PhilHealth Benefit Tiering Sparks Debate in Philippines

LABOR GROUPS in the public sector on Wednesday opposed Executive Secretary Ralph G. Recto’s proposal to introduce a tiered benefit system under the Philippine Health Insurance Corp. (PhilHealth), warning it could undermine universal healthcare by creating unequal access. In a joint statement, the Public Services Labor Independent Confederation and the National Public Workers Congress (PUBLIK) said the proposal weakens the principles of solidarity, equity and shared responsibility that underpin the country’s social health insurance system. Mr. Recto floated the expanded benefit scheme in a June 19 interview over DZRH following a viral social media post about a longtime PhilHealth member whose family allegedly failed to claim benefits after his death. He said the proposal would give direct contributors benefit packages commensurate with the premiums they pay, arguing that members who regularly contribute should receive expanded benefits. He also said the Universal Health Care Act allows different benefit packages for direct and indirect contributors. The Office of the Executive Secretary did not immediately respond to an e-mail seeking comment. “Health is a right — not a privilege determined by one’s capacity to pay,” the groups said, arguing that a tiered benefit system would favor regular premium-paying members while placing indirect contributors at a disadvantage. The groups urged the government to restore and protect PhilHealth funds, fulfill its obligation to subsidize indirect contributors, including the poor, senior citizens, persons with disabilities and informal workers, and invest in a stronger publicly funded health system. “PUBLIK rejects reforms that divide our people, worsen inequality, and commodify health care,” the groups said, urging the government to expand health benefits for all rather than create separate benefit tiers. This issue highlights the challenges in achieving universal healthcare in the Philippines, forcing the government to navigate a difficult balance between maintaining a national health insurance system and ensuring equitable medical services for diverse income groups.