PRESIDENT Marcos Jr. has suspended an increase in contribution rates of the Philippine Health Insurance Corporation (PhilHealth), which was set to start this month, to provide financial relief to Filipinos who remain affected by economic challenges stemming from the COVID-19 pandemic.
Executive Secretary Lucas Bersamin, in a memorandum addressed to Health Undersecretary Maria Rosario Vergeire and PhilHealth acting president Emmanuel Ledesma Jr., said affected by the suspension is the increase in premium rate to 4.5 percent from 4 percent, and the income ceiling from P80,000 to P90,000 for 2023.
“In light of the prevailing socioeconomic challenges brought about by the COVID-19 pandemic, and to provide financial relief to our countrymen amidst these difficult times, please be informed that the President has directed the PhilHealth to suspend the above-mentioned increase in premium rate and income ceiling for CY 2023, subject to applicable laws, rules and regulations,” Bersamin said in the memorandum.
The scheduled increase was based on Section 10 of Republic Act No. 11223 or the Universal Health Care Act that aims to raise the PhilHealth contribution until it reaches 5 percent by 2024.
Monthly contributions would have increased to P450 from P400 for those earn P10,000 a month.
The increase in premium rate started in 2020 at 3 percent and was supposed to be followed by a hike to 3.5 percent in 2021, to 4 percent in 2022 and to 4.5 percent in 2023.
In 2021, PhilHealth suspended the rate hike of 3 percent to 3.5 percent due to the COVID-19 pandemic.
In 2022, PhilHealth raised the contributions to 4 percent or P400 for those earning P10,000 and below; between P400 and P3,200 for those earning between P10,000.01 to P79,999.99, and P3,200 for those earning P80,000 and above.
