Legarda addresses health fund gap, urges passage of PhilHealth Automatic Funding Act

Senator Loren Legarda, in her privilege speech during the plenary session in the Senate on February 3, called for immediate reforms to close persistent funding gaps that undermine the Universal Health Care Act and leave millions of Filipinos exposed to catastrophic out-of-pocket medical costs.

“The fight for a just and equitable health system in the Philippines has never been easy. It is a race against time,” she said, stressing that the government must show moral courage to protect the sick and vulnerable.

Legarda stressed that PhilHealth has been deprived of ₱113.44 billion in cumulative sin tax revenues for 2023–2026, and that an additional ₱106.95 billion in statutory shares from the Philippine Charity Sweepstakes Office (PCSO) and the Philippine Gaming Corporation (PAGCOR) remain unpaid. She also cited the Department of Finance’s (DOF) 2024 order returning ₱60 billion in PhilHealth funds to the National Treasury as a stark example of decisions that have weakened the health system.

Such diversions and delays, Legarda warned, erode public trust in health institutions and stall the transition to zero-out-of-pocket care. She highlighted the human cost in everyday terms.

“May nanay sa public hospital na pinipiling umuwi na lang dahil kulang ang pambayad kahit may PhilHealth card siya. May lolo na pinapahaba ang pagitan ng check-up dahil iniipon pa ang pamasahe at pambayad sa laboratory. May batang hindi maipasok agad sa ospital dahil takot ang magulang sa posibleng bill, kahit may sinasabing coverage ang PhilHealth,” Legarda said.

Legarda also raised serious concerns over the Medical Assistance for Indigent and Financially Incapacitated Patients (MAIFIP), noting that while it was created to help those who cannot afford hospital bills, in practice it forces patients to go through multiple offices, endorsements, and appeals.

“Hindi dapat nakikiusap ang mahirap para mabuhay. Hindi dapat namamalimos ang maysakit para magamot,” she said, stressing that MAIFIP weakens the spirit of the Universal Health Care Law and undermines PhilHealth’s mandate.

She called for its gradual phase-out and the redirection of its funds to PhilHealth, explaining that this reform will strengthen case rates, expand coverage across all social classes, and restore coherence to the country’s health financing framework

To address these gaps, Legarda urged the swift passage of Senate Bill No. 1662, the PhilHealth Automatic Funding Act, which she authored to ensure the automatic release of all legally due funds to PhilHealth and to require quarterly transparency reports from the Bureau of Internal Revenue (BIR), PAGCOR, and PCSO.

Legarda also called for stronger oversight through the Joint Congressional Oversight Committee on Public Expenditures to ensure that appropriations for health are fully remitted, transparently reported, and promptly utilized for medicines, hospital services, and primary care.

“This serves as a direct warning to all officials of PhilHealth, the Department of Health, and any agency entrusted with public health funds: any form of abuse will not be tolerated. This Senate will ensure that all erring officials, those who authorize, defend, or tolerate misuse of health funds, will be held fully accountable under the law,” Legarda stressed.

Legarda concluded with a call to action: “The struggle for Universal Health Care is a moral emergency, and it is a promise we must keep,” urging colleagues and government agencies to act decisively to protect the health and dignity of Filipino families. (30)