I. Legal basis

• Decree No. 188/2025/ND-CP
• Decree No. 161/2026/ND-CP
• Law on Social Insurance 2024
• Law on Occupational Safety and Hygiene 2025
• Law on Occupational Safety and Hygiene 2015

II. Health Insurance policy effective from 1 July 2026

2.1. Increase in household Health Insurance contribution rates effective from 1 July 2026

Effective from 1 July 2026, the monthly health insurance (HI) contribution for the first household member will increase from VND 105,300 to VND 113,850, representing an increase of VND 8,550 per month as a result of the new statutory base salary adjustment.

Pursuant to Clause 5, Article 6 of Decree No. 188/2025/ND-CP, the household health insurance (HI) contribution is calculated at 4.5% of the statutory base salary for the first household member. Contribution rates for subsequent household members are reduced progressively in accordance with the prescribed percentages (70%, 60%, 50%, and 40%, respectively). Specifically:

• Statutory base salary before 1 July 2026: VND 2.34 million per month (pursuant to Decree No. 73/2024/ND-CP).
• Statutory base salary from 1 July 2026: VND 2.53 million per month (pursuant to Decree No. 161/2026/ND-CP).

Accordingly, household health insurance contribution rates will increase in line with the new statutory base salary as follows:

Participating household member	Before 1 July 2026 (Statutory base salary: VND 2.34 million)	From 1 July 2026 (Statutory base salary: VND 2.53 million)
First member	VND 105,300/month	VND 113,850/month
Second member (70%)	VND 73,710/month	VND 79,695/month
Third member (60%)	VND 63,180/month	VND 68,310/month
Fourth member (50%)	VND 52,650/month	VND 56,925/month
Fifth and subsequent members (40%)	VND 42,120/month	VND 45,540/month

2.2. Student Health Insurance contribution rates to increase from 1 July 2026

Effective from 1 July 2026, the maximum monthly health insurance (HI) contribution payable by pupils and students will be VND 56,925 after the State’s 50% subsidy. This represents an increase of VND 4,275 per month compared to the previous rate, equivalent to an annual increase of VND 51,300.

Pursuant to Decree No. 188/2025/ND-CP, pupils and students will continue to receive a minimum 50% subsidy from the State budget toward their health insurance (HI) contributions. Accordingly, the actual contribution payable by parents or guardians is calculated based on 50% of the standard contribution rate, which is equivalent to 4.5% of the statutory base salary.

Specifically, the health insurance contribution amounts under each payment period are as follows:

• Three-month contribution: VND 170,775
• Six-month contribution: VND 341,550
• Nine-month contribution: VND 512,325
• Twelve-month contribution: VND 683,100

2.3. Increase in the medical treatment cost threshold eligible for 100% Health Insurance coverage

Effective from 1 July 2026, medical examination and treatment expenses of less than VND 379,500 per visit will be covered at 100% by the Health Insurance (HI) Fund. This represents an increase of VND 28,500 compared to the previous threshold of VND 351,000.

Pursuant to Clause 1, Article 17 of Decree No. 188/2025/ND-CP, the threshold for medical examination and treatment expenses eligible for 100% health insurance coverage is determined at 15% of the statutory base salary. Specifically:

• Before 1 July 2026: 15% × VND 2,340,000 = VND 351,000 per visit.
• From 1 July 2026: 15% × VND 2,530,000 = VND 379,500 per visit.

2.4. Higher co-payment exemption threshold for individuals with 05 consecutive years of Health Insurance participation

Pursuant to Point d, Clause 1, Article 22 of the Law on Health Insurance 2008 (as amended and supplemented in 2024) and Clause 2, Article 18 of Decree No. 188/2025/ND-CP, health insurance participants who have maintained continuous health insurance coverage for at least five (05) consecutive years shall be entitled to 100% reimbursement of medical examination and treatment expenses within the scope of covered benefits where their cumulative co-payment amount in a calendar year exceeds six (06) months of the statutory base salary. Specifically:

• Before 1 July 2026: 6 × VND 2,340,000 = VND 14,040,000 (VND 14.04 million).
• From 1 July 2026: 6 × VND 2,530,000 = VND 15,180,000 (VND 15.18 million).

III. Social Insurance policies effective from 1 July 2026

3.1. Increase in the lump-sum childbirth and adoption allowance

Pursuant to Article 58 of the Law on Social Insurance 2024, the lump-sum childbirth or adoption allowance is calculated at two (02) times the reference level for each child.

As the reference level is currently determined based on the statutory base salary during the transitional period, the benefit amount will be adjusted as follows:

• Lump-sum childbirth or adoption allowance before 1 July 2026: VND 4,680,000 per child.
• Lump-sum childbirth or adoption allowance from 1 July 2026: VND 5,060,000 per child.

Accordingly, the lump-sum childbirth or adoption allowance will increase by VND 380,000 per child compared to the previous benefit level.

3.2. Increase in funeral and survivors’ benefits

Certain social insurance  benefits are also calculated based on the reference level and, therefore, will increase correspondingly following the increase in the statutory base salary. Specifically, pursuant to Articles 85 and 109 of the Law on Social Insurance 2024:

Benefit type	Before 1 July 2026	Effective from 1 July 2026
Funeral allowance (10 times the reference level)	VND 23,400,000	VND 25,300,000
Monthly survivors’ allowance (50%)	VND 1,170,000/month	VND 1,265,000/month
Monthly survivors’ allowance (70%)	VND 1,638,000/month	VND 1,771,000/month

3.3. Pensions and Social Insurance benefits continue to be adjusted upward

Pursuant to Decree No. 162/2026/ND-CP, effective from 1 July 2026, pensions, social insurance (SI) allowances, and monthly benefits shall be increased by 8% based on the benefit amount payable in June 2026.

