President Rodrigo Duterte on Monday ordered state-run Philippine Health Insurance Corp. to make the premium contributions of Filipino workers abroad voluntary.
He gave the order following the workers’ complaint that the proposed increase in their mandatory monthly contributions for their health insurance would be a big burden as a result of the COVID-19 pandemic.
Presidential spokesman Harry Roque said the President ordered PhilHealth to make the workers’ payments voluntary and not mandatory.
“While we are in a crisis now, the decision of the President is for us not to add more difficulties for our [migrant workers], especially at this time when so many of them are repatriated and have lost their jobs,” Roque said in a televised press briefing.
He said the workers would no longer be required to first pay PhilHealth their premiums before they were issued the papers allowing them to leave the country.
He said the proposed increase in their PhilHealth contribution was 0.5 percent and not 3 percent.
PhilHealth responds
“PhilHealth fully understands the sentiments of our [workers abroad] regarding the increase in their premium payments,” the state insurance firm said in a statement.
The company said the increase in the premium payments was announced last year, that the payment terms would be flexible to cushion the impact of the increase, and that the purpose of the increase was to provide affordable and adequate health care to all Filipinos.
Premium increase slammed
Migrante International, the global alliance of Filipino migrant organizations in 24 countries, slammed the increase in PhilHealth’s insurance premium.
"This increase overburdens [migrant workers] who are already troubled by retrenchments and loss of income due to the COVID-19 pandemic and recession,” the group said in a statement.
The Gabriela Women’s Party expressed outrage over PhilHealth’s alleged insistence on the hefty mandatory premium payments and imposition of compounded interest on missed payments.
"With this imposition, PhilHealth and the Duterte government are once again showing us that they have hearts of stone and have no sense of compassion for us at all," the group said in a statement.
The Kilusang Mayo Uno slammed PhilHealth’s announcement increasing the migrant workers’ mandatory contribution from 2.75 percent to 3 percent for those earning P10,000 to P60,000 per month.
“Why burden our [workers] with mandatory payments when the government cannot even provide them sufficient aid in this time of crisis?” said KMU chairman Elmer Labog said.
Tax holiday pushed
Deputy Majority Leader Precious Castelo has pushed for a tax holiday for the thousands of health workers helping in the fight against the COVID-19 pandemic.
She has filed a bill called the Tax Holiday Act of 2020, which recognizes the danger health workers face in the fight against the pandemic. It proposes giving them a “special risk allowance” under the Bayanihan to Heal as One Law that the legislature passed on March 23.
Castelo, a deputy majority leader, also urged the PhilHealth to seek additional money from Congress if it is running short of funds for COVID-19 cases.
“It is important that the government’s health insurance program has enough funding for the hospitalization and treatment of COVIDE-19 patients,” Castelo said.