PhilHealth says fund transfer excluded contributions of paying members | ABS-CBN

ADVERTISEMENT

dpo-dps-seal
Welcome, Kapamilya! We use cookies to improve your browsing experience. Continuing to use this site means you agree to our use of cookies. Tell me more!

PhilHealth says fund transfer excluded contributions of paying members

PhilHealth says fund transfer excluded contributions of paying members

Arra Perez,

ABS-CBN News

Clipboard

PhilHealth processes members’ transactions in Quezon City on Sept. 28, 2023. Maria Tan, ABS-CBN News/File

MANILA – The Philippine Health Insurance Corporation (PhilHealth) on Tuesday said that it "did its due diligence" in complying with the executive department's move to divert excess funds of government-owned and controlled corporations (GOCC) to finance unprogrammed appropriations this year.


In a text message to ABS-CBN News, PhilHealth Corporate Affairs Vice President Rey Baleña assured that the fund transfer excluded contributions of paying members.


"PhilHealth did its due diligence on the matter, with coordination and guidance by the Office of the Government Corporate Counsel, Governance Commission for GOCCs, and the Commission on Audit," he said.


"The funds to be transferred are those from the unused portion of the National Government subsidy released to PhilHealth through the GAA for Indirect Contributors. No funds from the contributions of paying members are included," he added.


Baleña said the fund transfer aims to “invest in the nation’s economic growth and development, particularly in government infrastructure and social programs.” 


"This will not affect in any way the Agency's financial stability. Its members - both the Direct and Indirect Contributors - can rest assured that their PhilHealth benefits will not be affected and will even continue to be expanded and enhanced following the PhilHealth Board's approved benefit plan which already started in 2023," the official said. 


"Partner hospitals of PhilHealth can likewise be assured of continuous payment of good and properly filed claims within the prescribed period," he added.


The official also noted that the state insurer has been "aggressively enhancing" its benefits, including its hemodialysis package


PhilHealth also rationalized 6 packages for high-burden diseases like breast cancer, hemorrhagic and ischemic stroke, high-risk pneumonia, bronchial asthma, and neonatal sepsis.


“These enhancements will soon translate to bigger benefit payouts as members become more aware and empowered to seek treatment and use their benefit, which will translate to more funds going back to the healthcare system," he added.


Baleña said they were also looking into benefit package enhancements for open heart surgeries, other types of cancer, and COVID-19.


'MORE PRUDENT FISCAL OPTION'


The Department of Finance (DOF) on Monday justified the fund transfer, saying: “Billions in unused and idle funds of government corporations are being marshalled for projects in health, social services, and infrastructure that serve the public, finance growth, and cut poverty." 


"Unlocking these excess fund balances is a more prudent fiscal option than borrowing more or imposing taxes. The move does not affect the viability of participating corporations. It does not impair their delivery of services," it added.


The DOF cited PhilHealth as one of the GOCCs covered by the fund transfer. 


"To give one example, PhilHealth is left with a P500 billion benefit chest, which can fund multiple-year claims," it said. 


"In the case of PhilHealth, unused government subsidies are not part of its reserve funds, nor income that is being restricted by the Universal Health Care Act to be used by the national government as a general fund. The merit of this tack is best exemplified by the fact that PhilHealth and other GOCC remittances to the treasury are what enabled the DBM to release P27.5 billion to pay the 5.04 million claims of Covid pandemic era service allowances of frontliners," it added. 


The agency said the Philippine Deposit Insurance Corporation’s (PDIC) also exercised the "same care and diligence... in calibrating the... contribution to the revenue raising effort".


"The result promotes the common good, based on the list of recipients identified in the national budget. Some of these are ongoing Foreign-Assisted Projects (FAPs), such as the Metro Manila Subway Project, the North-South Commuter Railway System, and the PNR South Long Haul Project, among other big-ticket infrastructure projects," the DOF shared. 


"Other FAPs are the Support to Parcelization of Lands for Individual Titling (SPLIT) Project and the Philippine Fisheries and Coastal Resiliency Project," it added.


'LACK OF FORESIGHT'


The move did not sit well with health advocate Dr. Tony Leachon, who called for an investigation. 


"Excess funds should not be directed to unprogrammed appropriations within the national budget when PhilHealth has been ineffective at carrying out its mandate of ensuring affordable, acceptable, available and accessible health care services for all citizens of the Philippines," he said in a social media post.


"Our legislators and policymakers must investigate this terrible lack of foresight and care for Filipino patients," he added.


Leachon insisted that PhilHealth should be held “held accountable for its gross negligence and inefficiency.” 


“The Department of Finance, too, should revise its Circular to comply with the spirit and letter of the law. So should the Office of the Government Corporate Counsel, instead of attempting to do legal acrobatics to justify a bad decision. If a legal challenge is necessary, let it be on behalf of all members of PhilHealth, the Filipino people," he said.


For the former president of the Philippine College of Physicians, "benefit packages have not sufficiently been expanded to reduce out-of-pocket expenditures, especially for the poorest of the poor".


Meanwhile, former Senator Panfilo "Ping" Lacson said the could "may create some serious security problems than we can imagine". 


"Why? Soldiers and policemen, just like any government employee, are PhilHealth members whose contributions are automatically deducted from their monthly salaries. That being said, our policy makers should rethink their position," he said in a statement. 


"DOF’s explanation that Philhealth’s P500B ‘idle’ fund (2021-2023) from government subsidy is not covered under the UHC law may be flawed. Even assuming without accepting their argument, the high-cost estimates to fully implement the UHC programs in 2023 and 2024 are P570B and P577B respectively, so how could they describe the same as ‘idle’ when there are still budgetary gaps of P344.7B (2023) and P326.1B (2024)," he added.



ADVERTISEMENT

ADVERTISEMENT

ABS-CBN is the leading media and entertainment company in the Philippines, offering quality content across TV, radio, digital, and film. Committed to public service and promoting Filipino values, ABS-CBN continues to inspire and connect audiences worldwide.

It looks like you’re using an ad blocker

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by disabling your ad blocker on our website.

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by disabling your ad blocker on our website.