In addition to the general 8% increase, certain beneficiaries receiving low benefit levels will be entitled to further supplementary adjustments as follows:

• Beneficiaries receiving pensions, social insurance allowances, or monthly benefits of VND 3.5 million per month or less shall receive an additional increase of VND 300,000 per month.
• Individuals receiving a monthly benefit exceeding VND 3.5 million but below VND 3.8 million shall have their benefit adjusted to VND 3.8 million per month.

This adjustment is intended to help ensure an adequate standard of living for individuals receiving pensions, social insurance allowances, and monthly benefits.

3.4. Increase in the lump-sum allowance for occupational accidents and occupational diseases

Pursuant to Article 48 of the Law on Occupational Safety and Hygiene 2015 (Law No. 84/2015/QH13), employees who suffer a reduction in working capacity ranging from 5% to 30% shall be entitled to a lump-sum allowance.

The allowance is determined as follows:

• Allowance = 5 × Statutory base salary + (Percentage of loss of working capacity − 5) × 0.5 × Statutory base salary

As the statutory base salary increases from VND 2.34 million to VND 2.53 million per month, the corresponding allowance amounts will also increase accordingly as follows:

Description	Before 1 July 2026	From 1 July 2026
Employee with a 5% reduction in working capacity	VND 11.7 million	VND 12.65 million
For each additional 1% reduction beyond the initial 5%	VND 1.17 million	VND 1.265 million

3.5. Increase in monthly benefits for occupational accidents and occupational diseases

Pursuant to Article 49 of the Law on Occupational Safety and Hygiene 2015, employees who suffer a reduction in working capacity of 31% or more shall be entitled to a monthly allowance.

The monthly allowance is determined as follows:

• Monthly benefit = 30% × Statutory base salary + (Percentage of loss of working capacity − 31) × 2% × Statutory base salary

As the statutory base salary increases to VND 2.53 million per month, the monthly allowance amounts will be adjusted as follows:

Description	Before 1 July 2026	From 1 July 2026
Employee with a 31% reduction in working capacity	VND 702,000/month	VND 759,000/month
For each additional 1% reduction beyond the initial 31%	VND 46,800/month	VND 50,600/month

3.6. Increase in attendance allowances for individuals suffering occupational accidents and occupational diseases

Pursuant to Article 52 of the Law on Occupational Safety and Hygiene 2025, employees who suffer a reduction in working capacity of 81% or more shall be entitled to a monthly attendance allowance, provided that they fall into one of the following categories:

• Suffering from spinal paralysis;
• Blindness in both eyes;
• Amputation of or paralysis in both limbs;
• Mental illness.

The monthly attendance allowance is equivalent to the statutory base salary. Accordingly, this allowance will also increase in line with the new statutory base salary as follows:

• Monthly attendance allowance before 1 July 2026: VND 2.34 million per month.
• Monthly attendance allowance from 1 July 2026: VND 2.53 million per month.

3.7. Increase in the lump-sum benefit payable upon an employee’s death due to an occupational accident or occupational disease

Pursuant to Article 53 of the Law on Occupational Safety and Hygiene 2015, the surviving relatives of an employee who dies as a result of an occupational accident or occupational disease shall be entitled to a lump-sum survivor’s allowance, calculated as follows:

• Lump-sum benefit = 36 × Statutory base salary

As the statutory base salary increases to VND 2.53 million per month from 1 July 2026, the amount of this allowance shall be adjusted correspondingly as follows:

• Lump-sum survivor’s allowance payable upon the death of an employee due to an occupational accident or occupational disease before 1 July 2026: VND 84.24 million.
• Lump-sum survivor’s allowance payable upon the death of an employee due to an occupational accident or occupational disease from 1 July 2026: VND 91.08 million.

3.8. The maximum Social Insurance contribution cap applicable to employers under the current regulations is as follows:

Compulsory Social Insurance: Maximum compulsory social insurance contribution = 17.5% × 20 × the statutory base salary.

	Statutory base salary	Maximum contribution amount
Until 30 June 2026	VND 2.34 million/month	VND 8.19 million/month
From 1 July 2026	VND 2.53 million/month	VND 8.855 million/month

Health Insurance: Maximum compulsory health insurance contribution = 3% × 20 × the statutory base salary.

	Statutory base salary	Maximum contribution amount
Until 30 June 2026	VND 2.34 million/month	VND 1.404 million per month
From 1 July 2026	VND 2.53 million/month	VND 1.518 million per month

IV. About Us, Hankuk Law Firm

■ Hankuk Law Firm – Introduction

The goal of the legal services provided by HANKUK LAW FIRM is to support businesses, investors, and people. Our organization employs skilled Korean lawyers, partners, and professionals to provide legal services to businesses related to corporations and litigation.

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To protect the legitimate rights and interests of our clients and achieve the best results, we provide legal advice and participate in civil lawsuits related to business, labor, marriage, family, and inheritance.

■ Contact us now

For reliable and effective legal advice, please contact HANKUK LAW FIRM now. We are committed to providing you with the best possible answers and our team of experienced lawyers has extensive knowledge in many legal fields. We are always here to provide the most competent and dedicated support, whether you are dealing with contractual issues, commercial disputes or need guidance on foreign investment. HANKUK LAW FIRM is honored to have assisted hundreds of domestic and international clients in skillfully resolving complex legal issues as their trusted legal partner. Do not let legal issues hinder your success. Let us accompany you towards legal achievement and comfort. For prompt guidance and support to ensure your rights are always maintained at the highest standards, contact HANKUK LAW FIRM now.

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