An elderly resident in HCM City receives a health check-up. The city plans to spend over VNĐ2.1 trillion ($83 million) in 2026 to offer free health insurance for nearly 700,000 seniors. — VNA/VNS Photo

HCM CITY — HCM City plans to provide free health insurance for students and residents aged 65 and above starting next year as part of efforts to expand universal healthcare coverage.

Under a proposal submitted by the municipal People’s Committee to the HCM City People’s Council, the city would allocate more than VNĐ2.1 trillion (US$83 million) in 2026 to cover full health insurance premiums for more than 2 million students and nearly 700,000 senior citizens.

If approved, the policy will take effect in 2026, granting full subsidies to students and elderly residents who are not already covered under existing national support programmes.

People aged between 65 and 75 who are not currently eligible for health insurance assistance would have 100 per cent of their premiums paid by the city, while those aged 75 and above are already fully covered under national welfare policies.

For students, the central government currently subsidises 50 per cent of the annual health insurance premium. The city would fund the remaining 50 per cent so that students receive full coverage without having to pay out of pocket.

Under existing regulations, monthly health insurance contributions are set at 4.5 per cent of the basic salary, currently VNĐ2.34 million ($92) per month, equivalent to VNĐ105,300 per student. The total annual premium is about VNĐ1.26 million, of which students currently pay VNĐ631,800.

The proposed initiative would cost the city an estimated VNĐ2.14 trillion in 2026, and would benefit more than 2.7 million people, including roughly 676,000 senior citizens and 2.03 million students.

City officials said the plan demonstrates the city’s commitment to strengthening public welfare and improving access to healthcare.

“This measure carries deep humanitarian significance and reflects the city’s care for the well-being of its people,” the proposal stated. “It will help strengthen the social safety net and enhance the quality of life for residents.”

Officials added that extending free health insurance to vulnerable groups will help the city move closer to its goal of universal healthcare coverage.

The initiative aligns with Resolution 72, which outlines breakthrough measures to improve healthcare services, disease prevention, and overall population health.

Việt Nam's largest economic hub aims to raise its health insurance coverage to more than 95 per cent by 2026 and achieve full coverage by 2030. — VNS