Korea's 4 Major Social Insurance Types Explained — 2026 Rates & Enrollment Obligations
What Are Korea's 4 Major Social Insurances?
The "4 major social insurances" (4대보험) refer collectively to the four social insurance programs that the state mandates by law: National Pension (국민연금), Health Insurance (건강보험), Employment Insurance (고용보험), and Workers' Compensation Insurance (산재보험). Any employer who hires even one worker is in principle obligated to enroll in all four. Each insurance is designed to protect against a different risk: old age, illness, unemployment, and work-related injury or disease.
Note for foreign workers: Your employment contract may specify deduction amounts, but the statutory rates below are the legal minimums that apply to all workers in Korea regardless of nationality.
① National Pension (국민연금) — Old-Age Income Security
Under the National Pension Act (국민연금법), workers aged 18 or older and under 60 are subject to mandatory enrollment. The 2026 premium rate is 9.5%, split equally between the worker and the employer at 4.75% each. The upper limit of the standard monthly income (기준소득월액) is KRW 6,590,000 and the lower limit is KRW 410,000 (applicable July 2026 – June 2027). Even if your monthly salary exceeds KRW 6,590,000, the premium is calculated based on KRW 6,590,000, so the effective contribution rate is lower for high earners.
② Health Insurance (건강보험) — Reducing Medical Costs
Under the National Health Insurance Act (국민건강보험법), workplace employees are automatically enrolled as workplace subscribers (직장가입자). The 2026 health insurance premium rate is 7.19%, with the worker and employer each bearing 3.595%. In addition, long-term care insurance (장기요양보험) premiums are added as a fixed percentage of the health insurance premium. The 2026 long-term care insurance rate is approximately 0.9448% of income. A key feature of health insurance is that it covers medical costs for both the insured and their dependents (피부양자), such as a spouse and children.
③ Employment Insurance (고용보험) — Unemployment Benefits and Vocational Training
Under the Employment Insurance Act (고용보험법), this insurance applies to all workplaces that employ workers. The premium is divided into the unemployment benefit portion at 1.8% (worker 0.9%, employer 0.9%) and the employment stability and vocational skills development portion, which is borne solely by the employer. The most direct benefit for workers is the job-seeker's allowance (구직급여 / unemployment benefit). As of 2026, the daily upper limit for the job-seeker's allowance is KRW 68,100 and the lower limit is KRW 66,048. To be eligible, a worker must have accumulated at least 180 insured days within the 18 months prior to separation following an involuntary separation (Article 40 of the Employment Insurance Act / 고용보험법 제40조).
④ Workers' Compensation Insurance (산재보험) — Compensation for Work-Related Injuries
Under the Industrial Accident Compensation Insurance Act (산업재해보상보험법), this insurance applies to all businesses or workplaces that employ workers. The premium is paid entirely by the employer; workers bear no share. The rate varies by industry type. The Korea Workers' Compensation & Welfare Service (근로복지공단) determines the business category based on the primary business activity and applies the corresponding rate. Workers' Compensation Insurance pays medical care benefits (요양급여), temporary disability benefits (휴업급여), disability benefits (장해급여), and other benefits when a worker is injured or becomes ill in the course of work.
2026 Four Major Social Insurance Rates at a Glance
| Insurance | Total Rate | Worker's Share | Employer's Share |
|---|---|---|---|
| National Pension | 9.5% | 4.75% | 4.75% |
| Health Insurance | 7.19% | 3.595% | 3.595% |
| Long-Term Care | 0.9448%* | Half | Half |
| Employment Insurance (unemployment benefit portion) | 1.8% | 0.9% | 0.9% |
| Workers' Compensation Insurance | Varies by industry | None | Full amount |
*Long-term care insurance premiums are calculated based on the health insurance premium paid.
Enrollment Obligations and Exemptions
The 4 major social insurances in principle apply to all workers. However, short-hour workers who work fewer than 15 hours per week may be excluded from the National Pension and Health Insurance, and Employment Insurance has certain exemptions for workers employed for less than 3 months (Article 10 of the Employment Insurance Act / 고용보험법 제10조). Workers' Compensation Insurance applies to all workers regardless of working hours or contract type.
Impact on Take-Home Pay
For a worker earning the 2026 minimum wage monthly salary (based on a 40-hour week / 209 hours) of KRW 2,156,880, the approximate deductions are: National Pension approx. KRW 102,451, Health Insurance approx. KRW 77,590, Long-Term Care Insurance approx. KRW 10,335, and Employment Insurance approx. KRW 19,412. Actual deductions vary depending on individual circumstances. You can quickly check your estimated take-home pay using the salary calculator at workbear.kr (재주넘는곰).
This article is for informational purposes only and does not constitute legal advice. For specific cases, consult a certified labor attorney (노무사) or lawyer.
Frequently Asked Questions
Do part-time workers (arubaito) also have to enroll in the 4 major social insurances?
Part-time workers who work 15 hours or more per week are in principle required to enroll in all four social insurances. However, Workers' Compensation Insurance 산재보험 applies to all workers regardless of working hours. Short-hour workers who work fewer than 15 hours per week may be excluded from the National Pension and Health Insurance, but Employment Insurance enrollment becomes mandatory if they work continuously for 3 months or more Article 10 of the Employment Insurance Act / 고용보험법 제10조 .
What penalties does an employer face for failing to enroll employees in the 4 major social insurances?
Failure to report enrollment in the National Pension, Health Insurance, or Employment Insurance results in administrative fines. For Workers' Compensation Insurance, if an accident occurs while the employer is not enrolled, the Korea Workers' Compensation & Welfare Service 근로복지공단 will pay the insurance benefits and then recover the full cost from the employer Article 125 of the Industrial Accident Compensation Insurance Act / 산업재해보상보험법 제125조 . Late payment surcharges are also added to any overdue premiums.
Can freelancers and special-type workers also enroll in the 4 major social insurances?
Freelancers who are not employees under the Labor Standards Act 근로기준법 are in principle not enrolled as workplace subscribers in the 4 major social insurances. However, Workers' Compensation Insurance also applies to special-type workers 특수형태근로종사자 / 특고 such as quick-service couriers, designated-driver service workers, and home-study teachers Article 125 of the Industrial Accident Compensation Insurance Act / 산업재해보상보험법 제125조 . Employment Insurance coverage has also been expanded to certain special-type and platform workers.
What is the upper limit of the standard monthly income for the National Pension in 2026?
From July 2026 to June 2027, the upper limit of the standard monthly income 기준소득월액 for the National Pension is KRW 6,590,000, and the lower limit is KRW 410,000. Even if your actual monthly salary exceeds KRW 6,590,000, the premium is calculated based on KRW 6,590,000.