Zero PhilHealth subsidy in 2025 budget goes to SC

MANILA, Philippines — With no government subsidy for the state health insurer this year, health reform advocate Tony Leachon has filed a petition before the Supreme Court (SC) to halt the implementation of the national budget.

In a petition for certiorari and prohibition filed yesterday, Leachon questioned the constitutionality of the non-allocation of subsidy for the Philippine Health Insurance Corp. (PhilHealth).

He argued that the zero subsidy violated Filipinos’ constitutional right to health and the Universal Health Care Law.

PhilHealth’s funding should come from member contributions, annual appropriations of the Department of Health and government subsidies, he noted.

Per the Sin Tax Reform Act of 2012, Leachon said 80 percent of the remaining balance of incremental revenue from sin taxes must be allocated to universal health care.

If the national budget is implemented as is and PhilHealth’s excess funds are utilized for its operation, Leachon argued it would “strain plans of expanded benefits and improved services, such as reduction of out-of-pocket expenses.”

Leachon recalled SC Associate Justice Amy Lazaro-Javier’s statement on Feb. 4, saying the state health insurer is bankrupt.

Leachon also asked the SC to issue a writ of mandamus directing state agencies to allocate and release funds to PhilHealth.

Realignments and increased funding for the House and Senate were done in an arbitrary manner that deprived Filipinos of their right to a transparent budgetary process, he noted.

The budget of the House of Representatives rose to P33.67 million from P16.35 billion, while the Senate’s budget increased to P13.93 billion from P12.83 billion.

Among the respondents were Speaker Martin Romualdez, Senate President Francis Escudero and Executive Secretary Lucas Bersamin.

Return ‘excess’ PhilHealth funds

Meanwhile, a group of health advocates has urged the high court to order the return of PhilHealth’s P60-billion “excess” funds, which were transferred to the national treasury to fund unprogrammed appropriations in the national budget.

“Although we are thankful that the SC issued a temporary restraining order to prevent the transfer of the last P29.9-billion tranche of PhilHealth funds, we are concerned that there will be a moral hazard if the transferred funds amounting to P60 billion are not returned,” Sin Tax Coalition convenor Maricar Limpin said.

The group issued the statement yesterday during oral arguments on the consolidated petitions challenging the constitutionality of the PhilHealth fund transfer.

Enhanced benefits

An enhanced benefits package for open heart surgeries has been approved by PhilHealth.

Included in the expanded coverage are coronary artery bypass graft, ventricular septal defect and tetralogy of fallot.

The package rate for patients needing a standard-risk coronary artery bypass graft is P660,000, while the reimbursement rate for an expanded-risk coronary artery bypass graft is P960,000.

Closure of a ventricular septal defect and total correction of a tetralogy of fallot will each be covered for up to P614,000. — Rhodina Villanueva