According to the National Health Insurance Service (NHIS), the agency completed its 2026 usage-drug price negotiations for 81 drug items, resulting in price reductions for 80 products and a one-time refund agreement for one product to ease public pharmaceutical expenditure. The adjustments achieved an average price reduction rate of 4.6%, saving approximately 339억 원 in national health insurance funds.
2026 NHIS Drug Price Negotiations and Financial Savings
The National Health Insurance Service (NHIS), led by Chairman Kang Chung-hee, finalized negotiations for Type C usage-drug price adjustments, with 80 items seeing price reductions starting September 1, 2026, according to official agency data. Under the usage-drug price linkage negotiation system, governed by the Ministry of Health and Welfare, authorities adjust drug prices when reimbursement claims surge past specific thresholds compared to the previous year. This mechanism triggers when annual claims increase by 60% or more, or when claims rise by at least 10% and jump by 50억 원 or more.
The 2026 negotiations targeted 81 items, marking a decrease of 36 items from the 117 products reviewed in the previous year. Despite the smaller volume of drugs, the total financial savings matched last year’s 337억 원 benchmark closely, reaching approximately 339억 원. Furthermore, the average fiscal savings per item rose to 4.2억 원, representing a 50% increase compared to the 2.8억 원 average recorded during the prior negotiation cycle.
Impact on Chronic Disease Treatments and Patient Costs
Hypertension and hyperlipidemia medications account for 43.2% of the total drugs facing price reductions in 2026, driven by rising demand from an aging population and an increasing prevalence of chronic conditions.
Nam-hoon Kim, the NHIS benefit standing director, stated that the agency will continue strengthening management over drugs that exert heavy influence on insurance finances while working to reduce the public’s medical cost burdens. The NHIS maintains regular quarterly meetings with the pharmaceutical association to discuss price negotiation protocols and upcoming regulatory improvements.
Exceptions for Fertility Treatments and Future Policy
While the vast majority of negotiated drugs received price cuts, one specific item avoided a price reduction through a specialized mechanism. To ensure the stable supply of fertility treatments amid government initiatives to overcome low birth rates, the Ministry of Health and Welfare and pharmaceutical representatives applied a revised operational guideline introduced in June 2026. This exception allowed authorities to establish a one-time refund agreement rather than lowering the official market price, protecting manufacturing incentives for critical reproductive health products.
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