Taiwan passes law to subsidize health insurance for seniors

Taiwan's Legislative Yuan has passed an amendment to Article 22 of the Senior Citizens Welfare Act, mandating that the central government fully subsidize National Health Insurance (NHI) premiums for eligible seniors. The law targets residents aged 65 and older whose net annual income falls below the tax filing threshold or is taxed at a rate under 20 percent.

The amendment, introduced by the Kuomintang (KMT) and the Taiwan People's Party (TPP), is estimated to cost approximately NT$39 billion annually, potentially rising to NT$62.8 billion by 2049. While proponents argue the move provides uniform national benefits and reduces the burden on younger generations, critics and government officials have raised concerns regarding fiscal sustainability and intergenerational equity.

Legal experts and health officials have warned that the amendment may inadvertently create a gap in medical coverage. By focusing specifically on premium subsidies, the revised law removes previous legal bases for subsidizing NHI co-payments and non-covered medical expenses—such as dentures, intraocular lenses, and certain cardiovascular stents—for middle-to-low-income seniors. There are concerns that existing social assistance laws may not fully cover the specific demographic previously protected under the Senior Citizens Welfare Act.