MANILA - The Philippine Health Insurance Corporation (PhilHealth) on Tuesday said it expects to have a "grim" and "dangerous" financial position starting next year as it estimates to incur a deficit until 2024 due to the COVID pandemic.

The PhilHealth expects to lose about P100 billion annually in the next 4 years, according to a graph presented during an online Joint Congressional Oversight Committee hearing.

"With COVID, we are projecting a deeper loss. Our reserves are going to take a hit," PhilHealth President Ricardo Morales told lawmakers during the virtual hearing.

"We will meet 'yung mga benefit payment requirements for the entire year of 2020. But pagdating ng next year, delikado na ho. Our financial position will be very grim," Morales said.

Aside from an increase in claims due to the coronavirus health crisis, sin tax collections - where part of the PhilHealth's fund is sourced - have also dropped in the first 5 months of 2020.

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"'Yung sin taxes collection, bumagsak. Doon din tayo umaasa ng premium collection na binabayad sa subsidy at yung mga direct contributors... Since walang negosyo, bumagsak din yung kanilang capacity [to pay contributions]," Morales said without citing figures.

An initial P71 billion is earmarked for PhilHealth under the 2021 budget, said Johnry Castillo of the Department of Budget and Management.

"They will be given preferential attention. However, this will be subject to collections and the available fiscal space during 2021," Castillo said.

"But we cannot say for sure if this will be increased because it is still undergoing deliberations by economic managers," he said.

PhilHealth officials have asked lawmakers to delay the implementation of the Universal Healthcare (UHC) Law as the agency tries to "conserve" its resources while weathering the crisis.

"We are trying everything to conserve our resources to be able to meet the health requirements of our citizenry," Morales said.

"We are still holding it together, so far," he said.

• PhilHealth seeks delay of Universal Healthcare implementation