PhilHealth can afford premium hike delay
MANILA, Philippines — The House of Representatives should pass a joint resolution urging Philippine Health Insurance Corp. (PhilHealth) to defer for six months an increase in contributions, a lawmaker said on Sunday.
Anakalusugan Rep. Mike Defensor, in a statement, said PhilHealth members “deserve a temporary reprieve from the half percentage point increase in premium contribution,” because of the pandemic.
Defensor said PhilHealth’s board of directors should meet to consider the six-month suspension of the increase in premium contributions.
“Our rough estimate is that PhilHealth will be postponing less than P500 million worth of incremental premiums on an annual basis from direct contributors,” he said.
“The P500 million is a drop in the bucket for PhilHealth. However, if the money is taken from the pockets of salaried employees, especially minimum wage earners, it will add to their financial hardship,” he added.
He said “many households that used to have two gainfully employed members, but now have only one due to the crisis.”
The lawmaker said that “in an extreme situation wherein claims and administrative expenses might exceed contribution collections due to the pandemic, Philhealth can always dip into its Investment Reserve Fund and the earnings thereof.”
PhilHealth’s reserve fund, he said, stood at P110 billion as of March 2020.
Defensor told PhilHealth to reduce losses due to excessive and fraudulent claims, mostly by private hospitals.
