House eyes one-year pause on Philhealth contributions if funds are stable
The House of Representatives is planning to recommend a one-year suspension of Philippine Health Insurance Corporation (PhilHealth) contributions if it finds that the state health insurer’s funds are stable.
Speaker Ferdinand Martin Romualdez said on Wednesday, Dec. 18 that they are planning to conduct a “thorough and impartial investigation” next year regarding PhilHealth’s funds to determine if it is being managed properly and to assure financial transparency to its members.
“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,” he said.
Romualdez added that if they find that funds were underutilized and in surplus, they would push for a one-year pause on premium payments for paying members, reducing premium contributions, and expanding benefits for members until "vision of zero billing" in hospitals is reached.
“Why are we doing this? Because the people deserve no less. PhilHealth exists to provide security and comfort in times of medical emergencies. It should not hoard resources at the expense of its members. If we can alleviate the burden of contributions without compromising its sustainability, we will do so,” he said.
The Congress drew backlash following the bicameral conference committee’s decision to not allocate subsidy to PhilHealth under the proposed 2025 budget.
In their defense, lawmakers said the state health insurer has "more than enough funds" for next year.
"Kung dadagdagan natin ulit ‘yun, edi lalaki ulit ‘yung inefficiency. We’re not saying that we’re not going to fund PhilHealth forever," House Assistant Majority Leader Rep. Jude Acidre said. "Sinasabi lang natin, ayusin natin, habang ganito lang."
The Senate, meanwhile, cited the agency's substantial unutilized P600 billion fund as the primary reason for the subsidy denial. Sen. Grace Poe, the national budget's sponsor in the Senate, said that the insurer must first exhaust its reserves fund.
President Ferdinand Marcos Jr. echoed the sentiments, saying, the agency has "sufficient budget to do all the things they want to do."
"The reason why we do not want to subsidize is because the subsidy, uupo lang sa bank account ng PhilHealth. Hindi magagamit…That’s the simple explanation. They have sufficient funds to carry on," Marcos said.
Philhealth president and CEO Emmanuel R. Ledesma Jr. nonetheless assured its members that the agency would still be able to 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, adding that its state insurer's financial position is "strong" with P281 billion in reserves and P150 billion of surplus funds as of October 2024.
