The Department of Finance (DOF) has voiced support for President Ferdinand R. Marcos Jr.’s decision to restore P60 billion in unutilized funds to the Philippine Health Insurance Corp. (PhilHealth).
The funds were previously remitted to the National Treasury under a provision of the 2024 General Appropriations Act (GAA).
The DOF had provided a solicited opinion to the President, stating that since PhilHealth’s revenue performance had improved, a fund augmentation was supported to expand benefits and services.
The department said it recommended the restoration of the P60 billion, also noting that the creation of fiscal space from the termination and suspension of flood control projects was another contributing factor.
It said the restoration of the funds would specifically allow PhilHealth to meet its Zero Balance Billing program obligations.
“The expansion of services requires the infusion of funds, and we in the revenue sector will do our job so that such an important public service will be financed,” the DOF said.
The department also noted its satisfaction that “wasteful expenditures will now be rechanneled to hospital wards.”
Under the 2024 GAA, Congress ordered the DOF to sweep idle and unused fund balances from government-owned and controlled corporations (GOCCs) to finance key government projects. The DOF said it received approval from the Office of the Solicitor General (OSG), the Office of the Government Corporate Counsel (OGCC), the Governance Commission for GOCCs (GCG) and the Commission on Audit (COA) before the fund sweep.
It said of the P60 billion remitted by PhilHealth, P27.45 billion were used to pay for the Health Emergency Allowances of COVID-19 frontliners.
Other critical programs funded included Medical Assistance to Indigent and Financially Incapacitated Patients (P10 billion), the procurement of medical equipment for the Department of Health (DOH) and local government unit (LGU) hospitals, and primary care facilities (P4.10 billion). It also funded three DOH health facilities (P3.37 billion) and the Health Facilities Enhancement Program (P1.69 billion).
The remaining P13 billion were used to fund government counterpart financing for foreign-assisted infrastructure and “social determinants for health” projects, aimed at accelerating healthcare services in remote areas and enhancing the well-being of Filipinos.
A combination of management changes and system overhauls at PhilHealth led to significant improvements in services. The package rate for breast cancer patients rose from P100,000 to P1.4 million, representing a 1,300-percent increase.
Other expanded benefits include free dialysis sessions and medications for an entire year; increased peritoneal dialysis treatment ceiling to P1,269,000 from P270,000; reimbursable expenses of P2,100,000 for kidney transplants; and P47,000 for severe dengue hospitalization costs.
For cataracts, benefits increased from P20,200 to P187,100, while for open-heart surgery, benefits for ventricular septal defects went up to P614,000 (from P250,000), and coronary artery bypass graft surgery increased to P960,000 (from P550,000).
Benefits for neonatal sepsis increased to P25,793 (from P11,700), and for bronchial asthma, they went up to P22,488 (from P9,000).
Coverage was expanded to include therapy and rehabilitation for persons with disabilities (up to P40,000), optometric services for children (P2,500), and therapeutic care for severe acute malnutrition (P7,500 to P17,000). Preventive oral care services are also now covered, with benefits ranging from P200 to P1,500.







