FILE PHOTO: Members line up at the counters of the Philippine Health Insurance Corporation or PhilHealth. INQUIRER FILES
The Philippine Health Insurance Corp. (PhilHealth) has P466 billion in investible funds and P68.4 billion in net income but has P27 billion in unpaid obligations to hospitals.
Agri party list Rep. Wilbert Lee pointed out this irony on Wednesday during a hearing of the House appropriations panel on the Department of Health’s proposed P311.3-billion funding for 2024.
Lee said his office received complaints that the state health insurer was behind in its payments to accredited hospitals, even if it has available funds.
“Given that we have P466 billion worth of investible funds in PhilHealth, and the agency has P68.4-billion net income, why are there reports of PhilHealth’s delayed payments to hospitals? What is PhilHealth’s mandate, to be a state investment company or a health insurance provider?” he asked.
PhilHealth President Emmanuel Ledesma Jr. confirmed the amounts of PhilHealth’s investible funds and net income, adding that the state health insurer has P27 billion in unpaid obligations to hospitals.
Ledesma said it was true that the agency has a “high cash position,” with P450 billion in liquid cash and net income of P68 billion so far, and that the agency is eyeing reforms to address this.
However, he said the funds “should not be used so easily like a bank” and that PhilHealth is mindful of its role as “stewards of the people’s money” in wisely using the money of PhilHealth members.
Ledesma assured lawmakers that PhilHealth would pay P27 billion to hospitals in three months’ time.
“Within 90 days, we hope to complete or pay a very high percentage of the P27 billion. We are preparing to use the debit-credit payment mechanism, and we will use that to make sure that our reconciliation of obligations will be accelerated,” the PhilHealth president said.
Ledesma added: “I’m confident that the bulk or majority, if not all, of the P27 billion will be paid off. Hopefully that will make the hospitals and the doctors happy.”
Lee pointed out that the state health insurer’s delayed payments to hospitals has implications on the health-care system.
“There are hospitals that no longer accept indigent patients because of PhilHealth’s unpaid obligations to them. There are nurses, doctors and staff who end up unpaid because of PhilHealth’s debts,” the lawmaker said.
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