), to an employment security office under the Employment Insurance Act and other public institutions (referring to public institutions under the Act on the Management of Public Institutions), as prescribed by Presidential Decree.
(6) Necessary matters concerning methods of filing applications under paragraph (1), the range and details of subsidization under paragraph (3), etc. shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 13100, Jan. 28, 2015]

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 20 (Aggregate of Insurance Coverage Periods)(

(1) With respect to a person who has re-attained the status of an insured person after losing his/her insured status, the former and latter insurance coverage periods shall be aggregated.
(2) If there is any change in a person's type of insured status, the insurance coverage period for each type of insured status shall be aggregated.

Article 21 (Reporting)

(1) The employer of a workplace-based insured person shall report to the National Pension Service the fact that the workplace falls under a automatically covered workplace, changes in business information, suspension and closure of business, etc., and matters concerning acquisition and loss of insured status, monthly incomes, etc. of insured persons, as prescribed by Ordinance of the Ministry of Health and Welfare.
(2) An individually insured person, voluntarily insured person, or voluntarily and continuously insured person shall report matters concerning the acquisition and loss of insured status, changes in name or address, income, etc. to the National Pension Service, as prescribed by Ordinance of the Ministry of Health and Welfare.
(3) Where an individually insured person, voluntarily insured person, or voluntarily and continuously insured person is unable to make a report as referred to in paragraph (2) due to unavoidable causes, his/her spouse or any of his/her family members may submit the report on his/her behalf.

Article 22 (Notice to Reporters, etc.)

(1) When the National Pension Service receives a report under Article 21, it shall ascertain the details thereof, and if it deems the details thereof are different from the fact, it shall notify the reporter of such fact.
(2) Article 23 (4) shall apply mutatis mutandis to notification under paragraph (1).

Article 23 (Notice to Insured Persons, etc.)

(1) When the National Pension Service has confirmed the acquisition and loss of a workplace-based insured person's status under Article 14, or determined or adjusted the standard monthly income, it shall notify the employer of the relevant workplace of such fact, and when it has confirmed the acquisition and loss of the insured status of an individually insured person, voluntarily insured person, or voluntarily and continuously insured person, or determined or adjusted the standard monthly income, it shall also notify the relevant individually insured person, voluntarily insured person, or voluntarily and continuously insured person of such fact.
(2) An employer in receipt of notice under paragraph (1) shall notify the relevant workplace-based insured person or the relevant person who has lost insured status of such fact, but if he/she is unable to give such notice because the whereabouts of the person to receive such notice is unknown, he/she shall notify the National Pension Service of such fact.
(3) Where an employer gives notice to a workplace-based insured person or a person who has lost such status pursuant to paragraph (2), he/she shall prepare documents verifying such fact, and preserve such documents for a period prescribed by Ordinance of the Ministry of Health and Welfare.
(4) When any of the following events occurs, the National Pension Service may publicly announce in lieu of giving notice, as prescribed by Ordinance of the Ministry of Health and Welfare:
1. Where a workplace is closed down;
2. Where it does not know the whereabouts of an individually insured person, voluntarily insured person, or voluntarily and continuously insured person, who is to receive notice under paragraph (1);
3. Upon receipt of notice from an employer pursuant to paragraph (2);
4. Other cases of unavoidable circumstances that make it impossible to give notice, which are prescribed by Presidential Decree.

Article 24 (Establishment of National Pension Service)

The National Pension Service (hereinafter referred to as the "Service") shall be established to effectively provide services commissioned by the Minister of Health and Welfare to attain the purpose set forth in Article 1.

Article 25 (Affairs of the Service)

The Service shall perform the following affairs:
1. Management and maintenance of records on insured persons;
2. Charging contributions;
3. Determination and disbursement of benefits;
4. Welfare promotion services, such as old age planning services, fund lending, and the establishment and operation of welfare facilities for the current and formerly insured and beneficiaries referred to in Article 50;
5. Fund lending to a currently or formerly insured to increase the Fund;
6. Entrusted affairs under this Act or other statutes;
7. Other matters entrusted by the Minister of Health and Welfare in relation to national pension services.

Article 26 (Legal Personality of the Service)

The Service shall be a corporation.

Article 27 (Offices)

(1) The seat of the principal office of the Service and the department administered by the fund director under Article 31 shall be Jeollabuk-do.
(2) The Service may establish branch offices, as prescribed by the articles of incorporation, if necessary.

Article 28 (Articles of Incorporation)

(1) The articles of incorporation of the Service shall include the following matters:
1. Objectives;
2. Organizational Name;
3. Matters concerning the principal and branch offices;
4. Matters concerning executive officers and employees;
5. Matters concerning the Board of Directors;
6. Matters concerning services;
7. Matters concerning budget and settlement of accounts;
8. Matters concerning assets and accounts;
9. Matters concerning amendments to the articles of incorporation;
10. Matters concerning the enactment, amendment and abolition of rules and regulations;
11. Matters concerning public notices.
(2) If the Service desires to amend the articles of incorporation, it shall obtain the approval of the Minister of Health and Welfare.

Article 29 (Registration of Establishment)

The Service shall come into existence upon the completion of its registration of establishment at the location of its principal office.

Article 30 (Executive Officers)

(1) The Service shall include, as executive officers of the board, one chief executive officer, three or fewer standing directors, seven directors and one auditor; the directors shall include one or more representative each of employers, employees and individually insured persons and include, as an ex officio director, one national public official of Grade III in the Ministry of Health and Welfare, or one public official in general service belonging to the Senior Civil Service Corps, who is in charge of duties related to National Pension Scheme.
(2) The chief executive officer shall be appointed and dismissed by the President upon the recommendation of the Minister of Health and Welfare; the standing directors, directors (excluding the ex officio director) and auditor shall be appointed and dismissed by the Minister of Health and Welfare upon the recommendation of the chief executive officer.
(3) The directors shall not be remunerated for services as directors: Provided, That actual expenses may be reimbursed.

Article 31 (Fund Director)

(1) A director to be in charge of the management and operation of the National Pension Fund (hereinafter referred to as the "fund director") under Article 101 (hereinafter referred to as the "Fund") shall be appointed from among the standing directors possessing extensive knowledge and experience in the fields of business administration, economy and fund operation.
(2) In order to recommend candidates for the fund director, a Fund Director Recommendation Committee comprised of the chief executive officer as chairperson and the directors as members shall be established under the Service (hereinafter referred to as the "Recommendation Committee").
(3) The Recommendation Committee shall publicly announce in major daily newspapers an invitation for fund director candidates, and apart from this, may conduct a search for persons deemed fit for the post of fund director or entrust such search to a professional organization.
(4) In accordance with the criteria for the examination of candidates for fund director, as prescribed by Ordinance of the Ministry of Health and Welfare, the Recommendation Committee shall examine the candidates who responded to the invitations referred to in paragraph (3), and consult with those recommended to the final stage of candidacy for fund director on the terms of contract.
(5) In accordance with the results of the deliberation and consultation referred to in paragraph (4), the chief executive officer shall recommend the final candidate for the fund director to the Minister of Health and Welfare, with the simultaneous submission of a draft contract.
(6) If the Minister of Health and Welfare approves the recommendation proposal and draft contract submitted under paragraph (5), the chief executive officer shall conclude a contract with the final candidate.
(7) The submission of a recommendation proposal and draft contract under paragraph (5) and approval thereon under paragraph (6) shall be regarded as the recommendation and appointment of a standing director as referred to in Article 30 (2).
(8) Necessary matters concerning the qualification of the fund director, consultation on the draft contract, recommendation, conclusion of contract, etc. shall be determined by Ordinance of the Ministry of Health and Welfare.

Article 32 (Term of Office of Executive Officers)

The term of office of executive officers shall be three years: Provided, That the term of office of the ex officio director shall be the duration of his status as an ex officio director, and the term of office of the fund director shall be the term of the relevant contract.

Article 33 (Duties of Executive Officers)

(1) The chief executive officer shall represent the Service, and supervise the operation of the Service.
(2) The standing directors shall be delegated the duties of the Service, as prescribed by the articles of incorporation, and when the chief executive officer is unable to perform his/her duties due to any unavoidable circumstance, they shall act for the chief executive officer in the order of priority prescribed by the articles of incorporation.
(3) The auditor shall audit and inspect the accounts, the status of management of operations, and properties of the Service.

Article 34 (Appointment of Representative)

The chief executive officer may appoint a representative from among his/her staff who shall have the authority to perform all judicial or non-judicial acts with regard to duties of the Service, as prescribed by the articles of incorporation.

Article 35 (Grounds for Disqualification of Executive Officers)

No person who falls under any of the following shall be an executive officer of the Service:
1. An incompetent person under adult guardianship or a quasi-incompetent person under adult guardianship;
2. A person declared bankrupt who is not yet reinstated;
3. A person sentenced to imprisonment without prison labor or heavier punishment, for whom three years have not passed since the execution of such punishment was completed or exempted;
4. A person who is disqualified or whose qualification is suspended, under any Act or by a court decision.

Article 36 (Ex Officio Retirement and Dismissal of Executive Officers)

(1) Any executive officer who comes to fall under any of the subparagraphs of Article 35 shall retire ex officio from his/her office.
(2) The person with the authority to appoint or dismiss executive officers may, if any executive officer comes to fall under any of the following subparagraphs, dismiss the executive officer:
1. When it is accepted that the executive officer is unable to perform his/her duties due to a physical or mental disorder;
2. When the executive officer has violated the obligations associated with his/her duties;
3. When the executive officer has caused a loss to the Service intentionally or by gross negligence;
4. When the fund director falls under the causes for dismissal as prescribed in the terms of contract concluded by him/her and the chief executive officer under Article 31 (6).

Article 37 (Restriction on Holding Concurrent Offices by Executive Officers and Employees)

The chief executive officer, standing directors, auditor and employees of the Service shall not be engaged in a profit-making business; the chief executive officer, standing directors, and auditor shall not hold other offices concurrently without permission of the Minister of Health and Welfare; employees shall not hold other offices concurrently without permission of the chief executive officer.

Article 38 (Board of Directors)

(1) In order to deliberate on and resolve significant matters concerning the Service, a Board of Directors shall be established under the Service.
(2) The Board of Directors shall be comprised of the chief executive officer, the standing directors, and the directors.
(3) The chief executive officer shall call and preside over the meetings of the Board of Directors.
(4) The resolutions of the Board of Directors shall be made with a majority of registered constituent members in attendance and by the affirmative voting of a majority of constituent members present.
(5) The auditor may attend and state his/her opinions at meetings of the Board of Directors.
(6) Necessary matters concerning the operation of the Board of Directors shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 39 (Appointment and Dismissal of Employees)

The employees of the Service shall be appointed and dismissed by the chief executive officer, as prescribed by the articles of incorporation.

Article 40 (Status of Executive Officers and Employees)

In application of Articles 129 through 132 of the Criminal Act, the executive officers and employees of the Service shall be regarded as public officials.

Article 41 (Supervision of the Service)

(1) The Service shall obtain the approval of the Minister of Health and Welfare on its plan of operation of services and budget each fiscal year, as prescribed by Presidential Decree.
(2) The Service shall report to the Minister of Health and Welfare on its performance of services and settlement of accounts within two months after the closing of each fiscal year.
(3) The Minister of Health and Welfare may order the Service to report on its services or inspect the status of its services or property, and if deemed necessary, take necessary measures regarding supervision, such as an order to amend the articles of incorporation.

Enforcement Ordinance

Article 42 (Accounting of the Service)

(1) The fiscal year of the Service shall coincide with that of the Government.
(2) The Service shall establish its accounting regulations under the approval of the Minister of Health and Welfare.

Article 43 (Revenues and Expenditures of the Service)

The revenues of the Service shall consist of money transferred from the National Pension Fund, government subsidies, loans and other income, and its expenditures shall consist of various kinds of benefits under this Act, reserves, returned money, repayment of borrowed funds and interest accrued therefrom, and other expenses incurred from the operations and services of the Service.

