JV welcomes TRO on excess funds

Senator Joseph Victor “JV” Ejercito on Wednesday said that PhilHealth funds should be used solely for the benefit of its members. He welcomed the temporary restraining order (TRO) on the further transfer of the remaining P29.9 billion from the Philippine Health Insurance Corporation’s (PhilHealth) total excess funds of P89.9 billion to the National Treasury.

“All Filipinos are now considered a member. So benefiting members should be prioritized to cover the expenses and the medical needs of the people,” Ejercito said.

He emphasized that the agency is crucial to the “successful implementation” of the Universal Healthcare Act (UHC).

In a press briefing on Wednesday, Ejercito said PhilHealth should be held liable regarding the issue.

“Why would they declare an excess fund of P89.9 billion? While people are still struggling to pay their medical expenses, while there are still hospitals that haven’t been paid,” he said.

Ejercito noted that once the proposed amendments to the UHC law is passed, PhilHealth premiums would be adjusted to a lower rate so the people can recover from the impact of the Covid-19 pandemic.

“But not until that is passed; the least that PhilHealth can do is to cover all Filipinos,” he said.

“As the sponsor author of the Universal Healthcare Act, we are already entering the fifth year of implementation of the UHC. It’s a 10-year program. It’s a work in progress. But by this time, it should already be felt by most of the Filipinos,” he said.

Ejercito said the fifth-year implementation of the UHC Act must be felt by the public.

“The intent of the law is to give access to good quality healthcare for all Filipinos without the financial burden. We have to lower the out-of-pocket expenses. So why would you declare excess funds when there are still many Filipinos who are struggling to pay their medical expenses,” he said.

However, he acknowledged that the Department of Finance (DoF) could tap excess funds of government-owned and -controlled corporations (GOCCs) and other agencies for other priority programs.

“So we cannot blame the DoF for wanting to access funds — that are being parked — for their priority measures,” he said.

Ejercito called on his counterparts in the House of Representatives to prioritize the UHC amendments which would push adjustments to the premium rates as well as reiterate that PhilHealth funds “should be used only for PhilHealth and health purposes.”

He also mentioned several complaints on PhilHealth coverage.

“The sad part is that I’ve received so much information and complaints, like medical bills amounting to P500,000. PhilHealth only covers P12,000 or P15,000. It feels inadequate. If they at least covered 30 percent, 40 percent, or even 50 percent, that would make a significant difference. I’ve seen bills of P100,000 where only P8,000 was covered. Why is it like this?” he asked in Filipino.

Not a private corporation

Ejercito reminded the PhilHealth leadership that they are not running a private corporation that needs to generate profits and accumulate larger savings annually.

“We are a government agency, a service agency, as well as a health insurance agency. We need to fully utilize these funds for the benefit of our members. So why declare P89 billion in excess fund when there are people still struggling to pay their hospital bills?” he said.

The senator pointed out that PhilHealth shouldn’t take pride in having excess funds.

“Again, you are not a private corporation. As a government entity, you should use that for your services. As long as there are people having difficulty paying their hospital bills, we are not yet successful,” he lamented. “The only time you can proudly declare excess funds is when everyone is satisfied and not struggling.”

Meanwhile, Ejercito announced the transfer of PhilHealth’s P89 billion excess fund will be included in the plenary debates during the Senate deliberations on the Department of Health’s proposed budget for 2025. He said the issue will be scrutinized during plenary debates starting Wednesday next week.

Ejercito questioned the need for PhilHealth to ask for a government subsidy despite declaring excess funds for the year.

“PhilHealth has to answer all of this. Why are they asking for a subsidy when they are declaring an excess fund? I believe the Senate would be willing to provide a subsidy if it’s truly needed,” he said.

He emphasized the significant responsibility of PhilHealth as the primary agency tasked with implementing universal healthcare.

Ex-health chief hails TRO

A former health secretary praised the Supreme Court’s TRO on the transfer of unused PhilHealth funds to the national treasury.

Dr. Jaime Galvez Tan, former Health secretary and current board member of HealthJustice Philippines, expressed hope following the decision, emphasizing that the P89.9 billion in unused PhilHealth funds should support Filipinos facing financial burdens, particularly those with non-communicable diseases.

Tan said the transfer was unjustifiable given the urgent need for resources to address non-communicable diseases. He called for comprehensive reforms within PhilHealth to improve benefit standards, manage contributions, and ensure timely spending on benefit packages.

He highlighted the importance of responsive actuarial estimates, a focus on primary health care, and interoperability in digital health information systems, warning that systemic failures jeopardize PhilHealth’s integrity and mission.

The SC acted on three consolidated petitions from 1SAMBAYAN Coalition, Sen. Aquilino “Koko” Pimentel III, and Bayan Muna chairman Neri Colmenares, following an order from the Department of Finance for PhilHealth to remit its excess funds to the National Treasury last April.