PhilHealth chief: Cut in premiums still under study
![PhilHealth chief: Cut in premiums still under study](https://media.philstar.com/photos/2024/08/20/b_2024-08-20_22-34-17.jpg)
MANILA, Philippines — After saying last month that he would “immediately” recommend to President Marcos that the monthly premium contribution of its members be reduced by three percent, Philippine Health Insurance Corp. (PhilHealth) chief Emmanuel Rufino Ledesma seems to have backpedaled on that promise, saying instead that they are still studying the proposal.
During the hearing of the Senate committee on health and demography on the transfer of PhilHealth’s excess fund to the Bureau of the Treasury, its chairman, Sen. Bong Go, asked Ledesma about his recommendation to the President.
Go anchored his inquiry on Ledesma’s statement at the previous hearing, that he would recommend to the President the reduction of the monthly premium contribution of its members, as PhilHealth agreed to transfer P89.9 billion of its unused funds to the national treasury.
Apparently not satisfied with the PhilHealth chief’s answer, Go pressed, “Are you really not answering my question earlier? When you said that you would recommend the decrease of the premium contribution to our dear President Marcos, have you done it yet? You promised at the last hearing that you would recommend it. Did you avoid my question?”
Ledesma then revealed that they are still studying the proposal and have not yet recommended the reduction of PhilHealth premium contributions to the President.
“This is how I recall in the last hearing – I mentioned we will thoroughly study the possibility of recommending whether the premium contributions will be brought down… decrease in premium contributions,” said Ledesma.
“We are still in the process of reviewing and studying. So, we have nothing to recommend to President Marcos yet. Because PhilHealth is still studying it,” he added.
But Go pointed out that the PhilHealth chief previously promised to recommend the reduction.
“In fact, what you said was… ‘we at PhilHealth – our management – will recommend to President Marcos that we bring down the premium rates.’ That’s on the record. That clear. Do you want to review the records?” he said.
Ledesma said he is supportive of the reduction of premium contribution, as part of the proposal to amend the Universal Health Care (UHC) Law.
“We fully support the reduction of the premium contribution. As an amendment to the UHC law – the 3.25 (percent) premium rate for 2025 – PhilHealth supports it 110 percent. At the same time, we are internally reviewing from our end,” he said.
Go advised the PhilHealth chief, “Make good on your promise.”
Previously, during a Senate hearing on July 30, Ledesma said PhilHealth is eyeing to recommend to Marcos a reduction in the contributions of PhilHealth members, after getting rapped for having unused funds that the government has impounded.
“When will you recommend to the President to lower the PhilHealth fee or premium? Would you recommend it?” Go asked during the July hearing.
Ledesma replied: “Actually, yes, we will, especially after this very nice hearing that just happened, we will do it immediately. As early as this afternoon (July 30) I will convene our team and we will recommend a reduction in the premium rates and contribution rates to President Marcos. Immediately, to answer your question.”
Labor group bucks PhilHealth fund transfer
Labor coalition NAGKAISA yesterday said that their lawyers are finalizing the petition for certiorari and prohibition against the PhilHealth fund transfer.
The coalition further urged Marcos and Finance Secretary Ralph Recto to hold in abeyance the transfer of the second tranche of P10 billion from PhilHealth to the national treasury.
It asserted that the PhilHealth fund transfer “is highly illegal and unconstitutional,” as it represents an executive usurpation of Congress’s exclusive power to legislate appropriations.
“This is madness, and a P10-billion sin, in addition to the initial P20 billion that the government will freely squander,” NAGKAISA said in a statement.
The coalition explained that it is illegal to reallocate funds from programmed appropriations, which are already legislatively approved, to unprogrammed appropriations without the required legislative process.
“This undermines the constitutional authority of Congress over budgetary matters and sets a dangerous precedent for executive overreach,” NAGKAISA added.
The coalition previously sent Marcos a letter requesting him to return the initial P20 billion that was remitted to the national treasury from PhilHealth.
“These funds should remain with PhilHealth, where they are crucial for addressing the health care needs of ordinary Filipinos, especially amid the ongoing challenges in the health care sector,” NAGKAISA chairman Sonny Matula said.
“We are prepared to take legal action if necessary, either by intervening in the existing petition or by filing a separate petition for certiorari and prohibition before the Supreme Court,” the coalition leader said. — Mayen Jaymalin
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