Article 44 (Temporary Borrowing and Appropriation by Transfer)

(1) Where the Service is lack of funds it should spend every fiscal year, it may temporarily borrow funds from the National Pension Fund, as prescribed by Presidential Decree.
(2) Temporary borrowings shall be repaid within the relevant fiscal year.
(3) Where the expenditure of the Service related to the various kinds of benefits exceeds its revenue, it may appropriate funds by transfer from the National Pension Fund every fiscal year following deliberation by the National Pension Fund Operation Committee under Article 103, as prescribed by Presidential Decree.

Enforcement Ordinance

Article 45 (Treatment of Surplus)

If there is a surplus as a result of the settlement of accounts at the end of each fiscal year, the Service shall use such to make up for losses and reserve the balance in the Fund.

Article 46 (Welfare Service, Loan Service, etc.)

(1) The Service may conduct the following welfare services to promote the welfare of current and former insured persons and beneficiaries, as prescribed by Presidential Decree:
1. Loan services;
2. Establishment, supply, lease, and operation of welfare facilities for the aged under the Welfare of the Aged Act;
3. Establishment and operation of sports facilities under the Installation and Utilization of Sports Facilities Act as facilities incidental to welfare facilities for the aged referred to in subparagraph 2;
4. Other welfare services prescribed by Presidential Decree.
(2) The Service may invest in a corporation determined by Ordinance of the Ministry of Health and Welfare from the National Pension Fund in order to implement the welfare services referred to in paragraphs (1) 2 and 3.
(3) The Service may provide loan services to a currently or formerly insured in order to raise the National Pension Fund, as prescribed by Presidential Decree.
(4) If executive officers and employees of the Service in charge of loan services provided under paragraphs (1) and (3) cause any loss to the Service by intention or by gross negligence in the course of performing their duties, they shall indemnify the Service against such damage.
(5) The Service may allow the currently or formerly insured or those, other than beneficiaries, to use some facilities it operates pursuant to paragraph (1) 2 through 4 to the extent of not interfering with welfare service under paragraph (1), as prescribed by Presidential Decree.
(6) Matters regarding methods of investment under paragraph (2) shall be prescribed by Ordinance of the Ministry of Health and Welfare.
[This Article Wholly Amended by Act No. 9385, Jan. 30, 2009]

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 46-2 (Special Cases concerning Projects to Establish Welfare Facilities)

Where the Service acquires the land developed by the State, a local government, the Korea Land and Housing Corporation established under the Korea Land and Housing Corporation Act, or other public institutions prescribed by Presidential Decree in order to establish a welfare facility referred to in Article 46 (1) 2 and 3, the Service shall be deemed the State or a local government.
[This Article Newly Inserted by Act No. 9385, Jan. 30, 2009]

Enforcement Ordinance

Article 46-3 (Old Age Planning Services)

The Service may provide old age planning services, such as consulting and education on finance, health, leisure, jobs and social participation and other services provided in connection with relevant specialized institutions in order to ensure a stable elderly life for the current or former insured and beneficiaries, as prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 9385, Jan. 30, 2009]

Article 47 (Entrustment of Affairs)

(1) The Service may entrust affairs related to the receipt of repayments of loans, affairs related to the disbursement of benefits and loans, and other affairs, in whole or in part, to corporations conducting social insurance affairs under other statutes, post offices, financial institutions and other persons, as prescribed by the articles of incorporation.
(2) The scope of affairs which the Service may entrust and the scope of persons to whom such affairs may be entrusted under paragraph (1) shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 48 (Application Mutatis Mutandis of the Civil Act)

The provisions of the Civil Act pertaining to incorporated foundations shall apply mutatis mutandis in matters concerning the Service, except as otherwise provided for in this Act.

Article 49 (Kinds of Benefits)

The kinds of benefits prescribed in this Act shall be as follows:
1. Old age pension;
2. Disability pension;
3. Survivor pension;
4. Lump-sum refund.

Article 50 (Payment of Benefits)

(1) Benefits under this Act shall be paid by the Service at the request of a person who has entitlement to such benefits (hereinafter referred to as "beneficiary").
(2) The amount of pension shall be calculated on the basis of a basic pension amount and a dependant pension amount, which may vary according to the grounds of payment thereof.

Article 51 (Basic Pension Amount)

(1) The basic pension amount for a beneficiary shall be the amount computed by multiplying the sum of each amount in the following subparagraphs by 1200/1000: Provided, That if the insurance coverage period exceeds twenty years, an amount equivalent to 50/1000 of the amount obtained in the main sentence shall be added to the amount obtained in the main sentence for each excess year (if the insurance coverage period is less than one year, each month shall be calculated as 1/12 of a year):
1. An amount computed by dividing by three the sum of the amounts in the following provisions:
(a) An amount computed by converting the average monthly income of the year three years preceding the first year of the payment of pension benefits according to the Fluctuation Rate of Nation-wide Consumer Price Index (referring to the Fluctuation Rate of Nation-wide Consumer Price Index announced by the Commissioner of the Korea National Statistical Office each year under Article 3 of the Statistics Act; hereafter the same shall apply in this Article) of the year preceding the first year of the payment of pension benefits, compared with that of the year three years preceding the first year of payment of pension benefits;
(b) An amount computed by converting the average monthly income of the year two years preceding the first year of the payment of pension benefits according to the Fluctuation Rate of Nation-Wide Consumer Price Index of the year preceding the first year of the payment of pension benefits, compared with that of the year two years preceding the first year of the payment of pension benefits;
(c) The average monthly income of the year preceding the first year of the payment of pension benefits;
2. An amount computed by converting the standard monthly income for the insurance coverage period of an insured person into its value of the year preceding the first year of the payment of pension benefits, each year according to the annual revaluation rate as announced by the Minister of Health and Welfare as prescribed by Presidential Decree and then dividing the sum of all converted standard monthly incomes by the total insurance coverage period: Provided, That such amount shall be an amount to be calculated according to the following items:
(a) The standard monthly income for an additionally included period pursuant to Article 18 shall be an amount equivalent to 1/2 of the amount calculated according to subparagraph 1;
(b) The standard monthly income for an additionally included period pursuant to Article 19 shall be an amount calculated according to subparagraph 1.
(2) When applying the amount obtained in each subparagraph of paragraph (1) to a beneficiary, an amount equivalent to the change rate shall be added or deducted by the end of March of each year, based on the Fluctuation Rate of Nation-wide Consumer Price Index of the year preceding the first year of the payment of pension benefits, compared to that of the year two years prior to the first year of the payment of pension benefits following deliberation by the National Pension Council established under Article 5.
(3) When applying the amount adjusted under paragraph (2) to a beneficiary, the applicable period shall be from April of the relevant year of adjustment to March of the following year.

Enforcement Ordinance

Enforcement Ordinance

Article 52 (Amount of Dependant Pension)

(1) The amount of dependant pension payable to each of the following persons whose livelihood is maintained by a beneficiary (referring to a deceased currently or formerly insured, in cases of a survivor pension) shall be an amount prescribed in the relevant subparagraph. In such case, eligibility criteria for such pension shall be prescribed by Presidential Decree:
1. Spouse: 150,000 won per year;
2. Child under age 19 or with at least a second degree disability (including any child born to or adopted by the spouse before marriage; hereafter the same shall apply in this Article): 100,000 won per year;
3. Parents aged at least 60 years or with at least a second degree disability (including the spouse of the father or mother, and parents of the spouse; hereafter the same shall apply in this Article): 100,000 won per year.
(2) Article 51 (2) and (3) shall apply mutatis mutandis to cases where the amount of dependant pension referred to in paragraph (1) applies to the beneficiary.
(3) If a person referred to in the subparagraphs of paragraph (1) falls under any of the following cases, the person shall be excluded from the calculation of the amount of dependant pensions pursuant to paragraph (1):
1. A pension beneficiary (including a beneficiary of aggregated benefits under the Act on Aggregation of National Pension and Occupational Pensions);
2. A beneficiary of a retirement pension, etc.;
3. A beneficiary of a survivor pension granted under the Public Officials Pension Act, the Pension for Private School Teachers and Staff Act, the Special Post Offices Act, or the Military Pension Act.
(4) No person referred to in the subparagraphs of paragraph (1) shall count in calculating the amount of dependant pension of at least two beneficiaries.
(5) If a person referred to in the subparagraphs of paragraph (1) falls under any of the following cases, the person shall be excluded from the calculation of the amount of dependant pensions:
1. When such person dies;
2. When such person's livelihood is no longer supported by the beneficiary;
3. When such person is divorced from his/her spouse;
4. When such person's child is adopted by another person or the adoptive relationship is terminated;
5. When such person's child reaches age 19: Provided, That any child with at least a second degree disability shall be excluded herefrom;
6. When such person's child or parent with at least a second degree disability is no longer in such disabling condition;
7. When the relationship with the child born to or adopted by the spouse prior to marriage is terminated by divorce;
8. When the relationship between a re-married father’s or mother’s spouse and the beneficiary is terminated by divorce between the parent and his/her spouse.

Enforcement Ordinance

Article 53 (Maximum Amount of Pension)

The amount of a monthly pension payment shall not exceed the largest amount among the following amounts:
1. An amount computed by adjusting mutatis mutandis under Article 51 (2) the average of the standard monthly incomes (adjusted mutatis mutandis under Article 51 (1) 2 based on that of the year preceding the first year of receipt of pension benefits) for the last five years during which the person in receipt of the benefits was an insured person;
2. An amount computed by adjusting mutatis mutandis under Article 51 (2) the average of the standard monthly incomes (adjusted mutatis mutandis under Article 51 (1) 2 based on that of the year preceding the first year of receipt of pension benefits) for the insurance coverage period.

Article 54 (Duration and Timing of Pension Benefits Payment)

(1) Pension benefits shall be paid beginning with the month immediately following the month in which grounds for pension benefits payment arise (where grounds for pension benefits payment arise because a lump-sum refund referred to in Article 78 (1), a postponed contribution referred to in Article 92 (1), or a contribution in arrears has been paid, the date on which the relevant payment is made), and ending with the month in which the date on which entitlement to benefits expires.
(2) Pension benefits shall be paid on 25th of each month; if the payment date falls on a Saturday or a public holiday, the payment shall be made on the date immediately preceding the date on which the payment is due: Provided, That where entitlement to pension benefits expires or pension benefits payment is suspended, pension benefits may be paid before the due date.
(3) If grounds for suspension of the pension benefits payment arise, no pension benefits shall be paid beginning with the month immediately following the month in which such grounds arise, and ending with the month in which such grounds cease to exist.

Article 54-2 (Exclusive Benefit Deposit Account)

(1) A beneficiary may request the Service to pay benefits not exceeding the amount prescribed by Presidential Decree into a designated account in his/her name (hereinafter referred to as "exclusive benefit deposit account") pursuant to Article 58 (2), and in such cases, the Service shall deposit the benefits into the exclusive benefit deposit account.
(2) Notwithstanding paragraph (1), where the Service is unable to transfer benefits to the exclusive benefit deposit account due to an information and communications failure or other unavoidable reasons prescribed by Presidential Decree, it may pay benefits as prescribed by Presidential Decree, such as in cash.
(3) A financial institution at which the exclusive benefit deposit account is opened, shall ensure that only the benefits are paid into the exclusive benefit deposit account, and shall manage it.
(4) Necessary matters concerning methods and procedures for requesting under paragraph (1) and management of the exclusive benefit deposit account under paragraph (1), shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 13100, Jan. 28, 2015]

Enforcement Ordinance

Article 55 (Unpaid Benefits)

(1) Where a beneficiary dies, any unpaid pension benefits payable to the beneficiary shall be paid at the request of his/her spouse, children, parents, grandchildren, grandparents or siblings: Provided, That unpaid benefits shall not be paid to a person under the circumstances prescribed by Presidential Decree, such as abscondence from home and disapperance, and unpaid benefits shall be paid only to siblings whose livelihood is supported by the beneficiary, as prescribed by Presidential Decree, at the time of the death of the beneficiary.
(2) The order of priority among persons to receive the benefits under paragraph (1) shall be the deceased's spouse, children, parents, grandchildren, grandparents and siblings. When two or more persons are in the same priority status, the pension benefits shall be divided and paid equally among them, and the method of payment shall be prescribed by Presidential Decree.
(3) A claim for unpaid benefits referred to in paragraph (1) shall be made within five years from the date on which a beneficiary dies.

