Albay 2nd district Rep. Joey Salceda (Center) (Facebook)

"A good first step."

That's how Albay 2nd district Rep. Joey Salceda described the proposed transfer of the Philippine Health Insurance Corporation (PhilHealth) from the Department of Health (DOH) to the Office of the President (OP).

“It’s a good first step. It’s the first step to improving financial governance and investment management. It will ensure that the management is more holistic and whole-of-government. The PhilHealth is a social insurance agency first and foremost, not a hospital," Salceda said in a statement late Sunday afternoon, June 25.

Newly-installed Department of Health (DOH) Secretary Ted Herbosa had pitched the transfer of PhilHealth under the OP.

“And President Marcos can certainly do that even if the chairperson remains the Secretary of Health. The PhilHealth Board is inter-agency and purely within the executive. The Administrative Code allows him to ‘transfer agencies to the Office of the President from other departments or agencies.’ That’s Chapter 10, Section 31," noted Salceda, chairman of the House Committee on Ways and Means.

However, the Bicolano clarified that the move would just be a "start" and that Congress would "need to work on more thorough reforms to the system".

“[It] is a welcome first patch, but we need to solve its underlying institutional issues," he said.

Salceda pointed out that the key issues in the management of the PHilhealth are “probable fraud in the payment of case rates, the proportionality of the case payments with the expenses involved medical cases, and the effectiveness of its investment policies".

He also said the issue of equity among Overseas Filipino Workers needs to be addressed. “They are among the most diligent payers, since they can’t leave without paying their PhilHealth dues, but it is frankly useless to them abroad.”

Salceda is principal author of House Bill (HB) No. 52, or the Philhealth Insurance Act, which introduces comprehensive reforms to the governance of the health insurer.