A long-term care insurance program for seniors will kick off in 2008 to help relieve the financial burdens of the elderly and their families, officials said on Tuesday. 

The new scheme, titled "Elderly Care Insurance," covers age-related healthcare costs separately from the current national health insurance to address the financial needs of the growing elderly population. 

At a meeting of ministers presided over by Prime Minister Lee Hae-chan Tuesday, officials agreed to push through the related legislation during the session of the National Assembly this month. 

"As the country is rapidly becoming an aged society, the government feels the need to help the elderly. The new scheme shows the government's strong willingness to take care of the sick elderly," said Kim Won-jong, an official at the Ministry of Health and Welfare. 

Senior citizens over 65 and those under 64, who are suffering from age-related diseases such as Alzheimer's Disease, are eligible to subscribe to the new insurance scheme after going through the government's screening process, Kim said. 

In the first phase of the scheme that begins in 2008, the government will focus on those elderly who are seriously ill and who need help in physical hygiene, household tasks and mobility. 

Beginning in 2010, the government will expand the service to more elderly persons. 

The new scheme is divided into two parts: in-house care provided by helpers who will get paid by the scheme and free-care at government-designated recuperation centers. 

The government expects that about 1.2 trillion won will be needed in 2008 while an additional 1.8 trillion won should be invested in 2010. 

To finance the new scheme, current health insurance subscribers will pay more to cover up to half of the cost while the government will take on 30 percent of the burden. Those who will benefit from the new insurance scheme will pay 20 percent of the cost. 

Individuals, whose monthly income is less than 401,000 won, however, will be exempted from payment. 

It means that national health insurance subscribers will pay an additional 2,200 won on average per month from 2008. Beginning in 2010 when the new scheme is expanded, subscribers will shoulder an additional 3,500 won on average, officials predicted. 

If approved by the National Assembly, the new insurance scheme will help families who are struggling to support their sick elderly members. 

"When the new scheme starts in 2008, the average monthly cost for staying in a recuperation center will be reduced to 300,000 won or 400,000 won from current figure of over 700,000 won," the health official said. 

The government expects that around 12 percent of people aged 65, or 530,000, are stricken with age-related diseases and in need of public health support. That number is expected to surpass 650,000 by 2010. 

According to government statistics, South Koreans' life expectancy grew 8.4 years over the past two decades, the world's eighth-largest increase. 

The average life expectancy of Koreans will be 78.2 years in 2005-2010 and more than 14 percent of the population is expected be over 65 by 2018.