Enforcement Ordinance

Enforcement Ordinance

Article 56 (Adjustment of Overlapped Payment of Benefits)

(1) If a beneficiary is entitled to two or more pension benefits under this Act, he/she shall be paid only one of the pension benefits at his/her choice and the payment of other benefits shall be suspended.
(2) Notwithstanding paragraph (1), where non-selected pension benefits under paragraph (1) fall under any of the following subparagraphs, the amount specified in the relevant subparagraph shall be added to the selected pension benefit in payment:
1. Where the non-selected pension benefits are survivor pension benefits (excluding cases where the selected pension benefits are a lump-sum refund): An amount equivalent to 20/100 of the survivor pension;
2. Where the non-selected pension benefits are a lump-sum refund (excluding cases where the selected pension benefits are disability pension benefits and the non-selected pension benefits include a lump-sum refund resulting from the payment of contributions by the person in question): An amount equivalent to the amount referred to in Article 80 (2).

Article 57 (Recovery of Benefits)

(1) Where a person in receipt of benefits falls under any of the following cases, the Service shall recover the benefits, as prescribed by Presidential Decree:
1. Where a person has been paid benefits by fraudulent or illegal means;
2. Where benefits were erroneously paid as a result of a person who failed to file a report, or has filed a belated report, to the Service, on the grounds for termination of entitlement to benefits referred to in Articles 75 and 121 (2);
3. Where benefits were erroneously paid on other grounds.
(2) In cases falling under paragraph (1) 1 and 2, the Service shall recover benefits with accrued interest prescribed by Presidential Decree added thereto: Provided, That no accrued interest shall be added in cases not attributable to an obligor for payment.
(3) Where an obligor for payment of an amount to be recovered under paragraphs (1) and (2) fails to pay it by the payment deadline, the Service shall collect arrears, by applying mutatis mutandis Article 97 (1) and (2), and in such cases, "Health Insurance Corporation" shall be construed as "the Service," and "contributions" as "amounts to be recovered", respectively: Provided, That no arrears may be collected in case of natural disasters or other unavoidable causes prescribed by Presidential Decree.
(4) If a person presumed dead under Article 15 is confirmed to be alive, the Service shall recover the benefits paid based on the presumption of the person’s death from the recipient of such benefits.
(5) If an obligor for payment of an amount to be recovered under paragraphs (1), (2) and (4) and arrears referred to in paragraph (3) has entitlement to other benefits or is to receive money to be returned from the Service, such as over-payments or erroneous payments, the Service may appropriate such benefits or money to cover the amount to be recovered and the amount of arrears (hereinafter referred to as “amount to be recovered”) pursuant to paragraphs (1) through (4).
(6) If an amount to be recovered under paragraphs (1) through (5) or the amount of arrears does not exceed an amount prescribed by Presidential Decree, the Service may elect not to collect it.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 57-2 (Notice of, Demand for Payment of Amount to be Recovered, Dispositions against Default, etc.)

(1) Where the Service intends to collect an amount to be recovered or an amount in arrears under Article 57 (1) through (4), it shall give notice of payment stating the amount to be recovered, amount in arrears, and the payment deadline, etc. within a specified period. In such cases, notice for payment may be given in electronic form, as prescribed by Ordinance of the Ministry of Health and Welfare, and Article 88-2 (3) shall apply mutatis mutandis to the arrival thereof.
(2) Where a person in receipt of notice under paragraph (1) fails to pay the amount to be recovered by the specified deadline, the Service shall demand the payment by fixing a deadline, as prescribed by Presidential Decree.
(3) Where a person in receipt of a demand for payment of an amount to be recovered and an amount of arrears pursuant to paragraph (2) fails to pay them by the specified deadline, the Service may collect them in the same manner as delinquent national taxes are collected, after obtaining approval from the Minister of Health and Welfare. In such case, Article 95 (5) and (6) shall apply mutatis mutandis to dispositions against default, and "Health Insurance Corporation" shall be construed as the "National Pension Service."
[This Article Newly Inserted by Act No. 9691, May 21, 2009]

Enforcement Ordinance

Enforcement Ordinance

Article 58 (Protection of Entitlement to Benefits)

(1) No entitlement to benefits shall be transferred, seized, or provided as security.
(2) No benefit paid to a beneficiary, not exceeding the amount prescribed by Presidential Decree, shall be seized.
(3) No Benefit deposited into the exclusive benefit deposit account or claim on such benefits shall be seized.

Enforcement Ordinance

Article 59 (Payment after Deduction of Unpaid Amounts)

(1) Where a currently or formerly insured who has a debt yet to be repaid related to a loan made to him/her pursuant to Article 46 acquires entitlement to benefits or dies, such debt may be deducted from the benefits to be paid under this Act (including a lump-sum death payment, but excluding benefits the payment of which has been suspended): Provided, That with respect to a beneficiary of pension benefits (excluding disability pension benefits which are paid as a lump-sum compensation pursuant to Article 68 (2)) from among the benefits paid under this Act, the amount deducted shall not exceed 1/2 of the relevant monthly pension amount.
(2) In order to deduct a debt related to loans pursuant to paragraph (1), the Service shall issue a peremptory notice to demand reimbursement of the debt in writing, for a period of at least 20 days, and it shall notify the beneficiary in advance that such debt will be deducted from the relevant benefits unless the debt is paid by the deadline.
(3) The amount deducted under paragraph (1) shall be regarded as having been paid to the beneficiary in such amount.

Article 60 (Exemption from Taxes and other Public Charges)

With respect to an amount paid as benefits under this Act, taxes and other public charges of the State or a local government shall be reduced or exempted, as prescribed in the Restriction of Special Taxation Act, other Acts and subordinate statutes, or municipal ordinances of the local government.

Article 61 (Old Age Pension Beneficiaries)

(1) An old age pension shall be paid during the remaining lifetime to a currently or formerly insured whose insurance coverage period is at least ten years, beginning with the year he/she reaches age 60 (age 55 for employees in special occupational categories).
(2) Notwithstanding paragraph (1), where a currently or formerly insured whose insurance coverage period is at least ten years is aged 55 or over and is not engaged in income-earning activities prescribed by Presidential Decree, he/she may receive, if he/she so desires, a specified amount of pension (hereinafter referred to as "early old age pension") during his/her remaining lifetime from the time the person in question requests such pension, even though he/she has not reached age 60.

Enforcement Ordinance

Article 62 (Addition of Amount based on Postponed Payment of Pension Benefits)

(1) Where an annuitant of an old age pension referred to in Article 61 who is aged between 60 and under 65 (between 55 and under 60 for employees engaged in special occupational categories) wishes to postpone the payment of pension benefits, the Service may postpone, limited to only once, the payment of all or some of the pension benefits for the period before he/she reaches age 65 (age 60 for employees engaged in special occupational categories).

(2) Where an annuitant who applied for postponement of the payment of all of pension benefits pursuant to paragraph (1) wishes to resume receiving the pension benefits, or reaches age 65 (age 60 in case of an employee in special occupational category), the amount of pension benefits payable shall be calculated by adding the amount of an old age pension (excluding the amount of dependant pensions; hereinafter the same shall apply in this Article) under Articles 63 and 66 (3) payable at the time of applying for postponement of the payment of pension benefits, as adjusted according to Article 51 (2), to an amount equivalent to 6/1000 of the said adjustment, for each month postponed. In such cases, an amount equivalent to 6/1000 shall also be adjusted pursuant to Article 51 (2).

(3) An annuitant who intends apply for postponement of the payment of some of the pension benefits pursuant to paragraph (1) may file an application for postponement of payment of any of the following amounts, out of the old age pension amount:

1. 500/1,000 of the amount of old age pension;

2. 600/1,000 of the amount of old age pension;

3. 700/1,000 of the amount of old age pension;

4. 800/1,000 of the amount of old age pension;

5. 900/1,000 of the amount of old age pension.

(4) When an annuitant who has applied for postponement of the payment of some of pension benefits pursuant to paragraph (3), wishes to be paid all of the pension benefits, or reaches age 65, the amount of old age pension shall be the aggregate of the following amounts:

1. An amount of old age pension, payment of which is not requested to be postponed, as adjusted pursuant to Article 51 (2);

2. An amount of old age pension obtained by adding the amount, payment of which is requested to be postponed, and which is adjusted pursuant to Article 51 (2), to the 6/1,000 of the said adjustment, for each month postponed. In such cases, the amount equivalent to 6/1,000 shall be also adjusted pursuant to Article 51 (2).

Article 63-2 (Amount of Old Age Pensions Depending on Income-Earning Activities)

Where an old age pension beneficiary under Article 61 is engaged in income-earning activities prescribed by Presidential Decree, an amount calculated by subtracting the amount based on the following classification from the amount of old age pension (excluding the amount of dependant pension; hereinafter the same shall apply in this Article) under Articles 62 (2) and (4), 63, and 66 (2) shall be paid during the period between age 60 and under age 65 (between age 55 and under age 60 for employees engaged in special occupational categories). In such cases, no deduction shall exceed one half of the amount of an old age pension:
1. A person whose monthly amount of excess income (referring to an amount calculated by subtracting the amount calculated pursuant to Article 51 (1) 1 from the amount of monthly income of an old age pension beneficiary; hereinafter the same shall apply in this Article) is less than one million won: 50/1,000 of the amount of monthly excess income;
2. A person whose monthly amount of excess income is at least one million won and less than two million won: 50,000 won + (amount of monthly excess income ? one million won) × 100/1,000;
3. A person whose monthly amount of excess income is at least two million won and less than three million won: 150,000 won + (amount of monthly excess income ? two million won) × 150/1,000;
4. A person whose monthly amount of excess income is at least three million won and less than four million won: 300,000 won + (amount of monthly excess income ? three million won) × 200/1,000;
5. A person whose monthly amount of excess income is at least four million won: 500,000 won + (amount of monthly excess income ? four million won) × 250/1,000.
[This Article Newly Inserted by Act No. 11143, Dec. 31, 2011]

Enforcement Ordinance

Article 64 (Beneficiaries of Divided Pension, etc.)

(1) When a person who has been married for at least five years (limited to the marriage period during which one’s spouse is under insurance coverage; hereinafter the same shall apply) meets all of the following requirements, he/she may be paid a specified amount of his/her spouse's old age pension (hereinafter referred to as "divided pension") during his/her lifetime, from the time:
1. When the person has divorced his/her spouse;
2. When his/her former spouse is a beneficiary of an old age pension;
3. When the person reaches age 60.
(2) The amount of the divided pension referred to in paragraph (1) shall be the amount obtained by equally dividing the amount of pension corresponding to the period of marriage out of the former spouse's amount of old age pension (excluding the amount of dependant pensions).
(3) A request for the divided pension referred to in paragraph (1) shall be made within three years after a person meets all of the requirements prescribed in paragraph (1).

Article 65 (Relationship, etc. between Divided Pension and Old Age Pension)

(1) A person's entitlement to a divided pension under Article 64 (1) shall not be affected even though his/her former spouse's entitlement to an old-age pension is suspended or terminates due to any cause attributable to his/her former spouse after the person has acquired entitlement to the divided pension.
(2) Notwithstanding Article 56, if a person becomes entitled to two or more divided pensions, he/she shall be paid the combined total of the two or more divided pensions: Provided, That if such person becomes entitled to two or more divided pensions and other pension benefits (excluding an old-age pension; hereafter the same shall apply in this paragraph), the two or more divided pensions shall be deemed one divided pension and he/she shall be paid either the divided pension or the other pension benefits at his/her option, and the unselected one shall not be paid.
(3) No beneficiary of a divided pension shall be deemed a beneficiary of an old age pension at the time of payment of the survivor pension under Article 72 (1).
(4) Where the beneficiary of a divided pension becomes entitled to an old age pension, he/she shall be paid the combined total of the amount of the divided pension and the amount of the old age pension, notwithstanding Article 56.

