PhilHealth: Suspension in collections will not affect COVID-19 response

MANILA, Philippines — While admitting that their reserves will take a hit due to the suspension of collections of contributions, the Philippine Health Insurance Corp. (PhilHealth) on Tuesday assured that assistance for coronavirus disease (COVID-19) patients will not be affected.

PhilHealth President Ricardo Morales said that a P30-billion budget, set aside specifically for COVID-19 response, was prepared to assist patients afflicted with the disease.

“We prepared a P30-billion budget for the COVID-19 pandemic and that has already been set aside and this will be taken from our reserves which will not be so much affected by the shortfall in the short-term from the missed collections from OFWs and other directly paying members,” Morales told CNN Philippines’ The Source.

Morales said that aside from the P30-billion budget for COVID-19 response, the agency also has current accounts that can be converted into cash equivalent to another P30 billion.

“We are ready, if needed, to double the COVID-19 war chest if necessary,” Morales said.

But Morales reminded that while PhilHealth still has funds amid the pandemic, the government still has to be “very careful with our expenditures.”

“So far, our figures indicate that we are still within the ballpark but it remains to be seen how long or how bad this COVID-19 pandemic is going to be in the Philippines. But we are ready to augment this P30 billion should that be inadequate,” Morales said.

Malacañang on Monday announced that President Rodrigo Duterte has ordered PhilHealth to make the payment of premiums of overseas Filipino workers (OFWs) voluntary.

Duterte’s order came after PhilHealth released a circular which states that OFWs with monthly income of P10,000 to P60,000 are to pay 3 percent of their salary, from a previous rate of 2.75 percent.

The said circular caused uproar from netizens and lawmakers alike.

“Right now, our monthly collection is about 20 percent of what it was historically so yes, we are taking a hit. Although we anticipated this—actually we did not get the budget that we asked from Congress—we did not anticipate, nobody anticipated COVID-19. Our reserves are going to take a hit,” Morales said when asked if the suspension of collections of contributions will affect their reserves.

JPV
Read more...