PhilHealth cancels nearly P38 million budget for 30th anniversary
The Philippine Health Insurance Corporation (PhilHealth) has scrapped nearly P38 million worth of collaterals that were supposed to be used for its anniversary in favor of saving government funds.
Department of Health announced that the decision was made by the agency's board of directors led by Secretary Teodoro Herbosa. The funds were initially going to cover the marketing and promotional expenses for the state insurer’s 30th anniversary on Feb. 5, but will instead be allotted for the benefit of PhilHealth members.
"The Board will always prioritize the benefits of PhilHealth members," Herbosa said.
He explained that the board reviews and decides on proposals from PhilHealth Management, such as the marketing and promotional expenses for the official events of the corporation.
They expressed concern about the usage of the collateral for the anniversary, which is why they vetoed the official proposal for the marketing and promotional expenses when it reached them last Dec. 16.
This is to "save government funds and ensure their proper allocation for the benefit of PhilHealth members."
The expenses would specifically cover umbrellas worth P7,910,550, perforated mesh stickers worth P7,300,000, tote bags worth P1,820,000, anniversary shirts worth P3,640,000, marketing shirts worth P1,940,000, jackets worth 13,650,000, katsa bags worth P750,000, and button pins worth P545,000.
Apart from Herbosa, other ex-officio members of the Board include the Secretaries of Finance, Budget and Management, Social Welfare and Development, and Labor.
The group is separate from PhilHealth’s Executive Officers, comprised of President and Chief Executive Officer Emmanuel Ledesma Jr. and Executive Vice President and Chief Operating Officer Eli Diño Santos.
The canceled anniversary budget comes after the bicameral conference committee said that PhilHealth would not receive an additional subsidy from the national government in the 2025 budget.
Despite this, Ledesma assured its members that it would continue to provide benefits for their medical needs.
"The decision of the bicameral conference committee reflects its wisdom. The bicam understands PhilHealth's capacity to continue managing the National Health Insurance Program given its surplus funds," he said.
Ledesma added that the state insurer's financial position is "strong" with P281 billion in reserves and P150 billion in surplus funds as of October 2024.
"Rest assured, all PhilHealth benefits will continue to be paid and will even improve," he stressed. (with reports from Mayen Jaymalin)