Article 66 (Suspension of Payment of Early Old-Age Pensions)

(1) If a person under age 60 who is receiving an early old-age pension under Articles 61 (2) and 63 (2) comes to engage in any of the income-earning activities referred to in Article 61 (2), the payment of an early old-age pension during such period shall be suspended.
(2) Where a person in whose case the payment of an early old-age pension is suspended pursuant to paragraph (1) resumes receiving the early old-age pension before reaching age 60 because he/she no longer engages in the income-earning activities, or where he/she has reached age 60, the amount of the early old-age pension payable shall be as follows:
1. The amount computed by adding the amount of dependant pensions to the amount computed by multiplying the old-age pension (excluding the amount of dependant pensions) under Article 63 (1), which is calculated by aggregating the insurance coverage periods before and after the suspension of payment, by the rate computed by deducting 5/1000 from the rate by age under Article 63 (2) applicable at the time of the resumed receipt of old-age pension, every month of the period during which the payment has been already received;
2. The amount of an early old-age pension before suspension, where the amount of an early old-age pension (excluding the amount of dependant pensions; hereafter the same shall apply in this subparagraph) calculated under subparagraph 1 is smaller than the amount of an early old-age pension before the suspension under paragraph (1).

Article 67 (Disability Pension Beneficiaries)

(1) With respect to a person who suffers from a physical or mental disability despite having completely recovered from a disease (referring to cases where the date of the first medical examination on the relevant disease occurs within the insurance coverage period including cases where an insured person was unaware of the outbreak of a disease at the time he/she became insured; hereafter the same shall apply in this Section and Section 4) or injury that occurred during the insurance coverage period, a disability pension shall be paid according to the degree of disability for as long as the disability persists.
(2) If a person who sustains a disease or injury referred to in paragraph (1) fails to completely recover even after one and a half years since the date of the first medical examination, the degree of disability shall be determined as of the date on which the one and a half years have passed: Provided, That where a person who was not entitled to a disability pension on the date on which the one and a half years have passed becomes entitled to the payment of a disability pension before reaching age 60 due to a worsening of a disease or injury, the degree of disability shall be determined at the request of the person in question, as of the date of such request.
(3) Where a person whose entitlement to a disability pension has terminated pursuant to Article 70 (1) regains entitlement to a disability pension before reaching age 60 due to a worsening of a disease or injury from which he/she suffered at the time he/she acquired entitlement to the disability pension, the degree of disability shall be determined at the request of the person in question based on the date of such request.
(4) If a person who is entitled to a disability pension has been paid a lump-sum refund pursuant to Article 77, he/she shall not be paid a disability pension.
(5) Degrees of disabilities shall be classified into disabilities in the first, second, third, and fourth degrees, and matters concerning the criteria for the classification of degrees of disabilities and examination of the extent of disability shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 68 (Disability Pension Amount)

(1) The amount of a disability pension according to the degree of disability shall be as follows:
1. For a person with a disability in the first degree, the basic pension amount, plus a dependant pension amount;
2. For a person with a disability in the second degree, an amount equivalent to 800/1000 of the basic pension amount, plus a dependant pension amount;
3. For a person with a disability in the third degree, an amount equivalent to 600/1000 of the basic pension amount, plus a dependant pension amount.
(2) With respect to a person with a disability in the fourth degree, an amount equivalent to 2250/1000 of the basic pension amount shall be paid as a lump-sum compensation.

Article 69 (Adjustment of Overlapped Disability Pension Payments)

When a beneficiary of a disability pension again becomes disabled to whom a disability pension is paid due to another disability, his/her disability pension shall be paid according to the degree of disability determined by combining the extent of both the former and latter disabilities: Provided, That if the amount of the disability pension according to the combined degrees of the former and latter disabilities is smaller than the former amount of the disability pension, the former amount of the disability pension shall be paid.

Article 70 (Changes, etc. in the Amount of Disability Pension)

(1) If a beneficiary’s degree of disability is altered as a result of a disability examination, the Service shall modify the amount of the disability pension according to the degree of disability so altered, and if the beneficiary no longer qualifies as having disability, he/she shall not be entitled to the disability pension.
(2) If the disability of a disability pension beneficiary worsens, he/she may request the Service to modify the amount of his/her disability pension.
(3) The severity of disability pursuant to paragraphs (1) and (2) shall be determined based on the date on which a disease or injury is completely cured, and if a disease or injury is not completely cured by the following applicable date, the severity of disability shall be determined based on the relevant date:
1. In cases falling under paragraph (1): the date prescribed by Presidential Decree, such as the last day of the month during which a cycle designated by the Service according to the probability of changes in disability degree arrives;
2. In cases falling under paragraph (2): the date on which a beneficiary requests a modification to the amount of his/her disability pension.
(4) Paragraphs (1) and (2) shall not apply to a beneficiary of a disability pension who is aged not less than 60.

Enforcement Ordinance

Article 71 (Evaluation of Lump-Sum Compensation)

When applying to a beneficiary of a lump-sum compensation amount under Article 68 (2) an adjustment of overlapped payment of benefits under Article 56, an adjustment of overlapped payment of disability pensions under Article 69, a modification of the disability pension amount under Article 70, or extinctive prescription under Article 115 (1), the amount computed by dividing an amount equivalent to 400/1000 of the basic pension amount by 12 shall be deemed to have been paid for 67 months from the month following the month in which the grounds for payment of the lump-sum compensation arose.

Article 72 (Survivor Pension Beneficiaries)

(1) If a person who falls under any of the following subparagraphs dies, a survivor pension shall be paid to his/her surviving family: Provided, That if an insured person whose insurance coverage period is less than one year dies of a disease or injury, the survivor pension shall be paid only where such death is caused by a disease or injury which arose during the insurance coverage period:
1. A beneficiary of an old-age pension;
2. A formerly insured person with an insurance coverage period of ten years or more;
3. A currently insured person;
4. A beneficiary of a disability pension who has at least a second degree disability.
(2) If a formerly insured person whose insurance coverage period is less than ten years dies of a disease or injury which arose during his/her insurance coverage period or of a disease caused by the said injury within two years from the date of the first medical examination performed during his/her insurance coverage period of or within one year after losing his/her insured status, the survivors may be paid the survivor pension: Provided, That where the person in question or survivors have been paid a lump-sum refund pursuant to Article 77, the survivor pension shall not be paid.

Article 73 (Scope of Survivors, etc.)

(1) Survivors entitled to a survivor pension shall be the following persons whose livelihood is supported by a person under each subparagraph of Article 72 (1) at the time the person dies (where he/she is declared disappeared under Article 27 (1) of the Civil Act, referring to the time at which the period of disappearance begins; where he/she is declared disappeared under paragraph (2) of the aforesaid Article, referring to the time at which the danger that causes his/her death occurs). In such cases, the criteria for recognition of persons whose livelihood is supported by a person who participates or participated in the National Pension Plan shall be prescribed by Presidential Decree:

1. Spouse;

2. Child: Provided, That such is limited to a child under the age of 25, or a child whose level of disability is at least the second grade;

3. Parent (including the parent of a spouse; hereafter the same shall apply in this Section): Provided, That such is limited to a parent who is aged 60 or older, or a parent with at least a second degree disability;

4. Grandchild: Provided, That such is limited to a grandchild under age 19, or a grandchild with at least a second degree disability;

5. Grandparent (including the grandparent of a spouse; hereafter the same shall apply in this Section): Provided, That such is limited to a grandparent who is aged 60 or older, or a grandparent with at least a second degree disability.

(2) A survivor pension shall be paid only to the highest-ranked person in order of priority as provided for in the subparagraphs of paragraph (1): Provided, That if the survivor’s entitlement to survivor pension referred to in paragraph (1) 1 expires pursuant to Article 75 or is suspended pursuant to Article 76, the survivor pension shall be paid to the survivor referred to in paragraph (1) 2.

(3) If two or more survivors fall within the same ranking in order of priority in case of paragraph (2), the survivor pension shall be equally divided among such survivors, and the method of payment shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 74 (Amount of Survivor Pensions)

The amount of a survivor pension shall be any of the following amounts depending on the insurance coverage period plus a dependant pension amount: Provided, That a survivor pension amount payable where a beneficiary of an old age pension dies shall not exceed the old age pension amount received by the deceased:
1. For an insurance coverage period less than 10 years, an amount equivalent to 400/1000 of the basic pension amount;
2. For an insurance coverage period ranging from 10 to less than 20 years, an amount equivalent to 500/1000 of the basic pension amount;
3. For an insurance coverage period of 20 years or more, an amount equivalent to 600/1000 of the basic pension amount.

Article 75 (Termination of Entitlement to Survivor Pensions)

(1) If the beneficiary of a survivor pension falls under any of the following subparagraphs, his/her entitlement thereto shall terminate:
1. When the beneficiary dies;
2. When the beneficiary who is a spouse remarries;
3. When the beneficiary who is a child or grandchild is adopted or whose adoption is dissolved;
4. When the beneficiary who is a child or grandchild and who does not fall within at least a second degree disability category reaches age 19;
5. When the person who has acquired entitlement to a pension on grounds of disability no longer qualifies as having at least a second degree disability.
(2) A parent, grandchild, or grandparent’s entitlement to a survivor pension shall terminate if a fetus of a currently or formerly insured is born at the time the currently or formerly insured dies, acquiring entitlement to a survivor pension.

Article 76 (Suspension of Payment of Survivor Pension)

(1) With respect to a spouse who is the annuitant of a survivor pension, the survivor pension shall be paid for three years from the time the spouse becomes entitled to such pension and then suspended until the spouse reaches the age of 55: Provided, That if the annuitant falls under any of the following, the payment of such pension shall not be suspended:

1. Where the level of his/her disability is at least the second grade;

2. Where he/she supports the livelihood of children under the age of 25 or a child with the second grade disability or higher grade of a person who participates or participated in the National Pension Plan;

3. Where he/she is not engaged in income-earning activities prescribed by Presidential Decree.

(2) When the whereabouts of a spouse who is the beneficiary of a survivor pension remain unknown for at least one year, the amount of the survivor pension payable to him/her for the period during which his/her whereabouts is unknown shall be suspended at the request of the child who is a survivor.

(3) Where two or more beneficiaries of a survivor pension exist other than the spouse, and whereabouts of one of them remain unknown for at least one year, the payment of the survivor pension payable to him/her for the period in which his/her whereabouts are unknown shall be suspended at the request of the other beneficiaries of the survivor pension.

(4) Where the whereabouts of a person to whom the payment of a survivor pension is suspended pursuant to paragraphs (2) and (3) are confirmed, the suspension of the payment shall be lifted at the request of the person in question.

(5) When the annuitant who is a child or grandchild is adopted by another person, the National Pension Service shall suspend the payment of a survivor pension from the time he/she is adopted by another person.

(6) Where the adoption of a person in whose case the National Pension Service has suspended the payment of a survivor pension pursuant to paragraph (5) is dissolved, the National Pension Service shall cancel the suspension of payment at the request of the person himself/herself from the time the adoption of the person is dissolved.

(7) Where a person who is entitled to receive benefits due to a disability no longer has a disability in the second degree or higher, the National Pension Service shall suspend the payment of a survivor pension from that time.

(8) Where a person in whose case the National Pension Service suspends the payment of a survivor pension pursuant to paragraph (7) has a disability in the second degree or higher because his/her disease or injury deteriorates, the National Pension Service shall cancel the suspension of the payment thereof at the request of the person himself/herself from the time he/she disability falls under the second degree or higher.

[Title Amended on Oct. 24, 2017]

Enforcement Ordinance

Article 77 (Lump-Sum Refunds)

(1) If a currently or formerly insured falls under any of the following cases, a lump-sum refund may be paid at the request of the person himself/herself or his/her survivors:
1. When a person whose insurance coverage period is less than ten years reaches age 60;
2. When a person who is a currently or formerly insured dies: Provided, That where a currently or formerly insured with an insurance coverage period of at least 10 years dies, the foregoing shall apply only where the survivor pension is not paid pursuant to the proviso to Article 72 (1) with the exception of its subparagraphs, or Article 85;
3. When the person loses his/her nationality or emigrates overseas.
(2) The amount of a lump-sum refund under paragraph (1) shall be the amount of contributions paid by a currently or formerly insured (including the employer contribution in cases of a currently or formerly workplace-based insured person) plus interest prescribed by Presidential Decree.
(3) Where the payment of a lump-sum refund is claimed pursuant to paragraph (1), the provisions of Article 73 shall apply mutatis mutandis to the scope of survivors, the order of claim priority, etc.

