MEDICard makes Makati Med quality care more accessible

From its earliest days the name Makati Medical Center has always been associated with quality service. Its prestige rests on the reputation of its medical staff, comprised of some of the most highly-regarded specialists in the country. Makati Med’s head for Marketing and Sales Services Arlyn Songco walked us through the history of their hospital. “In the late Sixties a group of doctors, good friends already established in their fields, decided to set up a facility where they could treat their patients and focus on health care. The group included Dr. Mariano Alimurung for cardiology, Dr. Carlos Sevilla for ophthalmology, and Dr. Constantino Manahan for obstetrics and gynecology. Dr. Manahan was our first medical director, and held the position until his death.” 

 The hospital was built on Amorsolo Street in Makati, on the site it still occupies. “It was one of the first structures in the area,” Songco said. “When the hospital was built in 1969 it was one of the first structures in the area, surrounded by open fields, with a view of the Nielsen airstrip.”

 “The doctors who established Makati Med were a veritable Who’s Who of the profession,” added Ronald Basas, vice president for Finance. Being prominent practitioners, they attracted prominent patients. Almost all the country’s presidents were patients at Makati Med,” Basas added. 

 The hospital’s prestige antedated the era of heavy marketing and advertising. “The doctors were the main draw,” Songco noted. “Their credibility was well-known and they had patients lining up at their clinics. Later they invited other well-regarded doctors to join Makati Med.”

 These esteemed professionals found that it is one thing to cure the sick, and quite another to run a hospital. “Being doctors and not finance managers they had no background in management and operations,” Songco continued. “They were giving health care to so many people without doing proper accounting. Eventually, the books became very bad, they found themselves in the red and so they invited investors. 

 “One of the investors was Manny Pangilinan’s Metro Pacific, which now owns the single biggest block of shares in Makati Med. They infused capital in 2005 and the new building was constructed. The major renovation of the main hospital is nearing its completion.

 Prestige usually comes with an “expensive” reputation: There is a general impression that Makati Med charges very high prices. Basas disputed the word “expensive.” “Perhaps in the past when there were only two tertiary hospitals operating in Metro Manila that offered this quality of service,” he pointed out. “These days there are other large medical centers and more competition. Prices have been adjusted.”

 “I think the reason people think Makati Med is expensive is because we are in Makati,” Songco added. “Until a newer facility was built near Makati, so the “expensive” image has gone. When people come here they find out that we are not expensive, and we can show you a price comparison for our services. Besides, health care services cannot be priced too high because the market is very well-educated. Go online and you can check how much it costs. Today’s clients don’t go to a hospital just because they’ve always gone there; they seek out better deals.”

 Another factor contributing to the “expensive” reputation may be the hospital’s “sosyal” (affluent) clientele. “Makati has a mix of demographics,” Songco said.

 “One of the basic missions of this institution, apart from running a business, is to contribute to Filipino society,” Basas noted. “We have social programs for indigents. We provide them medical service that is not exactly free, but given at a significant discount. In terms of professional fees, we have residency programs that provide free consultation. We also have medical missions all over the country conducted by our specialists.”

 Makati Med’s services have become more accessible to the general public because of HMOs (health maintenance organizations). “HMOs are our biggest partners,” Basas said. “We think the future of health care is HMOs. The total HMO membership in the country, as I understand it, is almost two million. Around 10 years ago, it was 500,000 at most. There is now more awareness of the HMO concept. 

 “It’s important to Makati Med because it is a real partnership. HMOs need hospitals to service their members. We are addressing the concerns of the same customer: the superior quality service and cost containment. If we are able to provide both, we know we have succeeded.”

 At present, 30 to 40 percent of the hospital’s patients are referred by HMOs such as MEDICard, a pioneer in the local medical industry. Like Makati Med, MEDICard was founded by a group of distinguished physicians. They were concerned that most Filipinos, even those with jobs, could not afford quality health care, such as that offered by Makati Med. MEDICard’s founding president Dr. Nicanor Montoya and its current president Dr. Nicky Montoya are both credentialed physicians at Makati Med. Today, about 10 percent of the hospital’s patients are members of MEDICard.

 Basas cited the benefits the hospital obtains from its partnership with MEDICard. “The HMO concept is to make health care more affordable. Patients have a choice as to what hospital, which doctors they prefer. The key there is the HMO-hospital collaboration. 

 “HMOs like MEDICard have a primary care set-up. Before the patients go to the hospital and incur expenses they are already screened. MEDICard already has the basic information on the patient, so when they endorse him to the hospital the administrative and financial matters are already taken care of. It’s more systematic. MEDICard takes care of the record-keeping.” This is a huge help to an institution like Makati Med, which serves thousands of patients.

 “Of course MEDICard is a big source of patients,” Songco added. “We have walk-ins, patients referred by our doctors, and patients referred by HMOs. If a MEDICard member goes to his primary care doctor and the doctor advises him to see a specialist, that drives business to the hospital.”

 Apart from patient referrals and administrative assistance, MEDICard helps keep Makati Med’s books in good order. “They guarantee payment for the patient, which helps us greatly with credit risk management,” Basas said. MEDICard not only makes Makati Med service more affordable to its members, it also helps maintain the financial health of this prestigious institution.