MANILA, Philippines — Senate President Francis Escudero said that Philhealth could afford to lower its contribution rates given the amount of their unutilized funds.
Escudero cited numbers from the Department of Finance (DOF), saying that Philhealth still has P500 million idle funds that it accrued over the years.
Related Stories
"May mahigit kumulang P500 billion pa silang sobrang pera na pwedeng i-absorb kaugnay sa pagbabayad nga ng buwanang premium. Ang total subsidy ng pamahalaan para sa premium kada taon ay humigit kumulang P70 billion," Escudero said in a statement on Tuesday, October 1.
(There is more or less P500 billion in excess funds that they can absorb to pay their monthly premiums. The total subsidy of the government for their premium per year is more or less P70 billion.)
Escudero listed the following government subsidy to Philhealth as follows:
- 2021 - P71.3 billion
- 2022 - P80 billion
- 2023 - P79 million
- 2024 - P40.3 billion
The Senate president said the money could have been reallocated to a place where it would be better utilized.
"Pero imbes na gawin 'yon, isa sa mga istratehiya na pwede nilang pag-aralan ay ang gamitin na lang (ang reserve fund) para pababain 'yung premium na karamihan naman ay gobyerno rin ang nagbabayad," Escudero said.
(But instead of doing that, one of the strategies that they could study is to use the reserve fund to lower the premium rates that mostly the government pays.)
Philhealth’s idle funds has been subject to controversy this year after the DOF ordered it to return P89.9 billion from its reserve funds back to the national coffers.
The move has been criticized by medical practitioners and politicians alike, but the DOF said that the 2024 General Appropriations Act made it legal for the agency to mandate the return of idle funds so it could be put to other uses.