House OKs bill reducing PhilHealth contribution rates

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THE House of Representatives on Monday night approved on third and final reading a bill seeking to amend the Universal Healthcare Act (UHC) which seeks to improve the healthcare system.

The Senate counterpart bill was passed on final reading in August last year and the Department of Health has expressed support for the measure.

Voting 191-3 with no abstention, lawmakers approved House Bill No. 11357 or the “Act Strengthening the Philippine Healthcare System to Achieve Efficiency and Equity, and to Improve Public Health Emergency Preparedness.” The bill seeks to amend Republic Act 11223 or the Universal Health Care (UHC) Act.

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The consolidated bill, a priority measure of the Legislative-Executive Development Advisory Council (LEDAC), also seeks to lower the premium contribution rates for all members of the Philippine Health Insurance Corporation (PhilHealth) to 3.5 percent from the current 5 percent rate.

Under the proposal, the rate would be adjusted annually based on actuarial studies to be reviewed by an independent non-government body.

Another feature of the bill is that migrant workers will no longer have to pay any premium, as their employers will be required to shoulder 50 percent of what their due is while the national government shoulders the rest.

PhilHealth’s administrative expenses, including salaries, will now be a maximum of 7.5 percent of its total benefit payments from the previous year, instead of 7.5 percent of its total premium collections.

The bill also provides that component cities and municipalities may now establish and/or maintain their own special health funds, with guidelines to be developed by the Department of Health in consultation with the Department of Budget and Management and the UHC Coordinating Council.

A new UHC coordinating council will be formed with current officials as members, co-chaired by the health and interior secretaries.

The bill mandates the PhilHealth to maintain an electronic National Health Records System and strengthen the health technology assessment process.

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