SC ruling on return of P60-B PhilHealth funds 'a victory for Filipinos', says Nazal
At A Glance
- Calling it a win for Filipinos, Bagong Henerasyon (BH) Party-list Rep. Robert Nazal hailed the Supreme Court's (SC) unanimous decision ordering the return of P60 billion to Philippine Health Insurance Corporation (PhilHealth) and permanently blocking the transfer of the remaining P29.9 billion.
Bagong Henerasyon (BH) Party-list Rep. Robert Nazal (Facebook)
Calling it a win for Filipinos, Bagong Henerasyon (BH) Party-list Rep. Robert Nazal hailed the Supreme Court’s (SC) unanimous decision ordering the return of P60 billion to Philippine Health Insurance Corporation (PhilHealth) and permanently blocking the transfer of the remaining P29.9 billion.
The high court struck down as unconstitutional the 2024 budget’s “special provision” that allowed the diversion of PhilHealth funds, as well as the Department of Finance (DOF) order directing the state insurer to remit P89.9 billion in so-called excess reserves.
Nazal said the ruling protects PhilHealth members and affirms strict limits on the use of legally dedicated funds.
“This is a clear victory for the Filipino people. PhilHealth funds are for patients, not for plugging budget gaps,” he said.
“The UHC Act is explicit. These reserves cannot be treated as part of the national government’s general fund. The ruling safeguards every Filipino family’s right to reliable health care and upholds the protection of earmarked revenues," noted the assistant minority leader.
The ruling said both actions violated the Universal Health Care (UHC) Act and constituted grave abuse of discretion.
According to BH Party-list, the decision reinforces a long-standing principle that earmarked revenues—such as PhilHealth’s funds—cannot be repurposed as general savings.
Former BH party-list Rep. Bernadette Herrera, a long-time advocate for shielding earmarked funds from diversion, said the decision must serve as a warning to all agencies.
“Health care funds are lifelines. They are not spare cash for government use,” Herrera said.
“The SC decision restores the proper use of PhilHealth reserves, strengthens accountability, and reinforces the principle that earmarked revenues must always benefit their intended beneficiaries,” she continued.
The high tribunal noted that the budget provision cited by the DOF was a prohibited rider and introduced the undefined term “fund balance,” making it invalid.
It ordered the P60 billion earlier remitted to be returned to PhilHealth through the 2026 national budget.
Nazal said the ruling should guide all agencies in respecting legal boundaries on public funds. “Let this ruling stand as a warning that public money for health must stay in health,” he said.