PhilHealth cancels P38M anniversary budget to redirect funds to members’ benefits

The Philippine Health Insurance Corporation (PhilHealth) has canceled nearly P38 million worth of marketing and promotional materials intended for its 30th anniversary to save government funds and prioritize its members’ needs.

The Department of Health announced the move, spearheaded by PhilHealth’s board of directors led by Health Secretary Teodoro Herbosa. Initially, the budget was allocated for items such as anniversary shirts, jackets, tote bags, and button pins for the February 5 celebration. Instead, these funds will now be redirected to support PhilHealth members.

“The Board will always prioritize the benefits of PhilHealth members,” Herbosa emphasized, adding that the decision reflects the agency’s commitment to proper fund allocation.

The vetoed expenses included umbrellas, perforated mesh stickers, and other promotional materials, with the board expressing concerns about their necessity. The decision comes as the bicameral conference committee announced PhilHealth would not receive additional government subsidies in the 2025 budget.

Despite the funding challenges, PhilHealth President Emmanuel Ledesma Jr. reassured members of the agency’s strong financial standing, citing P281 billion in reserves and P150 billion in surplus funds as of October 2024. He also affirmed that all existing benefits will be maintained and improved.

PhilHealth’s board comprises key government officials, including the Secretaries of Finance, Budget and Management, Social Welfare and Development, and Labor.