In February 2016, South Korean lawmakers passed an amendment that allows the National Health Insurance Service (NHIS) to collect damages from pharmaceutical and medical device companies that violated data reporting guidelines. Under this new amendment, the NHIS can collect insurance losses from companies that: 1) failed to submit proper healthcare information to the NHIS; 2) encouraged the NHIS to provide unnecessary benefits; or 3) attempted to influence the Ministry of Health and Welfare’s decisions regarding reimbursement rates. Previously, the NHIS had to file formal civil charges against companies. This amendment will become law in August 2016.
