Generic reimb listings jump 24% in 1H ahead of pricing ratio cut

373 generic products listed in 1H, up 73 from a year earlier

Generic pricing ratio to fall from 53.55% to 45% beginning in August

The number of generic drugs added to Korea's National Health Insurance reimbursement list increased 24% YoY in the first half of 2026. Industry experts view this rise as the pharmaceutical companies’ rush to secure reimbursement listings ahead of the scheduled reduction in the generic pricing ratio to 45% in August.

According to health authorities and industry sources on July 3, a total of 373 generic products were added to the reimbursement list between January and June this year.

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By comparison, 300 generic products were listed during the same period last year, meaning 73 more products entered the reimbursement list in the first half of 2026.

However, the increase cannot be attributed solely to the upcoming pricing reform and the rate reduction that is set to follow. Reimbursement applications also tend to surge when patents or post-marketing surveillance (PMS) exclusivity for major products expire.

For example, following the expiration of the compound patent for Jardiance in October last year, 235 follow-on generics from 37 pharmaceutical companies were simultaneously added to the reimbursement list.

Given that no major products lost patent or PMS protection during the first half of this year, the industry believes the government's pharmaceutical pricing reform played a significant role in the increase.

The pricing reform announced in November last year included a substantial reduction in the generic reimbursement pricing ratio from the original 53.55%. For companies that are not designated as innovative or quasi-innovative pharmaceutical manufacturers, the lower pricing ratio is expected to significantly reduce reimbursement prices and directly affect product sales.

In addition, the penalty for failing to satisfy all reimbursement eligibility criteria will increase from 15% to 20%, further encouraging companies to obtain reimbursement listings before the revised pricing rules take effect.

Including the 69 generic products added to the reimbursement list this month, a total of 442 generic products have newly gained reimbursement coverage this year. These products effectively represent the final group to secure reimbursement before the pricing rate is lowered next month.

In May, the Ministry of Health and Welfare (MOHW) released proposed revisions to the ‘Standards for the Determination and Adjustment of Drug Prices’ for public comment, with the consultation period remaining open until July 13.

The revised notification is scheduled to take effect on August 1. From that date, the generic pricing ratio will be reduced from 53.55% to 45%.

Under the revised framework, generic products meeting all reimbursement eligibility criteria will receive a pricing ratio of 45%, those satisfying one criterion will receive 36%, and products meeting none of the criteria will be priced at 29% of the reference level.