BY: ANGELICA ARQUERO
The Department of Health has denied claims that the Philippine Health Insurance Corporation (PhilHealth) is bankrupt following the government’s move to reclaim 89.9 billion pesos from the agency’s reserve fund.
The clarification comes amid concerns from the public, particularly those like 54-year-old Ching Ortis, who have delayed applying for PhilHealth membership due to rising contribution rates and distrust over the agency’s financial management.
“Contributions are increasing, but salaries stay the same,” said Ortis. “Why contribute if the funds are just being misused?”
She added that with the high cost of living, it’s difficult to allocate money for PhilHealth membership while supporting two children in college.
The DOH explained that the 89.9 billion pesos in question is not part of the members’ contributions but rather government subsidies for indirect contributors such as indigent families and senior citizens.
DOH Undersecretary Dr. Albert Domingo said, “The amount was not lost. It was invested or placed in banks. The unused funds accumulated over time due to underutilization by previous administrations.”
The Supreme Court recently held a second round of oral arguments from April 2 to 6 regarding the withdrawal of the said amount by the Department of Finance. The Court has ordered both petitioners and respondents to submit a memorandum within 30 days to determine the legality of the fund transfer.
Despite concerns, the DOH maintained that PhilHealth remains financially stable and capable of providing services to its members.
