Around 78 percent of the public will not be affected by an increase in national health insurance premium.

The administration had said that the national health insurance premium rate would be increased from the present 4.55 percent to 5.17 percent.

While talking to reporters, Premier Wu Den-yin said, “The government will subsidize people with lower incomes. The government would promote more cost saving measures.”

Moreover, the premier increase plan will take effect from April 2010, and is said to hike profits by over NT$52 billion (US$1.7 billion) every year.

Further, Health Minister Yaung Chih-liang told media that he will stay in his post after briefing President Ma Ying-jeou on the planned rate increase on Wednesday morning. Earlier, Yaung had presented his resignation this month due to differing opinions about the rate hike.

President Ma Ying-jeou said, “A second-generation health insurance plan is likely to be introduced within two years. The revised plan would calculate premiums based on total household incomes, rather than individual salaries.”