Opposition lawmakers approve full NHI premium subsidies for low-income seniors

In the lead-up to local elections, opposition members from the Kuomintang and Taiwan People's Party succeeded in amending Article 22 of the Senior Citizens Welfare Act, passing the measure 60-39. The amendment obliges the central government to fully fund National Health Insurance premiums for seniors whose most recent year’s consolidated income is below NT$1.38 million, the level at which the tax rate drops below 20 percent.

Eligible individuals are those aged 65 or older with net income within that bracket. The Taiwan People's Party highlighted that the policy fulfills a pledge made by its founder Ko Wen-je during his 2024 presidential bid and builds on subsidies he introduced as Taipei mayor. Health Minister Shih Chung-liang cautioned that the reform breaks the principle of contributions based on ability to pay and could strain the NHI’s long-term sustainability, potentially prompting premium hikes or higher tax allocations. The TPP estimates the new subsidies will add almost NT$39 billion to annual government spending, a figure that could rise as Taiwan’s population continues to age.