The Constitutional Court yesterday struck down some penalties for failing to pay National Health Insurance (NHI) premiums, after finding the formula disproportionately harsh to the offense.
Five of the justices ruled on the matter, while the remaining three opted to abstain.
The absentees were the same justices who dissented from a previous ruling against a Legislative Yuan bill to change the quorum of judges, which with its current number would deem the Constitutional Court unable to function.
Photo: Taipei Times
The latest case, the court’s second of the year, concerned Article 85 of the National Health Insurance Act (全民健康保險法), which authorizes the government to fine policyholders double the amount owed, or triple if they fail to pay the first time by a deadline.
The justices said using multiples of the sum owed as the sole criterion for calculating fines breached the constitutional right to property and due process, including proportionality of punishments.
The law must be amended so that regulators would take the circumstances surrounding missed premiums into account before imposing a fine, it said.
The Ministry of Health and Welfare must follow the spirit of the court’s ruling to the best of its ability until the law is changed, the court said.
The plaintiff, a business owner surnamed Chen (陳), did not pay the insurance premium for some of their employees and received the triple fine as a result.
Chen filed a lawsuit against the ministry, saying the penalties contravened articles 15, 23 and 153 of the Constitution, respectively governing the right to property, due process and labor protections.
Chen lost at every level of the administrative courts before appealing to the Constitutional Court.
Department of Social Insurance Director Chang Yu-hsuan (張鈺璇) said the ministry is to change the act to comply with the judgement.
The ministry would exercise discretion to reduce the amount of fines if the situation warrants it, she said.
Reliable payment of premiums is a cornerstone of the nation’s health insurance system, Chang added.
The absentee justices told a news conference that they do not believe the Constitutional Court could be lawfully convened, as the amendments to the Constitutional Court Procedure Act (憲法訴訟法) — which the court struck down — require nine judges to make a quorum.
They additionally said the NHI law already includes a provision limiting the maximum amount of fines that could be imposed for missed payments, which satisfies the constitutional benchmarks for proportionality.
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