Contrary to the grim scenario painted by its officials about the 2020 financial condition of the Philippine Health Insurance Corporation, the Philhealth is still awash with cash and can easily pay the P28 billion it allegedly owes hospitals and medical health facilities.

This was gathered after lawmakers grilled Philhealth officials in connection with its implementation of the Universal health care law during a House Committee on Health briefing on Tuesday, August 24.

Interpellated by Marikina City Rep. Stella Luz Quimbo, lawyer Emily Roque, Philhealth senior vice president for fund management, disclosed that earnings last year reached P31. 1 billion while its fund reserves stand at P120 billion.

Quimbo chided Philhealth officials after learning about its financial situation, saying that the state health insurer claimed last year that it was expecting a net loss of P86 billion by the end of the year.

“Congratulations, kumita pala kayo! (you profited) ” she said.

“Why raise the alarm bells that you are going to die soon only to find out you can actually do a good job of generating income for our members?” asked Quimbo.

Nery Santiago, another Philhealth official, then explained that the projections made by the firm last year was based on their expectation that “a high payout in terms of COVID-19 benefits” was forthcoming.

The admission of Philhealth’s financial health had apparently disappointed hospital owners and operators who have been demanding refund of over P28 billion in unpaid claims.

Philippine Hospitals Association President Dr. Jaime Almora said health care facilities and hospitals denied of payment of their claims have viewed with suspicion Philhealth’s release of a circular restricting refund of claims made by hospitals that are under investigation for irregular or fraudulent claims.

“The problem came not so much with the content of the circular but more so with the timing and the presence of a cloud of mistrust and suspicion on the intent of the circular,” he said during the hearing.

Philhealth, in its implementation of Republic Act No. 7875 or the National Health Insurance Act, has issued Circular No. 2021-0013 that provides for the temporary suspension of payment of claims (TSPC) for the withholding of payment of claims of accredited health care providers that are under investigaiton.

Philhealth President Dante Guerran said that notwithstanding the issuance of the circular, the state medical insurer will guarantee due process for those affected.

“Those who are not in the business of fraud should not be concerned,” he stated.