New PhilHealth premium rates take effect December 7

MANILA, Philippines — The new premium rates of the Philippine Health Insurance Corp. (PhilHealth) for its direct contributors will take effect on Dec. 7.

According to PhilHealth, those covered by the adjustment are the “direct contributors” or those who are “gainfully employed and bound by an employer-employee relationship.”

It also covers the kasambahay, self-earning individuals, practicing professionals and overseas Filipino workers (OFWs).

PhilHealth said under Circular No. 2019-0009, the premium rate for direct contributors shall remain at 2.75 percent of their monthly basic salary with an adjusted ceiling of P50,000. 

“In 2020, the premium will increase the rate to three percent and henceforth adjusted to increments of 0.5 percent every year until it reaches the five percent limit in 2025 as provided for by law,” it noted.

PhilHealth added the “income floor is fixed at P10,000 during the five-year period, while salary ceiling will gradually increase by P10,000 each year until it reaches P100,000 in 2025.”

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

Similar policy shall also apply to seafarers.

According to PhilHealth, the new rates are in accordance with the implementation of the Universal Health Care (UHC) law.

PhilHealth president and chief executive officer Ricardo Morales said it will help ensure sustainability of the National Health Insurance Fund, guaranteeing that all Filipinos are able to avail themselves of outpatient benefit packages.

These packages are currently being finalized, as well as immediate eligibility to benefits during confinement.        

“Starting Nov. 22, 2019 until such time that a new set of guidelines are issued, all Filipinos including those without the qualifying contributions shall be allowed to avail of the PhilHealth benefits,” he added.

Morales said that while no one will be denied PhilHealth coverage due to non-payment of premiums, members lacking contributions shall be billed for the unpaid premiums with interest, compounded monthly, and penalties of at least three percent for employers, sea-based OFWs and kasambahay. 

Interest shall only be applied effective January 2020.

PhilHealth has assured its contributors that the adjustments in contributions are sanctioned by law and are “essential in sustaining and enhancing its benefits and services to its 108 million-strong members and beneficiaries here and abroad.”