Enforcement Ordinance

Article 78 (Repayment of Lump-Sum Refunds and Insurance Coverage Period)

(1) A person who re-acquires the status of an insured person after he/she is paid a lump-sum refund pursuant to Article 77 may repay the lump-sum refund to the Service, adding to it interest as prescribed by Presidential Decree (hereinafter referred to as "repayment of a lump-sum refund").
(2) The repayment of a lump-sum refund may be made in installments, as prescribed by Presidential Decree. In such case, interest prescribed by Presidential Decree shall apply thereto.
(3) Where the repayment of a lump-sum refund is made pursuant to paragraphs (1) and (2), the period corresponding to it shall be included in the insurance coverage period.
(4) Necessary matters concerning the repayment of a lump-sum refund, such as application for the repayment of the lump-sum refund, repayment method and deadline shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 79 (Termination of Entitlement to Lump-Sum Refund)

Entitlement to a lump-sum refund shall terminates under any of the following circumstances:
1. When a beneficiary becomes insured again;
2. When a beneficiary acquires entitlement to an old age pension;
3. When a beneficiary acquires entitlement to a disability pension;
4. When a beneficiary’s survivor acquires entitlement to a survivor pension.

Article 80 (Lump-Sum Death Payment)

(1) When a currently or formerly insured dies with no family referred to in Article 73, a lump-sum death payment shall be made to the deceased's spouse, children, parents, grandchildren, grandparents, siblings, or first cousins or closer collateral blood relatives: Provided, That such payment shall not be made to a person facing circumstances prescribed by Presidential Decree, such as abscondence from home and missing, and such payment shall be made to a first cousin or closer collateral blood relative if his/her livelihood is supported by a currently or formerly insured at the time of death of the said person, as prescribed by Presidential Decree.
(2) A lump-sum death payment referred to in paragraph (1) shall be an amount equivalent to a lump-sum refund payable to a currently or formerly insured; the amount of lump-sum death payment shall not exceed four times the larger amount of the amount obtained by converting the last standard monthly income of a currently or formerly insured who dies, to the value of the year immediately preceding the year in which the lump-sum death payment is made, according to the year-to-year reassessed rate referred to in Article 51 (1) 2 and the amount obtained by averaging the standard monthly incomes for the insurance coverage period computed in a corresponding manner under the same subparagraph.
(3) The deceased’s spouse shall be given first priority in receiving a lump-sum death payment under paragraph (1), followed by children, parents, grandchildren, grandparents, siblings and first cousins or closer collateral blood relatives. When two or more persons fall within the same order of priority, the payment shall be equally divided among such persons, and the method of payment shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 81 (Relationship between Survivor Pension Payments and Lump-Sum Death Payments)

With respect to the beneficiary of a survivor pension under Article 73 (1) 2 and 4, when the amount of the survivor pension paid until entitlement to the survivor pension terminates under Article 75 (1) 4 is smaller than the lump-sum death payment calculated under Article 80 (2), the difference shall be paid in the form of a lump sum payment.

Article 82 (Restrictions on Payment of Benefits)

(1) Where a currently or formerly insured intentionally brings about a disease or injury, or an accident caused thereby and suffers from a disability resulting from such disease, injury or accident, the payment of a disability pension paid on grounds of such disability may be denied.
(2) If a currently or formerly insured falls under any of the following subparagraphs due to his/her failure to comply with medical treatment instructions intentionally or by gross negligence or his/her failure to comply with medical treatment instructions without any justifiable reason, the benefits to be paid on the basis of such cause may be denied in whole or in part, as prescribed by Presidential Decree:
1. Where the person is disabled or deceased;
2. Where the person brings about an accident which is the cause of a disability or death;
3. Where the person aggravates his/her disability or impairs his/her recovery.

Enforcement Ordinance

Article 83 (Restriction on Modification of Disability Pension Amount)

Where a beneficiary of a disability pension aggravates his/her disability or impairs his/her recovery by failing to comply with medical treatment instructions intentionally or by gross negligence, or by failing to comply with medical treatment instructions without any justifiable reason, modifications to the amount of the disability pension pursuant to Article 70 may be denied.

Article 84 (Restriction on Survivor Pension Payments)

(1) A survivor pension shall not be paid to a survivor who has intentionally caused the death of a currently or formerly insured.
(2) A survivor pension shall not be paid to a survivor who has intentionally caused the death of a person eligible to be a beneficiary of the survivor pension.
(3) A survivor pension shall not be paid to a beneficiary of the survivor pension who has intentionally caused the death of another beneficiary of the survivor pension.

Article 85 (Restriction on Payment of Benefits due to Unpaid Contributions)

Pension benefits shall not be paid if any of the following subparagraphs applies on the date of the first medical examination of the relevant disease or injury in cases involving a disability pension, and at the time of death in cases involving a survivor pension:
1. Where no contributions have been actually paid;
2. Where the period in which contributions are paid (including the period in which employee contributions are paid pursuant to Article 17 (3); hereafter the same shall apply in this Article) is shorter than the period equivalent to 2/3 of the total of the periods in which such contributions are paid and in which contributions are not paid (excluding a period in which one month has not elapsed after the payment deadline referred to in Article 89 (1) and a period in which contributions are not paid pursuant to Article 91 (1); hereafter the same shall apply in this Article): Provided, That the foregoing shall not apply to cases where the period in which contributions are not paid is less than 6 months.

Article 86 (Suspension of Payment, etc.)

(1) If a beneficiary falls under any of the following subparagraphs, the payment of benefits may be suspended in whole or in part:
1. When a beneficiary fails to comply with a demand of the Service for submission of documents and other materials under Article 122 (1) without any justifiable reason;
2. When a beneficiary of a disability pension or survivor pension fails to comply with a demand or verification of the Service under Article 120 without any justifiable reason;
3. When a beneficiary of a disability pension impairs his/her recovery by failing to comply with medical treatment instructions intentionally or by gross negligence or where he/she fails to comply with medical treatment without any justifiable reason;
4. When a beneficiary fails to file a report under Article 121 (1) without any justifiable reason.
(2) Where a suspension of payment of benefits under paragraph (1) is sought, such payment may be temporarily halted prior to the suspension of payment, as prescribed by Presidential Decree.

Enforcement Ordinance

Article 87 (Expenses Paid from National Treasury)

The State shall annually pay the expenses of the Service and the Health Insurance Corporation in whole or in part which are needed for the management and operation of national pension services.

Article 88 (Imposition, Collection, etc. of Contributions)

(1) The Minister of Health and Welfare shall entrust the matters prescribed by this Act concerning the collection of contributions among national pension services to the Health Insurance Corporation.
(2) The Service shall impose contributions on insured persons and employers each month during their insurance coverage periods to cover the costs of national pension services rendered, and the Health Insurance Corporation shall collect such contributions.
(3) Out of the contribution of a workplace-based insured person, the employee contribution shall be borne by the workplace-based insured person and the employer contribution by the employer; each amount shall be equal to 45/1000 of the standard monthly income.
(4) The contributions of an individually insured person, voluntarily insured person, and voluntarily and continuously insured person shall be borne by the individually insured person, voluntarily insured person, and voluntarily and continuously insured person, respectively, and the amount of the contributions shall be equal to 90/1000 of the standard monthly income.
(5) Where the Service has to collect an additional contribution by re-calculating the initially assessed amount in order to make corrections to the standard monthly income, etc., it may allow an insured person or employer to pay the additional contribution in installments. In such cases, matters necessary for payment of contributions in installments, such as those eligible for filing an application for payment in installments, installment payment methods and deadlines, shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 88-2 (Notice of Payment, etc.)

(1) When the Service has imposed a contribution under Article 88, the Health Insurance Corporation shall notify an obligor for payment in writing stating the contribution amount, payment deadline, payment place, etc.: Provided, That where such payment is made by automated credit transfer under Article 89 (4) for a certain period, such notice may be omitted for such period.
(2) Upon the application of an obligor for payment, the Health Insurance Corporation may provide notice of payment under the main sentence of paragraph (1) by an electronic document according to an electronic document exchange system, etc. In such cases, the method to apply for such electronic notice, procedure therefor, and other necessary matters shall be prescribed by Ordinance of the Ministry for Health and Welfare.
(3) Where the Health Insurance Corporation has notified by an electronic document pursuant to paragraph (2), such notice shall be deemed to have reached an obligor for payment at the time the electronic document is stored at an information and communication network prescribed by Ordinance of the Ministry for Health and Welfare or is delivered to an electronic mail address designated by the obligor for payment.
(4) Notice given to one of the joint obligors for payment of contributions as prescribed in Article 90 (3) shall be effective for the other obligor joint obligor.
[This Article Newly Inserted by Act No. 9691, May 21, 2009]

Article 89 (Contribution Payment Deadline, etc.)

(1) Pension contributions shall be paid by an obligor for payment by no later than the 10th day of the month following the month for which the contribution is assessed: Provided, That a person who runs or is engaged in an agriculture, forestry, livestock farming or fishery business as prescribed by Presidential Decree (hereinafter referred to as "farmers and fishermen") may pay his/her contributions on a quarterly basis by the 10th day of the month following the relevant quarter at his/her application.
(2) Where a contribution is paid at least one month prior to the payment deadline, it shall be deemed paid on the date following the contribution payment deadline of the previous month.
(3) Where an obligor for payment pays a contribution in advance of its due date, the period, the amount to be reduced, etc. shall be prescribed by Presidential Decree.
(4) Where an obligor for payment pays a contribution by automated credit transfer, such person may be granted a reduction in the amount of the contribution or provided other financial benefits, as prescribed by Presidential Decree.
(5) Notwithstanding paragraph (1), the Health Insurance Corporation may, on grounds determined by Ordinance of the Ministry of Health and Welfare, such as delayed service of notice, extend the payment deadline within a range of one month from the payment deadline under paragraph (1).
(6) A person who intends to extend a payment deadline pursuant to paragraph (5) shall apply for an extension of the payment deadline to the Health Insurance Corporation, as prescribed by Ordinance of the Ministry of Health and Welfare.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 90 (Payment, etc. of Withheld Contributions)

(1) Every employer shall deduct an employee contribution payable by a workplace-based insured person from the monthly wage payable to such employee and pay it.
(2) When an employer deducts an employee contribution from the employee's wage pursuant to paragraph (1), he/she shall prepare a deduction statement and present it to the relevant workplace-based insured person, as prescribed by Ordinance of the Ministry of Health and Welfare. In such cases, a pay slip, etc. stating the details of deduction of the employee contribution, shall be deemed a deduction statement.
(3) Where there are two or more employers at a workplace which is not a corporation, the employers in such workplace shall be jointly liable for paying contributions of workplace-based insured persons and other dues.

Article 90-2 (Payment of Contributions, etc. by Credit Card, etc.)

(1) An obligor for payment may pay a contribution, arrears, expenses for disposition on default, and other dues (hereinafter referred to as "contributions, etc." in this Article) at not more than an amount prescribed by Presidential Decree, by credit card, debit card, etc. (hereinafter referred to as "credit card, etc." in this Article) via an institution, etc. prescribed by Presidential Decree to vicariously pay contributions, etc. (hereinafter referred to as "an agency of payment of contributions, etc." in this Article).
(2) Where contributions, etc. are paid by credit card, etc., the date of approval by an agency of payment of contributions, etc. shall be deemed the date of payment.
(3) An agency of payment of contributions, etc. may collect a commission from the obligor for payment in return for paying the contributions, etc. on his/her behalf.
(4) Necessary matters concerning the designation and operation of an agency of payment of contributions, etc. and commissions, etc. shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 13100, Jan. 28, 2015]

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 91 (Exceptions to Payment of Contributions)

(1) If a workplace-based insured person or an individually insured person is unable to pay contributions for any of the following causes, an obligor for payment may elect not to pay contributions for the period in which such cause continues to exist, as prescribed by Presidential Decree:
1. Suspension of business, unemployment or temporary retirement;
2. Military service under Article 3 of the Military Service Act;
3. Attending school under Article 2 of the Elementary and Secondary Education Act or Article 2 of the Higher Education Act;
4. Confinement in a correction facility under Article 11 of the Administration and Treatment of Correctional Institution Inmates Act;
5. Commitment to a preventive custody facility under the former Social Protection Act or a medical treatment and custody facility under the Medical Treatment and Custody Act;
6. A person’s whereabouts is unknown for less than one year. In such case, the criteria and method to determine a person’s whereabouts is unknown shall be prescribed by Presidential Decree;
7. Decrease in income due to a disaster, accident, etc., or failure to engage in income-earning activities, as prescribed by Presidential Decree.
(2) The period in which contributions are not paid under paragraph (1) shall be not included in calculating the insurance coverage period.

