Palace to restore PhilHealth subsidy, if told by SC

MANILA, Philippines — Malacañang yesterday expressed readiness to comply with whatever ruling the Supreme Court (SC) would issue on the zero subsidy this year for the Philippine Health Insurance Corp., including the possible restoration of the funding originally allocated to PhilHealth.

The National Expenditure Program prepared by the executive allocated a P74-billion subsidy for PhilHealth, but the bicameral conference committee removed the item, citing a P600-billion reserve fund that has not been used.

President Marcos later backed the scrapping of the subsidy, saying the state-run health insurer has enough funds for operations even without subsidies.

Cardiologist Tony Leachon has questioned the removal of the PhilHealth subsidy before the SC, saying it went against laws providing universal health care. He said the move creates the impression that the government “has lost its commitment to provide equitable access to quality health care.”

Asked to react to Leachon’s petition, Presidential Communications Undersecretary Claire Castro said lawmakers have their reasons for removing the PhilHealth subsidy.

“Let us listen first to the decision to be issued by the Supreme Court. If the Supreme Court rules that the subsidy from the government should be restored, we would do that and we would comply with whatever the Supreme Court says,” the Palace press officer said at a press briefing.

Some sectors have expressed concern that the zero subsidy for PhilHealth might affect the insurer’s capacity to implement its benefit packages and pay the premium contribution of vulnerable sectors.

Marcos has given assurance that the removal of the subsidy would not lead to fewer PhilHealth services. In a recent meeting with officials, Marcos instructed the health department to ensure the unhampered delivery of PhilHealth services even without a subsidy in the 2025 budget.

Void PhilHealth’s P89 billion fund transfer

Cagayan de Oro 2nd District Rep. Rufus Rodriguez lauded the line of questioning and statements made by Supreme Court Associate Justice Amy Lazaro-Javier during oral arguments on the transfer of P89.9-billion PhilHealth funds to the treasury.

“We commend Justice Javier for taking up the cudgels for millions of PhilHealth members, including justices and personnel of the Supreme Court and the entire judiciary,” Rodriguez said.

Rodriguez said he believes most Supreme Court justices share the views of Lazaro-Javier. He likewise urged the high court to now invalidate PhilHealth fund transfers to the national treasury before the national government finds excuses to not return the funds if the tribunal rules against the remittances.

Based on Javier’s questioning of Solicitor General Menardo Guevarra, counsel of respondents Senate and House of Representatives, Rodriguez said it was clear that PhilHealth funds are reserved for its members.

In the course of questioning Guevarra, Rodriguez said that Javier showed PhilHealth funds should be “exclusively used” for the agency’s programs and for members’ benefits, and not diverted to unrelated purposes.

“Reserve funds, as it is named, [are] reserved and cannot be subject to the discretion of PhilHealth to be used for another purpose,” she said.

She noted that based on a list submitted by the OSG and the Department of Budget and Management, projects to be funded by PhilHealth fund transfers included a bridge financed by the Export-Import Bank of Korea for P174.49 billion.

The transferred funds were also used to augment the budget of the Office of the Presidential Adviser on Peace, Reconciliation, and Unity.

“It is a fact that money was taken, billions, in fact P89 billion… For the construction of a bridge that has not even started and that has been funded many times over? And a right of way that is already funded… by billions, and maintenance of roads that is already funded by billions under the GAA,” the SC justice said.

Increased HIV package

Meanwhile, PhilHealth has approved the increase in the Outpatient HIV/AIDS Treatment (OHAT) Package from the previous P30,000 to P58,500 in annual benefits, a 95-percent increase.

“The package includes antiretroviral therapy (ART) for all individuals with positive HIV test results confirmed by certified institutions, regardless of their clinical or immunologic status,” PhilHealth noted.

The package also ensures access to all minimum essential services necessary for effective HIV management. ART is the treatment recommended for people living with HIV that lowers the viral load to where it will become undetectable.

The state health insurer said the OHAT package can be accessed through any of the 234 PhilHealth-accredited Department of Health-designated HIV Treatment facilities nationwide. In 2024, PhilHealth disbursed a total of P1.66 billion for 176,819 outpatient HIV/AIDS package benefit claims. — Rhodina Villanueva, Jose Rodel Clapano, Delon Porcalla