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A citizen receives counseling at the Seoul Northern Regional Headquarters of the National Pension Service in Seodaemun-gu, Seoul. / Yonhap

The National Pension Service is pushing to ease the criteria for subsidizing premiums for low-income locally insured subscribers, moving to eliminate policy blind spots that have drawn criticism.

According to the "Key Operations Status" report submitted by the National Pension Service to the National Assembly Health and Welfare Committee during a parliamentary audit on the 16th, the agency plans to incorporate a proposal to raise the monthly income threshold for subsidizing premiums of low-income locally insured subscribers from under 800,000 won to under 1 million won into the 2027 government budget.

The program was introduced to reduce pension blind spots for low-income locally insured subscribers, and the requirement regarding the resumption of payments was abolished starting this January.

Previously, a 50% subsidy on premiums was provided for up to one year only when individuals who had halted payments due to job loss or a leave of absence resumed their contributions. Starting this year, however, all low-income locally insured subscribers can apply for the support as long as they meet the income criteria, regardless of their payment history.

During the system overhaul, the eligible monthly income threshold was set at under 800,000 won following fiscal considerations and budget deliberations, which drew subsequent criticism. Equity concerns were raised because the subsidy threshold for farmers and fishermen stood at under 1.03 million won per month, with critics pointing out that vulnerable individuals with monthly incomes between 800,000 won and 1.03 million won were left in a blind spot without support.

In response, the Ministry of Health and Welfare explained the nature of the program, which provides subsidies for a lifetime cumulative total of 12 months, describing it as a sequential support model where beneficiaries can receive support in stages according to future income changes or relaxed criteria.

                                                                                                            Seo Byeong-ju