Philhealth Corporation through its circular No. 022 states that the premium payment of overseas Filipino workers (OFWs) would increase in 2012.  The said Philhealth circular plans to increase the Philhealth premium payment of OFWs from Php900 to Php1200 starting January of 2012. By Juy 2012, another increase would raise the premium payment to Php2400.

However several non-government organizations (NGOs) that represent OFWs are calling for the deferment of the said circular during a consultative meeting that Philhealth organized. During the said meeting, Philhealth presented their plan to increase membership rates through its Member Management Group vice-president, Walter Bacareza. The increase in membership rate is in line with the agency’s end goal to “revolutionize” healthcare services in the country. Gregorio Rulloda, Philhealth’s vice-president for corporate affairs Gregorio Rulloda was also present in the meeting.

Advocates of OFW rights and heads of NGOs objected to the plan to increase premium rates for the reason that Philhealth needs to do further consultations with the labor and overseas workers department. The said circular was issued on December 15 and the consultative meeting was held days after- barely two weeks before the planned implementation of new rates on January 2012. 

Heads of NGO’s promoting OFW rights that disapproved of Philhealth’s new rates are Susan Ople, former labor undersecretary and head of the Blas F. Ople Center, Luther Calderon, president of the Kabalikat ng Migranteng Pilipino, Inc., Apostol Gratela, chairman of the Kalahi-Advocate for Overseas Filipinos and Jun Aguilar of the Filipino Migrant Workers’ Group.

Heads of the NGOs said, “On January 2, unless the Philhealth Board withdraws its circular, all overseas workers would be paying 300 pesos more for their Philhealth premium and for those unable to pay that amount within the first six months of 2012, they would have to pay 2,400 pesos as annual premium from July onwards, a huge amount compared to the current 900 pesos being shelled out by every OFW. These new rates are being imposed without consultations, without clear explanations, and without consideration given the heavy financial burdens already being experienced by our migrant workers’ given the series of calamities and continued slowdown in the world economy.”

Officials of Philhealth explained during the consultative meeting that the higher rates is necessary for them to meet their performance targets and accomplish the country’s Millennium Development Goals and objectives for universal health care coverage. Bacareza mentioned the GOCC Governance Act of 2011 that would evaluate the performance of all government-owned corporations.

Susan Ople said, “It is unfortunate that the Philhealth Board of Directors decided to issue and release this new circular while the nation is grieving over the deaths of so many of our compatriots in Iligan, Cagayan de Oro and other parts of the Visayans and Mindanao regions. We question the timing, the lack of consultations, and the inexplicable haste by which this new circular is now being imposed not only on our OFWs but on all workers covered by Philhealth.”

Jun Aguilar, head of the Filipino Migrant Workers’ Group and former OFW in Saudi Arabia, Jun Aguilar, said that many OFWs are not aware of their benefits as Philhealth members. 

Aguilar said, “My son is an OFW and he relies on the more efficient health care system in Saudi Arabia rather than Philhealth because that is where he is situated. Why should he now pay triple the cost of premium to enable Philhealth to meet its own internal targets?”

Aguilar also cited a provision in the Amendments to the Migrant Workers’ Act that does not allow government agencies to increase fees for services rendered to OFWs. Officials of Philhealth responded to the concerns of the OFW organizations by saying that they would report it to the Board.

Civil society leaders said, “We are appealing to the Philhealth leadership to be more considerate given these extraordinarily difficult times. Every OFW with relatives in calamity-stricken areas will be relied upon to help defray the rebuilding of homes, and the sustenance of their surviving kin. We seek a deferment of Philhealth Circular No. 022 pending more extensive consultations and so that all of us can focus our efforts and attention in helping out those devastated by the floods in Mindanao.”