A recent social media post has brought attention to the tangible benefits of the Philippine Health Insurance Corporation (PhilHealth) for senior citizens. A netizen shared that their father’s hospital bill was significantly reduced from ₱38,000 to ₱18,000, thanks to PhilHealth coverage. The father, using his PhilHealth benefits for the first time as a senior citizen, remarked, “May pera naman pala ang PhilHealth, nagpefake news lang sila na wala na” (“PhilHealth does have funds; they’re just spreading fake news that it’s depleted”).
This personal account emerges amidst ongoing debates about PhilHealth’s financial management and the government’s decision to cut its subsidy to zero. The Bicameral Conference Committee on the national budget approved a ₱74-billion reduction in PhilHealth’s funding, aiming to address concerns over the agency’s alleged mismanagement and accumulation of approximately ₱600 billion in reserve funds from unspent budgets in previous years.
President Ferdinand Marcos Jr. supported this budget cut, asserting that PhilHealth possesses sufficient funds to operate in the coming year without additional government support. He suggested that the reallocated funds could be utilized for other essential public services. In response, PhilHealth’s President and CEO, Mandy Ledesma, affirmed the agency’s robust financial standing, citing ₱281 billion in reserves, ₱150 billion in surplus funds, and a ₱489-billion investment portfolio. Ledesma assured the public that PhilHealth would continue to provide health benefits irrespective of the subsidy cut.
Despite these assurances, PhilHealth has faced scrutiny over its financial practices. The Department of Finance (DOF) directed the agency to return ₱89.9 billion in unutilized subsidies to the Bureau of the Treasury, of which ₱60 billion has reportedly been remitted. However, the Supreme Court issued a temporary restraining order, halting the return of the remaining balance after civil society groups challenged the legality of the DOF’s directive.
Further controversies have arisen regarding PhilHealth’s agreements with political entities and financial institutions, as well as its allocation of funds for non-essential expenditures. These issues have raised questions about the agency’s commitment to its mandate of providing accessible health insurance services to the public.
The government’s decision to eliminate PhilHealth’s subsidy has sparked a broader discussion about the sustainability and effectiveness of the country’s health insurance system. While the agency maintains that it can fulfill its obligations without government funding, critics argue that defunding PhilHealth may not address the underlying issues of healthcare accessibility and affordability.
From 38K hospital bill down to 18K. First time ng father ko magamit ang Philhealth nya as senior citizen, sabi nya "may pera naman pala ang #Philhealth, nagpefake news lang sila na wala na" 😁 malaking tulong narin ito 🫰 pic.twitter.com/1MHMHpo4AP
— 𝐄𝐳𝐫𝐚 𝐊𝐢𝐦 (マドンナ)🐇⚽👒🌱 (@Jade_rabbit0909) February 25, 2025
This situation highlights the delicate balance between ensuring financial accountability within public institutions and maintaining essential services for citizens. As the debate continues, the experiences of individuals like the netizen’s father underscore the real-world impact of policy decisions on everyday Filipinos.