Metro Manila, Philippines – A lawmaker called for a halt to the staggered transfer of billions of pesos in subsidies from the Philippine Health Insurance Corporation (PhilHealth) to the treasury.
The state health insurer is set to return a total of P89.9 billion, classified as “excess funds,” to the treasury. It returned P20 billion in May. Three tranches are set for August (P10 billion), October (P30 billion), and November (P29.9 billion).
Finance Secretary Ralph Recto has maintained the legality of the transfer, citing the budget law that allows tapping the reserve funds of government-owned and -controlled corporations for government projects.
However, Ejercito on Wednesday criticized PhilHealth for classifying the fund as surplus.
“Philhealth ang may kasalanan dito, bakit nila sinabing may excess fund agad na 90 billion kung yung mga services hindi pa naimprove,” Ejercito said.
“Unahin muna nating ibaba yung premium. Second, itaas natin ang benefit packages. Pag lahat yun settled then that’s the only time na pwede tayo magsabi na meron tayong excess fund,” he added.
[Translation: “PhilHealth is to blame for this. Why did they say there is an excess fund of 90 billion when the services have not yet been improved?… Let’s prioritize lowering the premiums first. Second, let’s increase the benefit packages. Once all of that is settled, then that’s the only time we can say we have an excess fund.]
A bill seeking to amend the Universal Health Care Act to bring down PhilHealth members’ contribution to 4% from the current 5% is under deliberation in the Senate.
Ejercito said he will also propose an amendment requiring PhilHealth to declare excess funds only when it has fulfilled all its obligations such as lowering the premium rate and improving the benefit packages.
