President Ferdinand Marcos Jr. assured the public that PhilHealth’s services and insurance claims would remain unaffected despite a proposal to suspend premium contributions for one year as well as Congress’ move to give the state insurer zero subsidy next year.
“Whether there is a subsidy or not, regardless of any contribution, all of these issues—PhilHealth’s services will not be reduced, and PhilHealth’s payments for insurance claims will not be reduced,” the President said in an interview yesterday.
“Do not worry, there will be no loss of service from PhilHealth. In fact, we are enhancing the operation of PhilHealth so that more can be provided to the people,” he added.
On Wednesday, Speaker Martin Romualdez said the House of Representatives is eyeing a one-year suspension of PhilHealth members’ monthly premium contributions pending an inquiry to determine if the agency’s financial stability can support such a measure.
The proposal came as lawmakers criticized PhilHealth for prioritizing investments over healthcare services during a hearing of the House Committee on Good Government and Public Accountability.
“This investigation is not about blame; it is about finding solutions. Our goal is clear: to ensure that every peso in Philhealth’s coffers works for the benefit of its members – the hardworking Filipino people who contribute month after month,” Romualdez said.
PhilHealth president Emmanuel Ledesma Jr. earlier reported that as of October 2024, the agency has a P150 billion surplus, P281 billion in reserves, and an investment portfolio nearing P489 billion.
Ledesma cited PhilHealth’s financial stability and announced plans for a 50 percent increase in coverage for most case rate packages.
Lawmakers, however, argued that PhilHealth’s growing reserves and investments have not translated into significant relief for Filipino families burdened with rising healthcare costs.
As for the zero subsidy for PhilHealth under the ratified budget bill for 2025, the President said he is okay with it as the state insurer has substantial reserves.
“PhilHealth has P500 billion in reserve, while their yearly expenditure is less than P100 billion. Even with the reduced allocation, they have sufficient funds to continue operations,” Mr. Marcos said.
He said PhilHealth’s challenges lie not in funding but in processing claims efficiently.
“The priority is to digitize their system so people can access their claims faster. The problem isn’t about insufficient funds, but their capacity to process claims quickly,” Mr. Marcos added.
Meanwhile, the Philhealth Board of Directors, led by Health Secretary Teodoro Herbosa, vetoed the proposed procurement of collateral worth P37.5 million for the agency’s anniversary next year.
The DOH said the official proposal for the Anniversary Marketing and Promotional Expenses reached the board on December 16, and was immediately vetoed “to save government funds and ensure its proper allocation for the benefits of PhilHealth members.”
Editor’s Note: This is an updated article. Originally posted with the headline: “Marcos vows no cuts to PhilHealth services despite zero subsidy”