Enforcement Ordinance

Enforcement Ordinance

Article 92 (Postponed Payment of Contributions)

(1) A person falling under any of the following subparagraphs may request a postponed payment for all or part of the contributions corresponding to the period prescribed in the relevant subparagraph (hereinafter referred to as "postponed contribution"):
1. An insured person who fails to pay contributions under Article 91 (1): The period in which such contributions are not paid;
2. A person who has acquired insured status since he/she completed the military service pursuant to Article 3 of the Military Service Act: The period in which the person performed the relevant military service (excluding the period included in the period of service under the Public Officials Pension Act, the Pension for Private School Teachers and Staffs Act and the Special Post Office Act, the period included in the period of service under the Veterans' Pension Act and the period of service in the military before January 1, 1988).
(2) The amount of a postponed contribution shall be an amount computed by multiplying the amount of the contribution of the month in which an application for postponement of the payment is made by the number of months payment is to be postponed.
(3) Postponed contributions may be paid in installments, as prescribed by Presidential Decree. In such case, interest as prescribed by Presidential Decree shall be added thereto.
(4) Where postponed contributions under paragraphs (1) through (3) have been paid, the period corresponding to such postponed contributions shall be included in the insurance coverage period.
(5) Necessary matters concerning application for the payment of postponed contributions, payment method and deadline, etc. shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 93

Deleted.

Article 94 (Advance Collection of Contributions from Workplace-based and Individually Insured Persons)

If an obligor for the payment of contributions of workplace-based insured persons or an individually insured person falls under any of the following cases, the contributions may be collected in advance of the normal payment deadline (where the payment deadline has been extended under Article 89 (5), the foregoing shall refer to such payment deadline):
1. When such person is subject to a disposition on default for failure to pay a national tax, local tax, or any other public charge in arrear;
2. When such person is subject to compulsory execution;
3. When such person is declared bankrupt;
4. When a public auction is commenced;
5. When a corporation is dissolved.

Article 95 (Demand for Payment of Contributions, etc. and Dispositions against Default)

(1) If a workplace-based insured person or an individually insured person fails to pay contributions and related dues under this Act by the payment deadline (referring to the extended payment deadline if the payment deadline has been extended under Article 89 (5)), the Health Insurance Corporation shall demand such payment by fixing a deadline, as prescribed by Presidential Decree.
(2) The Health Insurance Corporation shall issue a reminder, by fixing a deadline of at least ten days, when demanding payment under paragraph (1).
(3) A demand made to one of the persons jointly liable to pay contributions as prescribed in Article 90 (3) shall also apply to the other persons jointly liable for payment.
(4) If a person in receipt of demand under paragraph (1) fails to pay contributions or related dues by the payment deadline, the Health Insurance Corporation may collect such contributions and related dues in the same manner as delinquent national taxes are collected, after obtaining approval from the Minister of Health and Welfare. In such cases, where the collected amount falls short of contributions in arrears and related dues, the Health Insurance Corporation shall appropriate such collected amount for contributions in arrears and related dues, as prescribed by Presidential Decree.
(5) If the Health Insurance Corporation deems that the sale of the property seized in the same manner as delinquent national taxes are collected under paragraph (4) requires expert knowledge, or the direct sale of such property by the Health Insurance Corporation is inappropriate due to other special circumstances, it may require the Korea Asset Management Corporation established under the Act on the Efficient Disposal of Non-Performing Assets, etc. of Financial Companies and the Establishment of Korea Asset Management Corporation (hereinafter referred to as the "Korea Asset Management Corporation") to sell such property as proxy, as prescribed by Presidential Decree. In such cases, a sale conducted by the Korea Asset Management Corporation shall be deemed a sale conducted by the Health Insurance Corporation.
(6) Where the Korea Asset Management Corporation conducts a sale by proxy under paragraph (5), the Health Insurance Corporation may pay commission, as prescribed by Ordinance of the Ministry for Health and Welfare.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 95-2 (Payment of Contributions in Arrears in Installments)

(1) The Health Insurance Corporation may approve payment of contributions in installments for individually insured persons who have failed at least twice to pay contributions, as prescribed by Ordinance of the Ministry of Health and Welfare.
(2) Where a person approved to pay contributions in installments pursuant to paragraph (1) fails at least twice to pay the approved contributions without justifiable grounds, the Health Insurance Corporation shall revoke such approval.
(3) Matters necessary for procedures, methods, criteria, etc. for approval and revocation of payment of contributions in installments, shall be prescribed by Ordinance of the Ministry of Health and Welfare.
[This Article Newly Inserted by Act No. 13100, Jan. 28, 2015]

Enforcement Ordinance

Enforcement Ordinance

Article 96 (Service of Documents)

With respect to the service of documents under Article Articles 57-2, 88-2 and 95, Articles 8 (excluding proviso to paragraph (2) of the same Article) through 12 of the Framework Act on National Taxes shall apply mutatis mutandis: Provided, That service by mail shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 97 (Arrears)

(1) Where an obligor for the payment of contributions fails to pay the contributions by the payment deadline (where the payment deadline is extended under Article 89 (5), the foregoing shall refer to such payment deadline), the Health Insurance Corporation shall collect arrears in an amount equivalent to 30/1000 of delinquent contributions counted from the date on which the payment deadline elapses.
(2) If an obligor for the payment of contributions fails to pay the delinquent contributions, the Health Insurance Corporation shall collect arrears under paragraph (1) plus an amount equivalent to 10/1000 of delinquent contributions for the lapse of each month from the date on which the payment deadline elapses. In such case, the sum of arrears shall not exceed an amount equivalent to 90/1000 of delinquent contributions.
(3) Notwithstanding paragraphs (1) and (2), where natural disasters or other inevitable causes prescribed by Presidential Decree exist, arrears under paragraphs (1) and (2) may not be collected.

Enforcement Ordinance

Article 97-2 (Disclosure of Personal Information on Defaulters with Large Amount in Arrears and Habitual Defaulters)

(1) Where a pensioner who has failed to pay a total of at least 50 million won (limited to workplace-based insured persons) in contributions, arrears and disposition fees for arrears, for two years from the date immediately following its payment deadline specified under this Act (hereafter referred to as "contributions, etc." in this paragraph) defaults on the payments although he/she is financially capable of making such payments, the Health Insurance Corporation may disclose the personal information on the relevant pensioner (referring to the personal information of an employer), arrears, etc. (hereafter referred to as "personal information, etc." in this Article): Provided, That this shall not apply if an administrative appeal or administrative litigation is pending with respect to the contributions, etc., in arrears or if there is a compelling reason prescribed by Presidential Decree not to do so, such as partial payment of an amount in arrears.
(2) The Deliberative Committee on Disclosure of Information on Contributions shall be established under the Health Insurance Corporation to deliberate on whether to disclose personal information, etc.
(3) The Health Insurance Corporation shall issue a written notice to a person whose personal information, etc. is subject to disclosure after deliberation by the Deliberative Committee on Disclosure of Information on Contributions that his/her personal information, etc. will be subject to disclosure so as to provide the person with an opportunity to explain his/her situation, and shall select persons whose personal information, etc. is subject to disclosure, considering the status of their payments, etc. of arrears after six months from the date on which such notice is issued.
(4) Disclosure of personal information, etc. shall be made by publishing or posting it in the official gazette or on the website of the Health Insurance Corporation.
(5) The criteria for determining one’s payment capability, the status of one’s payment of arrears, and procedures with respect to disclosure of personal information, etc., and matters necessary for the organization and operation, etc. of the Deliberative Committee on Disclosure of Information on Contributions shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 11511, Oct. 22, 2012]

Enforcement Ordinance

Article 98 (Order of Priority in Collection of Contributions)

The order of priority to collect contributions or other dues under this Act shall follow the order of priority to collect contributions under the National Health Insurance Act.

Article 99 (Expiration of Right to Collect Contributions, etc.)

The right to collect contributions and arrears from an individually insured person, voluntarily insured person, or voluntarily and continuously insured person shall terminates in any of the following cases:
1. When a currently or formerly insured dies;
2. When the person in question receives old age pension benefits or a lump-sum refund under Article 77 (1);
3. When the right is extinguished by prescription under Article 115 (1).

Article 100 (Appropriation and Return of Erroneous or Excess Payments)

(1) If the Service finds that an erroneous or excess payment has been made in the course of collecting contributions, arrears or expenses for disposition on default, the Service shall appropriate the erroneous or excess payment for contributions or other dues under this Act, as prescribed by Presidential Decree.
(2) Where an amount remains after appropriation under paragraph (1), the Service shall immediately determine to return it and the Health Insurance Corporation shall pay it as prescribed by Presidential Decree.
(3) Interest prescribed by Presidential Decree shall be added to such erroneous or excess payment in cases falling under paragraphs (1) and (2).

Enforcement Ordinance

Article 100-2 (Application of Legal Fiction of Contributions as Being Paid by Individually Insured Persons)

If a mandatorily applicable workplace referred to in the main sentence of Article 8 (1) fails to meet the mandatorily applicable workplace criteria, contributions that have been paid before an employer files a report pursuant to Article 21 (1) shall be deemed contributions paid by an individually insured person.
[This Article Newly Inserted by Act No. 10783, Jun. 7, 2011]

Article 100-3 (Subsidies for Contributions)

(1) Where a workplace-based insured person referred to in Article 8 who is a Korean national is hired by a workplace of the scale prescribed by Presidential Decree and earns an amount of income prescribed by Presidential Decree, the State may partially subsidize the employee contribution and an employer contribution for the relevant workplace-based insured person within budgetary limits.
(2) Matters necessary to determine the amount of support, methods, procedures, etc. for contributions referred to in paragraph (1) shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 11143, Dec. 31, 2011]

Enforcement Ordinance

Enforcement Ordinance

Article 100-4 (Clawback of Subsidies for Contributions)

(1) Where a person who has obtained subsidies for contributions under this Act falls under any of the following cases, the State may fully or partially claw back the subsidies that he/she has obtained:
1. Where the person has obtained subsidies by fraudulent or other illegal means;
2. Where subsidies were erroneously provided.
(2) Matters necessary for identifying persons subject to clawback under paragraph (1), criteria and method for clawback and other matters shall be prescribed by Presidential Decree.
(3) Where the State claws back subsidies as pursuant to paragraph (1), if a person who is supposed to return the subsidies is deemed incapable of returning such subsidies either because he/she has gone missing, has no property, or other inevitable reasons exist, the State may write off the deficits.
(4) The clawback of subsidies under paragraph (1) and write-off of deficits under paragraph (3) shall be entrusted to the Service. In such cases, Article 57-2 shall apply mutatis mutandis to clawback of subsidies.
[This Article Newly Inserted by Act No. 11143, Dec. 31, 2011]

Enforcement Ordinance

Article 101 (Establishment and Formation of Fund)

(1) The Minister of Health and Welfare shall establish the National Pension Fund (hereafter referred to as the "Fund" in this Chapter) to smoothly secure the financial resources necessary for the national pension services and to prepare a reserve fund to be appropriated for the benefits provided under this Act.
(2) The Fund shall be formed with the following financial resources:
1. Contributions;
2. Profits accrued from the operation of the Fund;
3. Reserves;
4. Surplus in the settlement of revenues and expenses of the Service.

