Amid charges of sitting on unused and idle funds, the Philippine Chamber of Commerce and Industry (PCCI) is calling on the Philippine Health Insurance Corporation (PhilHealth) to increase the healthcare benefits and packages of covered illnesses of its members.

PhilHealth is the country’s national health insurance provider.  Its mandate is to provide social health insurance coverage and ensure affordable and accessible health care services to all Filipinos.  In 2019, the enactment of the Universal Health Care Law mandated that all Filipinos be automatically included in the National Health Insurance Program (NHIP).

To make sure there is enough resource for the expanded coverage and to achieve the better benefits committed under the law, higher premium rates were collected.  Meanwhile, government provided subsidy for the estimated 37% beneficiaries comprising the elderly and very low-income contributors.

As of December 2023, PhilHealth reported its net income at P173.46 Bn. Accumulated fund reportedly stands at P700 Bn.

Even with its substantial reserve funds, PCCI pointed out that PhilHealth’s financial assistance to its members continues to be severely deficient.

“Despite posting surplus funds, the agency’s health insurance coverage is still at the bare minimum; members continue to disproportionately shoulder the burden of their hospital and healthcare expenses.” PCCI President, Consul Enunina Mangio lamented.

“These funds are contributions from the hard-earned money of its members.  These should be plowed back to members in the form higher rate of benefits including hospitalization, and the expansion of covered illnesses,” Mangio added.

With PhilHealth’s operating cash flow at above P70 Bn per annum, PCCI is urging the national government to suspend the implementation of the remaining 1% increase in members’ contribution.

“PhilHealth has shown its solvency.  It does not need another rate hike to sustain its operations and services to its members, it needs efficient management of its funds,” Mangio said.

PCCI is calling for greater transparency in the use of PhilHealth’s funds through regular performance audits, and to consider reorganization in its leadership.

“We need an effective healthcare system to ensure that healthcare services are accessible, equitable, efficient, affordable and of high quality for all.  In light of emerging health concerns, good governance should be strengthened to ensure that PhilHealth capably and appropriately achieves its mandate and respond to current and future needs,” Mangio said.