Health advocate Dr. Anthony Leachon said that among the contributory factors to the country’s health crisis is lack of funds for Philhealth members, a scenario exacerbated by the the transfer of the unutilized P89.9 billion to the national treasury.
The Philhealth fund transfer is pursuant to an order from the Department of Finance.
“The errant transfer of funds meant for the Universal Healthcare (UHC) Law is endangering lives and undermining the very essence of healthcare equality,” said Leachon, a former consultant of the Departmemt of Health (DOH).
In 2019, Leachon said the UHC Act was a beacon of hope for every Filipino, promising to provide high-quality, equitable healthcare services to all, and ensuring that no one would be financially crippled by medical expenses.
However, this promise requires significant funding: P 2.34 trillion, P1.68 trillion, and P1.22 trillion for the fiscal years 2023-2026 .
The DOH planned to gather these funds from sin tax collections and income from PAGCOR and PCSO, but these sources fall woefully short, underscoring the urgent need for direct, substantial funding to make the UHC law a reality.
He said the Senate’s Committee on Health called for a hearing on a troubling decision- the transfer of the supposed excess PhilHealth funds to the national treasury for unprogrammed appropriations.
According to Section 11 of the UHC Act, these funds should be used to alleviate the suffering of indigent patients and reduce PhilHealth contributions, thereby enhancing benefits for all members.
“This transfer is clearly a betrayal of the Filipino People. This misappropriation of funds is a blatant violation of PhilHealth’s mandate. The funds collected are meant solely to benefit its members,” insisted the former Philhealth director.
Amid the excess funds, he also cited this year’s increase in member contributions from 4% to 5%, which should have improved benefits and the healthcare system.
Instead, this misuse of funds has led to insufficient patient benefits, unnecessary premium hikes, and an unjustifiable fund excess.
The diversion of excess funds to the national budget is a direct contradiction of the UHC Act. Section 11.3 clearly stating that any excess reserves should be used to increase program benefits and reduce member contributions.
The government claims its intention is to support the economy by creating 600,000 jobs and supporting priority programs.
The UHC Act’s Section 11.6 explicitly prohibits the reserve fund from being absorbed into the national budget.