Article 102 (Management and Operation of Fund)

(1) The Fund shall be managed and operated by the Minister of Health and Welfare.
(2) The Minister of Health and Welfare shall manage and operate the Fund using the following methods, in accordance with resolutions passed by the National Pension Fund Operation Committee established under Article 103, to maximize profits for the long-term financial stability of national pension, while investing in businesses to promote the welfare of current and former insured persons and beneficiaries to the extent of not compromising the financial stability of national pension: Provided, That in cases falling under subparagraph 2, the Minister shall purchase national bonds, following consultation with the Minister of Strategy and Finance:
1. Deposits or trusts in financial institutions prescribed by Presidential Decree;
2. Investment in the public sector for public projects;
3. Purchase, sale, and lending of securities under Article 4 of the Financial Investment Services and Capital Markets Act;
4. Transactions in the derivatives market for indexed financial investment instruments, among indexed products under Article 5 (1) of the Financial Investment Services and Capital Markets Act;
5. Welfare and loan services provided under Article 46 of this Act;
6. Acquisition and disposal of property for achieving the primary objective of the Fund;
7. Other projects to raise the Fund, as prescribed by Presidential Decree.
(3) Where the Fund is managed and operated by means other than those under paragraph (2) 5 and 6, a conscientious effort shall be made to outperform the market rate of return on each asset item: Provided, That where the Fund is deposited in the Public Capital Management Fund under the Public Capital Management Fund Act (hereinafter referred to as the "Management Fund") pursuant to paragraph (2) 2, the rate of return shall be determined at a level of at least the earning rate of state bonds with five years of maturity by the Public Capital Management Fund Operation Committee under Article 7 (2) of the same Act, following consultation with the National Pension Fund Operation Committee established under Article 103, as prescribed by Presidential Decree.
(4) Where the Minister of Health and Welfare manages and operates the Fund pursuant to paragraph (2) 3, he/she may take into account environmental, social, and governance factors related to investment targets, to achieve a long-term and stable revenue.
(5) The Minister of Health and Welfare shall process the accounting of the Fund as prescribed by Presidential Decree to clarify the operational performance and financial status of the Fund.
(6) The Minister of Health and Welfare may outsource the Service with part of the affairs concerning the management and operation of the Fund, as prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 103 (National Pension Fund Operation Committee)

(1) The National Pension Fund Operation Committee (hereinafter referred to as the "Operation Committee") shall be established under the Ministry of Health and Welfare to deliberate and decide on matters concerning the operation of the Fund in the following subparagraphs:
1. Matters relating to guidelines for operation of the Fund;
2. Matters relating to consultation on interest rates on deposits in cases where the Fund is entrusted to the Management Fund;
3. Matters relating to the Fund operation plan;
4. Matters relating to the details of operation and use of the Fund under Article 107 (3);
5. Other important matters relating to the operation of the Fund, submitted as agenda items to be discussed at a meeting by the chairperson of the Operation Committee.
(2) The Operation Committee shall be comprised of the Minister of Health and Welfare as chairperson, and the Vice Minister of Strategy and Finance, Vice Minister of Agriculture, Food and Rural Affairs, Vice Minister of Trade, Industry and Energy, Vice Minister of Employment and Labor, and the chief executive officer of the Service as ex officio members, as well as the following members who shall be appointed by the chairperson:
1. Three persons recommended by employers' organizations to represent employers;
2. Three persons recommended by the federation of labor unions to represent employees;
3. The following persons representing individually insured persons:
(a) Two persons recommended by farmers’ and fishermen’s organizations;
(b) Two persons recommended by organizations related to self-employed persons, other than farmers’ and fishermen's organizations;
(c) Two persons recommended by consumer groups and civic organizations;
4. Two experts who have much knowledge and experience in the National Pension Scheme.
(3) Each member shall hold office for a term of two years, and may be reappointed consecutively only once: Provided, That the chairperson and each ex officio member shall remain in office until the end of his/her tenure as Minister, Vice Minister or chief executive officer.
(4) The chairperson shall convene and preside over meetings of the Operation Committee.
(5) The Operation Committee shall have meetings at least four times per year with a majority of incumbent members constituting a quorum and a resolution shall be adopted with the concurring votes of a majority of those present. In such cases, members absent from a meeting shall be deemed to have not exercised their voting rights.
(6) The Minister of Health and Welfare shall, in advance, submit materials necessary for the meeting in response to a request from the Operation Committee.
(7) Matters necessary for the organization, operation, etc. of the Operation Committee shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 103-2 (Minutes of Operation Committee Meeting)

(1) The chairperson shall write and keep the minutes of an Operation Committee meeting, including the date, time and place of the meeting, matters discussed and resolved, and detailed remarks by members present (hereinafter referred to as "minutes") and shall make public a summary of the main contents thereof.
(2) The chairperson shall make public the minutes one year after the date on which a meeting is held: Provided, That in cases of an agenda item likely to affect the fair operation of the Fund or the financial market stability, the minutes containing the relevant agenda item shall be made public after four years from the date on which the relevant meeting is held after being referred to the Operation Committee for resolution.
(3) Notwithstanding paragraph (2), if the competent Standing Committee of the National Assembly requests the minutes, the chairperson shall submit the minutes in private.
[This Article Newly Inserted by Act No. 11644, Mar. 22, 2013]

Article 104 (National Pension Fund Operational Practices Review Board)

(1) A National Pension Fund Operational Practices Review Board (hereinafter referred to as "Practices Review Board") shall be established under the Operation Committee to deliberate on and evaluate the followings with respect to the operation of the Fund:
1. Matters concerning the composition of assets operated by the Fund and the accounting of the Fund;
2. Matters concerning the Fund performance measurement;
3. Matters needing improvement in connection with management and operation of the Fund;
4. Matters deemed necessary by the chairperson of the Practices Review Board among agenda items to be presented to the Operation Committee;
5. Other matters on which deliberation is requested by the Operation Committee.
(2) The Practices Review Board shall be comprised of the Vice Minister of Health and Welfare as the chairperson, a vice chairperson elected from among the members, and the following persons recommended by the chairperson:
1. Grade III national public officials of the relevant ministries and offices or public officials in general service belonging to the Senior Civil Service Corps who are nominated by the chairperson and ex officio members (excluding the chief executive officer of the Service) each under Article 103 (2);
2. Three persons recommended by employers' organizations to represent employers;
3. Three persons recommended by the federation of labor unions to represent employees;
4. The following persons representing individually insured persons:
(a) Two persons recommended by farmers and fishermen's organizations;
(b) Two persons recommended by organizations related to the self-employed other than farmers and fishermen's organizations;
(c) Two persons recommended by consumer organizations and civic groups;
5. Two persons of knowledge and experience in the National Pension System and in the operations of the National Pension Fund.
(3) If each organization intends to recommend a member of the committee pursuant to paragraphs (2) 2 through 4, the organization shall make such recommendations among the following persons:
1. Persons qualified as a lawyer or certified public accountant;
2. Persons who majored in social welfare, economics, or business administration, etc. and who are currently working on a position of an assistant professor or higher for at least three years in a college or university under the Higher Education Act;
3. Persons who hold a doctorate degree in social welfare, economics, or business administration, etc. and who have worked in a research institute or public institution for three years or more.
(4) The members shall serve a term of office of two years and may serve consecutive terms: Provided, That the tenure of the chairperson and that of a member who is a public official shall be the period during which he/she holds his/her official position.
(5) The relevant departments in charge of the Fund shall submit in advance data necessary for the meetings at the request of the Practices Review Board.
(6) The Practices Review Board shall submit findings from the evaluation of operation of the Fund to the Operation Committee by the end of June of the following year.
(7) Matters necessary for the organization and operation of the Practices Review Board and other matters shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 105 (Guidelines for Operation of National Pension Fund)

(1) The Operation Committee shall formulate guidelines for the operation of the National Pension Fund annually (hereinafter referred to as "Fund Operational Guidelines") concerning the following matters, to maximize the rights and interests of insured persons:
1. The ratio of assets of the Fund to be used for public projects;
2. The order of priority for distribution of the Fund to public projects;
3. Service expenses incurred in promoting the welfare of current and former insured persons and beneficiaries;
4. Loan services expenses incurred in lending money to currently or formerly insured persons for the purpose of raising the Fund;
5. Targets for and methods of public announcement concerning the current status of the management and operation of the Fund under Article 102 (2) through (5).
(2) Necessary matters concerning the Fund Operational Guidelines shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 106 (Fund Receipts and Disbursements)

Matters concerning the procedure for receipts and disbursements in the management and operation of the Fund shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 107 (Plans, etc. of Fund Operation)

(1) The Minister of Health and Welfare shall plan the operation of the Fund each year and obtain the approval of the President following deliberation by the Operation Committee and the State Council.
(2) The Government shall report the plan of Fund operation under paragraph (1) to the National Assembly by the end of October of the year preceding the relevant year.
(3) The Minister of Health and Welfare and the Minister of Strategy and Finance shall submit the details of the operation of the Fund and the details of the use of the Fund deposited in the Management Fund, respectively to the Operation Committee by the end of June of the year following the relevant year.
(4) The chairperson of the Operation Committee shall submit the details of the operation and use of the Fund under paragraph (3) to the National Assembly, following deliberation by the Operation Committee and make it public, as prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 108 (Requests for Examination)

(1) A person who is dissatisfied with a disposition taken by the Service or Health Insurance Corporation on qualification for insured status, standard monthly income, contributions, and other dues and benefits under this Act may request the Service or Health Insurance Corporation that has rendered such disposition for an examination.
(2) The request for examination under paragraph (1) shall be made in writing (including electronic documents under subparagraph 7 of Article 2 of the Electronic Government Act) within 90 days from the date on which the person comes to know the disposition was taken, and shall not be made after elapse of 180 days from the date the disposition is rendered: Provided, That if it is proved that there is a justifiable reason making it impossible to request for an examination within such period, a request for examination may be made after such period elapses.
(3) In addition to matters specified in paragraphs (1) and (2), matters necessary to request an examination shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 109 (National Pension Examination Committee)

(1) A National Pension Examination Committee (hereinafter referred to as the "Examination Committee") shall be established in the Service and a Collection Examination Committee shall be established in the Health Insurance Corporation to examine matters concerning the request for examination under Article 108.
(2) Necessary matters concerning the organization, operation, examination, etc. of the Examination Committee and Collection Examination Committee shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Article 110 (Requests for Appeal)

(1) Any person dissatisfied with a decision on a request for examination under Article 108 may appeal the decision with the National Pension Review Committee to re-examine matters within 90 days from the date of receiving notice of such decision, in a written request for re-examination stating matters prescribed by Presidential Decree.
(2) Methods, procedures, etc. for requesting appeal under paragraph (1) shall be prescribed by Ordinance of the Ministry of Health and Welfare.

Enforcement Ordinance

Article 111 (National Pension Review Committee)

(1) The National Pension Review Committee shall be established in the Ministry of Health and Welfare to examine matters concerning the request for review under Article 110 (hereinafter referred to as the "Review Committee").
(2) Necessary matters concerning the organization, operation, review, etc. of the Review Committee shall be prescribed by Presidential Decree.

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Enforcement Ordinance

Article 112 (Relation with Administrative Appeals)

(1) The provisions of the Administrative Appeals Act shall apply mutatis mutandis to the review and decision procedures of the Review Committee.
(2) The review by the Review Committee of matters for which a request for review is made under Article 110 shall be regarded as an administrative appeal under the Administrative Appeals Act in the application of Article 18 of the Administrative Litigation Act.

Article 113 (Adjustment of Overlapping Benefits Payment)

Where a beneficiary of a disability pension or survivor pension becomes entitled to any of the followings due to the same causes as those that led to him or her being the beneficiary of a disability pension or survivor pension under this Act, the amount of a disability pension paid under Article 68 or survivor pension paid under Article 74 shall be an amount equivalent to 1/2 thereof:
1. Disability compensation under Article 80 of the Labor Standards Act, survivor compensation under Article 82 of the same Act, or a lump-sum compensation under Article 84 of the same Act;
2. Disability benefits under Article 57 of the Industrial Accident Compensation Insurance Act, survivors’ benefits under Article 62 of the same Act, pneumoconiosis compensation annuities under Article 91-3 of the same Act, or pneumoconiosis survivors’ annuities under Article 91-4 of the same Act;
3. Disability compensation under Article 97 of the Seafarers Act, lump-sum compensation under Article 98 of the same Act, or survivor compensation under Article 99 of the same Act;
4. Disability benefits under Article 25 of the Act on Accident Compensation for Fishing Vessels and their Crew Members, lump-sum compensation benefits under Article 26 of the same Act or survivor benefits under Article 27 of the same Act.

