Legal News

[Insurance] Bill to amend and supplement certain provisions of the Health Insurance Act passed by the Diet

2024/12/12

On November 27, 2024, the Diet passed a bill to amend and supplement certain provisions of the Health Insurance Act (hereinafter referred to as the “Amendment Act”). The three notable points of the Amendment Act are as follows.

◆ Revisions and additions to health insurance eligibility

No.	Existing Law	Amended Law
1	I am working under a permanent employment contract or a fixed-term employment contract of “three months or more”.	I am working under a permanent employment contract or a fixed-term employment contract of “one month or longer”.
2	Corporate managers receiving salaries	The following persons receiving remuneration: Corporate managers, board members, presidents, directors, audit committee members, auditors, etc.
3	No target	The following persons who do not receive salaries: Corporate managers, board members, presidents, directors, audit committee members, auditors, etc. (*)
4	No target	Foreign workers who work in Vietnam, have a fixed-term employment contract of 12 months or more with a Vietnamese employer, and are enrolled in social insurance. However, the following exceptions apply. ・In cases of internal transfers stipulated by law ・In cases where the worker has reached the retirement age stipulated in Article 169, Paragraph 2 of the Labor Law at the time of signing the employment contract ・In cases where there are different provisions in international treaties concluded by Vietnam
5	No target	Part-time workers who meet the following conditions are eligible for social insurance. ・They work part-time under a fixed-term or indefinite employment contract for one month or longer. ・Their monthly salary is equal to or greater than the lower limit of the social insurance premium calculation standard.

(*) The amended law does not specify whether this provision applies only to Vietnamese nationals or to both Vietnamese nationals and foreigners. However, under the 2024 Social Insurance Law (effective July 1, 2025), the provision stating that “corporate managers, board members, presidents, directors, audit committee members, auditors, and others who do not receive wages must enroll in social insurance” applies only to Vietnamese nationals and not to foreigners.
Therefore, it is likely that this provision of the amended law will be interpreted similarly to the 2024 Social Insurance Law and will not apply to foreigners. We will continue to monitor guidance related to the amended law and provide the latest information.

◆ Revision of provisions concerning health insurance enrollment for workers with multiple employment contracts
Under the current Health Insurance Act, workers with multiple employment contracts are required to enroll in health insurance based on the employment contract with the highest salary. However, under the revised law, workers with multiple employment contracts will enroll in health insurance based on the employment contract under which they are enrolled in social insurance. In other words, they will enroll in social insurance and health insurance based on the employment contract they signed first.

◆ Addition of provisions regarding non-payment and fraudulent payment of health insurance premiums
Article 1, Paragraphs 33 and 34 of the revised law add provisions regarding employers who fail to pay health insurance premiums or make fraudulent payments, as well as measures to be taken in such cases. The revised law is scheduled to come into effect on July 1, 2025, and companies need to put systems in place to respond quickly to these changes.

References:
・Bill to amend and supplement certain provisions of the Health Insurance Act of 2024