Senate President Francis “Chiz” Escudero attributed the zero subsidy for the Philippine Health Insurance Corporation (PhilHealth) under the 2025 national budget to the agency’s alleged mismanagement and failure to deliver health benefits effectively.
Reserve Funds Unused
PhilHealth reportedly holds ₱600 billion in reserve funds, which Escudero said reflects its inability to fulfill its responsibilities.
“This should serve as a wake-up call for them,” Escudero stated, adding, “We will not reward their failure by providing funds that will just sit unused.”
Budget Reallocation
Senate finance committee chairperson Grace Poe clarified that the decision to withhold funding was based on the need for PhilHealth to utilize its reserves.
The ₱74.431 billion initially proposed for PhilHealth under the 2024 National Expenditure Program (NEP) was reallocated to other sectors with greater need. However, funding for PhilHealth’s operational costs remains in the 2025 budget.
Failure to Implement Mandates
Escudero criticized PhilHealth’s failure to enforce the No Balance Billing (NBB) mandate under the Universal Healthcare Law, which aims to reduce patients’ out-of-pocket expenses.
“With ₱600 billion in reserves, not even a single patient seems to benefit from zero balance billing,” Escudero remarked.
Mixed Senate Reactions
While Escudero stood firm on the decision, other senators, such as Risa Hontiveros, expressed concerns, calling the zero subsidy “unfair, illegal, and potentially unconstitutional.”
“Denying PhilHealth support to pay the premium contribution of the most vulnerable is to deny Filipinos their right to health,” Hontiveros said.
GMA News Online has reached out to PhilHealth for a statement, but no response has been received as of posting.