The national government’s proposed 2025 budget does not include subsidies for the indigent sector under PhilHealth, raising concerns about the agency’s ability to provide universal healthcare. Before the Universal Healthcare Law (RA 11223) took effect in 2019, indigents—such as senior citizens, persons with disabilities (PWDs), single parents, and disadvantaged groups—were subsidized by either the national or local government.
Under the Universal Healthcare Law, indigent subsidies were shifted to be funded through the Sin Tax Law (RA 10351). While formal and informal sector members continue to contribute, the absence of direct government funding for indigents is a looming problem.
Without a subsidy, PhilHealth’s funds—largely sourced from contributions by employed and self-employed members—must now cover the unfunded indigent sector. This risks overburdening the system, including its operational costs and mandated reserves for emergencies, according to actuarial standards.
Compounding the issue is the Department of Finance’s sequestering of ₱89 billion from PhilHealth funds. Critics argue this decision undermines the agency’s capacity to sustain healthcare for its members, particularly the most vulnerable.
Former PhilHealth President Dr. Rey Aquino questioned the government’s priorities, saying, “Isn’t health, like education, a priority? Are the poor and disadvantaged not your concern?” He warned that penalizing PhilHealth’s members for systemic issues is unjust, emphasizing that health and the poor should always be government priorities.
With universal healthcare and PhilHealth’s sustainability at stake, Aquino’s remarks echo a broader call for leaders to reconsider their decisions. “If the problem is PhilHealth’s management, why punish the helpless members?” he asked.
As the debate continues, the question remains: will health truly be a priority, or will the country’s most vulnerable be left behind?