Metro Manila (CNN Philippines, July 16) — There is no legal issue with the possible transfer of the Philippine Health Insurance Corp. (PhilHealth), an attached agency of the Department of Health (DOH), to the Office of the President (OP), according to the Department of Justice (DOJ).
We advise that there is no legal issue on the possible transfer of the PhilHealth to the OP as it is a legitimate exercise of the president’s power of control over the executive department, bureaus, and offices, which justifies an executive action to carry out reorganization measures to ensure an efficient bureaucracy,” DOJ Usec. Raul Vasquez said in a written legal opinion.
In a letter dated June 26, Vasquez wrote to DOH Usec. Kenneth Ronquillo and the Presidential Management Staff in response to their request for a legal opinion on the proposal, which DOH Secretary Teodoro Herbosa claimed would improve efficiency at the government health insurance.
Citing the Administrative Code of 1987, Vasquez pointed out that the president may reorganize his office “to achieve simplicity, economy and efficiency in government.”
As the proposed transfer of PhilHealth is within the prerogative of the president to streamline the implementation of the National Health Insurance Program (NHIP), Vasquez said the DOJ expects no legal problems should the transfer ensue.The Universal Health Care (UHC) law mandates that the national government pay the premiums of people classified as indirect contributors. All Filipinos are required by the same law to be enrolled in the government’s NHIP through PhilHealth.Vasquez explained that a joint congressional oversight committee is tasked to regularly review the implementation of the UHC, while the NHIP “shall provide health insurance coverage and ensure affordable, acceptable, available and accessible health services” for Filipinos.He noted that PhilHealth itself is responsible for submitting to the president and to Congress an annual report on the implementation of the NHIP.