Article 114 (Rights of Subrogation, etc.)

(1) When a disability pension or survivor pension is paid because grounds for payment of the disability pension or survivor pension have arisen as a result of an act committed by a third person, the Service shall subrogate the relevant beneficiary to the third person to the extent of the paid benefits.
(2) Where grounds for the payment of a disability pension or survivor pension arise as a result of an act committed by a third person, if the beneficiary of the disability pension or survivor pension is paid an indemnity by the third person on such grounds, the Service shall not pay the disability pension or survivor pension under paragraph (1) up to the limit of the amount of the indemnity paid to such beneficiary.

Article 115 (Periods of Prescription)

(1) The right to collect or recover pension premiums, amounts to be recovered, and other dues under this Act shall be extinguished by prescription if such right has subsisted for a continuous period of three years unexercised, and the right of beneficiaries, insured persons, etc. to receive benefits or to be repaid erroneous or excess payments shall be extinguished by prescription if such right has subsisted for a continuous period of five years unexercised.
(2) The period of prescription applicable to entitlement to benefits shall be suspended for a period of full suspension of the payment of such benefits.
(3) Notice of payment of contributions, or other dues under this Act, demands under Article 57-2 (2) and 95 (1), payment of benefits or request for the return of erroneous or excess payments, etc. shall have the effect of interrupting the relevant extinctive prescription period.
(4) The extinctive prescription interrupted under paragraph (3) shall commence anew from the time when the payment deadline set forth in notice or reminder notice elapses.
(5) When calculating the period for payment of benefits or the request for the return of erroneous or excess payments under paragraph (1), the number of days taken to deliver the relevant documents shall not count towards the period.

Article 116 (Special Cases concerning Extinctive Prescription for Lump-Sum Refund)

(1) Notwithstanding Article 115, when a person who has become entitled to a lump-sum refund under Article 77 (1) 3, former Article 67 (1) 1 (referring to the provision which was amended by the amended National Welfare Pension Act (Act No. 3902) and then repealed by the amended National Pension Act (Act No. 5623)) and former Article 67 (1) 4 (referring to the provisions amended by the amended National Pension Act (Act No. 6027)) falls under Article 77 (1) 1 or 2, he/she may be paid a lump-sum refund.
(2) With respect to entitlement to a lump-sum refund under paragraph (1), the provisions of Article 115 (1) shall apply mutatis mutandis.

Article 117 (Computation of Fractions)

If there is a fractional amount less than ten won in calculating benefits, contributions, refunds, etc. under this Act, it shall be calculated by applying the Management of the National Funds Act mutatis mutandis.

Article 118 (Master National Pension Register)

(1) The Service shall maintain a master national pension register for entering and maintaining records on identity information, acquisition and loss of insured status, payment of contributions, status of the payment of benefits of currently insured persons, formerly insured persons and beneficiaries, and other matters as determined by Ordinance of the Ministry of Health and Welfare.
(2) The Health Insurance Corporation shall enter and keep matters prescribed by Ordinance of the Ministry for Health and Welfare, such as the payment of contributions, extinction of authority to collect, etc., and supply the details thereof to the Service without delay.

Article 119 (Protection of Employees' Rights and Interests)

An employer shall not hinder his/her employee from becoming an insured person, or withhold a promotion or wage increase from, lay off, or treat his/her employee disadvantageously, without any justifiable reason, for the purpose of evading an increase in the employer contribution.

Article 120 (Medical Examinations)

The Service may, if deemed necessary, request a beneficiary of a disability pension or a person who is considered in the calculation of a dependant pension amount to get a medical examination by a doctor designated by the Service, or have its staff confirm the condition of such disability.

Article 121 (Reports, etc.)

(1) A current or former insured or beneficiary shall report to the Service or his/her employer matters concerning the creation, modification, etc. of his/her insured status, contributions and entitlement to benefits, as determined by Ordinance of the Ministry of Health and Welfare.
(2) If a current or former insured or beneficiary dies, a person responsible for filing a report under Article 85 of the Act on the Registration, etc. of Family Relationship shall report such fact to the Service within one month.

Article 122 (Surveys, Questions, etc.)

(1) If deemed necessary for determining an insured person's insured status, standard monthly income, contributions or benefits, or for confirming the creation, modification, termination, suspension, etc. of entitlement to benefits or benefits, the Service may require employers, current or former insured persons or beneficiaries to submit necessary documents or other materials on income, property, etc., or have its staff enter the place of business or other necessary places to survey documents, etc. or ask relevant persons necessary questions.
(2) When the staff of the Service visit, survey or ask questions under paragraph (1), they shall carry along a certificate indicating their authority and present it to relevant persons.

Article 122-2 (Verification of Beneficiaries)

(1) The Service shall establish an annual investigation plan each year and conduct investigations into whether a beneficiary is dead, divorced, or maintains livelihood in order to verify qualifications of the beneficiary and propriety of pension benefits for the beneficiary.
(2) The Service shall submit an annual investigation plan established under paragraph (1) and findings from investigations to the Minister of Health and Welfare by applying mutatis mutandis Article 41 (1) and (2).
(3) Where a beneficiary, his/her spouse, or other related person refuses, obstructs, or evades an investigation conducted under paragraph (1) on at least two occasions, the Service may suspend or stop the payment of pension benefits to such beneficiary. In such cases, it shall notify the beneficiary of such fact, clearly stating grounds for such action in writing.
(4) Matters necessary to determine the scope, method and timing of investigations referred to in paragraph (1) and other matters shall be prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 11143, Dec. 31, 2011]

Enforcement Ordinance

Article 123 (Requests for Data and Use of Computer Networks)

(1) The Service may request the head of a government agency, local government, and any other institution, corporation, or organization prescribed by Presidential Decree, to provide data prescribed by Presidential Decree, such as resident registration, family relation registration, national taxes, local taxes, estates, buildings, health insurance, registration as disabled, necessary data in connection with national pension services, such as management of status of insured persons, charging contributions, determination and payment of benefits. In such cases, the head of a government agency, local government, institution, corporation, or organization, shall provide requested data, except in extenuating circumstance.
(2) If necessary for examining payment of dependant pensions, disability pensions, and survivor pension benefits, the Service may request a medical institution under the Medical Service Act to provide access to, or issue a copy of, relevant medical records of a currently or formerly insured, upon obtaining the consent of the currently or formerly insured (if the currently or formerly insured dies, including a blood-relative under Article 21 (2) 3 of the Medical Service Act), as prescribed by Ordinance of the Ministry of Health and Welfare. In such cases, the medical institution upon receipt of such request shall comply therewith, except in exceptional circumstances.
(3) In order to verify data under paragraph (1), the Service may use data linkage system under Article 6-2 (2) of the Social Welfare Services Act.
(4) Data provided to the Service pursuant to paragraphs (1) and (3) shall be exempt from user fees, charges, etc.

Enforcement Ordinance

Article 124 (Confidentiality)

No person who serves or has served in the Service shall divulge any confidential information which he/she learned in the course of carrying out his/her duties.

Article 125 (Notice of Reduction and Omission of Income, etc. in Writing)

(1) Where the Service deems that there is a reduction or omission in the matters reported under Article 21, it may report such to the Minister of Health and Welfare and notify the Commissioner of the National Tax Service of data suspicious of reduction or omission of income in a written statement.
(2) The Commissioner of the National Tax Service who has received the statement under paragraph (1), where he/she has performed a tax investigation pursuant to relevant Acts and subordinate statutes, such as the Framework Act on National Taxes, shall notify the Service of matters concerning income contained in the results of such investigation.
(3) The notification procedures under paragraphs (1) and (2) and other necessary matters shall be prescribed by Presidential Decree.

Enforcement Ordinance

Article 126 (Application to Foreigners)

(1) Notwithstanding Article 6, a foreigner employed in a workplace governed by this Act or resides in the Republic of Korea, other than a person prescribed by Presidential Decree, shall be a workplace-based insured person or individually insured person, as a matter of course: Provided, That this shall not apply if any relevant laws of such foreigner's home country does not apply to the citizens of the Republic of Korea with respect to a pension equivalent to the National Pension Scheme under this Act.
(2) The provisions of Articles 77 through 79 shall not apply to any foreigner who has become workplace-based insured or individually insured under the main sentence of paragraph (1): Provided, That this shall not apply to any of the following foreigners:
1. Where a citizen of the Republic of Korea fails to acquire entitlement to benefits (referring to benefits corresponding to benefits under subparagraphs 1 through 3 of Article 49) pursuant to the Acts of the home country of a foreigner, and falls under any of the subparagraphs of Article 77 (1), the foreigner in whose case the laws of his/her home country prescribe that a certain amount (referring to an amount calculated based on contributions paid during the period for which he/she is insured by the Service) shall be paid to such citizen of the Republic of Korea in lump sum;
2. A foreign employee falling under the Act on the Employment of Foreign Employees, etc. employed in a workplace governed by this Act;
3. A person employed in a workplace governed by this Act, who has not left a designated training place for a required training period, maintaining the status of sojourn allowing him/her to engage in industrial training activities under Article 10 of the Immigration Control Act.
(3) Methods, procedures, etc. for reporting on the acquisition of status by a foreigner who becomes workplace-based insured or individually insured pursuant to paragraph (1) shall be prescribed by Ordinance of the Ministry of Health and Welfare.

Enforcement Ordinance

Article 127 (Social Security Agreements with Foreign Countries)

Where the Republic of Korea establishes a social security agreement with a foreign country, such social security agreement shall apply to the coverage of the National Pension Scheme, payment of contributions, conditions for the payment of benefits, calculation of the amount of benefits, payment of benefits, etc., notwithstanding this Act.

Article 128 (Penalty Provisions)

(1) A person who receives benefits by deception or other fraudulent means shall be punished by imprisonment with labor for not more than three years or by a fine not exceeding 30 million won.
(2) A person who falls under any of the following subparagraphs shall be punished by imprisonment with labor for not more than one year or by a fine not exceeding ten million won:
1. An employer who requires a workplace-based insured person to bear all or part of the employer contribution referred to in Article 88 (3), or who deducts an amount exceeding the employee’s contribution from the wage of the workplace-based insured person, when he/she deducts an employee contribution from the employee's wage under Article 90 (1);
2. An employer who fails to pay contributions by the payment deadline under Article 95 (2) without any justifiable reason;
3. An employer who hinders an employee from becoming an insured person, or withholds a promotion or wage increase from an employee without any justifiable reason for the purposes of evading the increase of employer contributions, or lays off, or treats disadvantageously an employee, in violation of Article 119;
4. A person who divulges any confidential information which the person has obtained in the course of carrying out his/her duties, in violation of Article 124.

Article 129

Deleted.

Article 130 (Joint Penalty Provisions)

If a representative of a corporation, an agent, employee or other servant of the corporation or an individual commits an offence provided in Article 128 in connection with the duties of the corporation or the individual, in addition to the punishment of such offender, the said corporation or the individual shall be subject to a fine under each relevant provisions: Provided, That this shall not apply in cases where such corporation or individual has performed relevant duties designed to prevent such offences with due care and supervision.
[This Article Wholly Amended by Act No. 10783, Jun. 7, 2011]

Article 131 (Administrative Fines)

(1) Any of the following persons shall be subject to an administrative fine not exceeding five hundred thousand won:
1. An employer who fails to file a report or files a false report in violation of Article 21 (1);
2. An employer who refuses, evades or obstructs an investigation or refuses to answer, evades or disrupts questions or gives a false answer when the Service or its employee requests submission of a document or other data, conducts an investigation or asks questions pursuant to Article 122.
(2) Any of the following persons shall be subject to an administrative fine not exceeding one hundred thousand won:
1. A person who fails to file a report under Articles 21 (2) and 121 (1) or (2);
2. A person who fails to give notice pursuant to Article 23 (2);
3. A current or former insured person or beneficiary who refuses, evades or obstructs a demand to submit documents or data on income, property, etc., who refuses, evades or disrupts an investigation and questioning by the Service or its employee under Article 122, or gives a false answer.
(3) Administrative fines referred to in paragraphs (1) and (2) shall be imposed and collected by the Minister of Health and Welfare, as prescribed by Presidential Decree.

Enforcement Ordinance

Article 132

Deleted.