PhilHealth hikes members’ premium contributions to 5% this year

Metro Manila (CNN Philippines, January 12) — The Philippine Health Insurance Corporation (PhilHealth) on Friday said it will hike members’ premium contribution rate to 5% this year, from the previous 4%, in accordance with the Universal Healthcare Law.

The law sets the monthly salary floor at ₱10,000, while the income ceiling is at ₱100,000.

PhilHealth previously explained that this means Filipinos earning ₱10,000 and below will pay the minimum threshold of ₱500 monthly, while those earning at least ₱100,000 will contribute the maximum ₱5,000.

"“For those earning below the salary floor of P10,000, contributions are computed using the minimum threshold; while those who earn the set ceilings/limits shall pay premiums based on the set ceiling," it said.

The premium rate was supposed to increase from 4% to 4.5% in 2023 as stated in the law, but President Ferdinand Marcos, Jr. ordered the suspension of the hike as he cited persistent economic challenges faced by Filipinos, including rising prices of commodities.

According to PhilHealth President and Chief Executive Officer Emmanuel Ledesma, Malacañang has not expressed any opposition to the increase this time. However, he said they are willing to again defer its implementation should the Palace direct them to do so.

The state health insurer explained that higher contributions are needed to expand the benefits and programs it offers to members.

The government earlier announced that PhilHealth will adjust the rates of most of its benefit packages starting this year, which will mean increased financial coverage for members’ hospitalization expenses.

The Philippine Information Agency said the rates are seen to increase to a maximum of 30% across all cases — in turn lowering patients’ out-of-pocket expenses.

CNN Philippines Correspondent Tristan Nodalo contributed to this report.