The Philippine Health Insurance Corporation (PhilHealth) has finalized a PHP284 billion corporate operating budget for the upcoming fiscal year 2025, marking a 10% increase from the previous year’s PHP259 billion, as announced by the Department of Health. This budget, akin to a national or local government’s financial plan, accounts for the absence of government premium subsidies for indirect contributors in 2025 and includes a reported surplus of PHP150 billion as of October 31.
In a move to enhance healthcare services, the PhilHealth Board has also approved a 50% increase in selected case rates, alongside new benefits such as emergency care, pediatric eye care, open heart surgeries, and pediatric cataract surgeries. Health Secretary Teodoro Herbosa emphasized the need for PhilHealth to utilize its substantial reserves more effectively to reduce out-of-pocket expenses for Filipino families.
The 2025 budget allocates PHP271 billion for benefit expenses, an 11% rise from the previous year, covering increased rates for various treatments and services. Administrative costs will see a modest 3% increase to PHP12.5 billion, while capital expenditures are significantly reduced by 91% to PHP259 million. Despite not approving a new ICT budget for 2025, the Board has extended the validity of the 2024 ICT budget to continue digitalization efforts.
The PhilHealth Board, chaired by Secretary Herbosa and comprising various government officials and sectoral representatives, operates independently from the corporation’s executive management led by President Emmanuel Ledesma Jr. and Executive Vice President Eli Diño Santos.