When paying the representative’s own salary, he or she must sign up for health insurance as an employer.
If the representative receives a salary from the corporation, he or she must sign up for the national pension and health insurance as an employee subscriber. However, in principle, there is no obligation to subscribe to employment insurance and industrial accident insurance, as the employer is considered an employer under the Labor Standards Act. You must report your health insurance qualification within 14 days from the date of incorporation.
If the representative is ‘unpaid’ and does not receive salary, he or she can be converted from an employer-based subscriber to a local subscriber. In this case, you must report non-remuneration by submitting related documents such as ‘Representative Non-remuneration Confirmation’ to the National Health Insurance Corporation. However, when reporting without compensation, the health insurance premium for local subscribers may be calculated higher depending on the individual’s assets and income, so it is recommended to carefully make a decision by comparing the expected local insurance premium with the minimum premium for employee subscribers.
