A study of the Philippine National Health Accounts dating back to 1991 shows that the bulk of healthcare expenses are shouldered by the average Filipino, and not the government. Of the P1.2 trillion health expenditures in 2022, 45 percent was paid by Filipino households, with the national government share at 21 percent, and the Philippine Health Insurance Corp. chipping in 14 percent.
With public spending on health care rising in the past three decades, the study has found that the bulk of health expenses are shouldered by the average Filipino, even with the implementation of the Universal Health Care Act in 2019.
The study examined the Philippine National Health Accounts from 1991 to 2022, and were presented at the first Unilab Center for Health Policy Executive Symposium in Manila on August 2.
“Out of pocket payments from households have been the biggest contributor to healthcare spending ever since records started in 1991,” Dr. Michael Mo said.
When health expenditures reached P1.12 trillion in 2022, 45 percent or P502 billion were paid for by Filipino households. The national government, through the Department of Health, paid 21 percent, local governments – 10 percent, and PhilHealth, a measly 14 percent, despite its mandate “to provide health insurance coverage and ensure affordable, acceptable, available, and accessible health care services for all citizens of the Philippines.”
This is troubling information, especially given that PhilHealth has been criticized for remitting P89.9 billion of its unused subsidies between 2021 and 2023 to the national treasury, which indicates that despite the need, it has not been particularly efficient when it comes to disbursing the benefits while many Filipinos have been forced to pay for health services out of pocket instead.
PhilHealth, with the help of the government, particularly the Department of Health, may want to look into ways of using its funds to better benefit more Filipinos, who have been told that universal health care was going to be a reality, but still have to deal with the harsh reality that most of them still pay for healthcare services out of their often shallow pockets.*
