MARIKINA Rep Stella Luz A. Quimbo proposed to temporarily suspend PhilHealth premium contributions for all minimum wage earners, whether employed or self-employed.
House Resolution 1595 seeks to utilize the unspent appropriations allocated to PhilHealth for premium subsidies, providing immediate financial relief to the country’s economically vulnerable workers.
In 2022, Congress appropriated P80 Bn to subsidize premiums of indigent families, senior citizens, and persons with disability to PhilHealth. However, PhilHealth reported that it failed to spend P24 Bn of said amount. Further, in 2023, Congress again provided an appropriation amounting to P79 Bn as premiums subsidy but Philhealth left P39 Bn unspent.
“The unspent premium of PhilHealth can very well cover the premium contributions of minimum wage earners for at least a year since in 2022 their premium contribution only amounted to P19.6 Bn,” Quimbo said.
PhilHealth’s financial reserves are expected to reach P463 Bn in 2023, marking a 68 percent increase from the previous year. This surplus has accumulated from premiums collected from members, as well as subsidies from Congress that have remained unspent.
This surplus suggests that PhilHealth can afford to suspend premium contributions for minimum wage earners without compromising its financial stability. Quimbo noted that the unspent funds, originally designated for the health coverage of senior citizens and the poorest segments of the population, highlight an opportunity to redirect resources temporarily to alleviate the financial burden on minimum wage earners.
“Habang kayang i-suspend ang pag bayad ng premium ng minimum wage earners, dapat gamitin ang panahong ito para bumuo ng mga pangmatagalang solusyon gaya ng pagpapalawak ng benepisyong pangkalusugan at pagreporma sa premium contribution ng ating mga manggagawa,” she added.
Quimbo’s resolution seeks to reassess PhilHealth’s benefit packages and the premium contribution rates as provided by the Universal Health Care Law. Moreover, this aligns with the national government’s goal of expanding social protection, particularly to all minimum wage earners.
According to Quimbo, “This temporary suspension is not just about providing short-term economic relief but also about initiating a comprehensive review of PhilHealth’s benefits and contribution structure. The goal is to expand health benefits for all members and potentially reform the contribution structure, or even to possibly eliminate premiums for minimum wage earners and self-employed individuals earning the equivalent of minimum wages.”
The temporary suspension of premium contributions of minimum wage earners increases disposable income, offering an average monthly wage boost of about PHP 400 in the NCR for non-agricultural workers.
Aligned with Speaker Ferdinand Martin Romualdez’s advocacy for PhilHealth to offer HMO-like benefits, Quimbo’s resolution seeks to design benefit packages focused on illness prevention and improved hospitalization support. This approach aims at making healthcare spending more efficient and rational, potentially leading to more sustainable PhilHealth contributions and government appropriations.
Quimbo’s proposal is a step towards a more efficient and equitable healthcare system. “The aim of the review is to have benefit packages that are designed to prevent illnesses and to provide more support when hospitalized. In the long run, it is cheaper to prevent than to cure. At kapag sapat ang suporta na ibinibigay ng PhilHealth, hindi na hihintayin ng bawat Pilipino na lumala pa ang sakit bago magpatingin sa doktor, dahil kalimitan, ito ang nagpapalobo sa gastusing medikal. In the end, we can have a more rational spending on health care. This will boil down to a more rational amount of PhilHealth contributions by our workers, as well as annual appropriations from Congress.”
