The Philippine Health Insurance Corporation (PhilHealth) has decided to reject a proposed budget of ₱37.5 million meant for promotional materials and other items to celebrate its 30th anniversary next year. This decision, confirmed by the Department of Health (DOH) on Wednesday, was aimed at conserving government funds and ensuring they are used to benefit PhilHealth members directly.
The rejected proposal included a breakdown of costs for various items:
- Jackets: ₱13,650,000
- Umbrellas: ₱7,910,550
- Perforated mesh stickers: ₱7,300,000
- Anniversary shirts: ₱3,640,000
- Marketing shirts: ₱1,940,000
- Tote bags: ₱1,820,000
- Katsa bags: ₱750,000
- Button pins: ₱545,000
The DOH explained that the proposal was submitted to the PhilHealth Board of Directors on December 16 but was quickly vetoed. Health Secretary Ted Herbosa emphasized that the Board prioritizes using funds to enhance member benefits rather than on promotional activities. Although Herbosa serves as the board chairman, he does not participate in voting on such matters.
In a statement, Herbosa said, “The PhilHealth Board of Directors reviews and decides on proposals from PhilHealth Management, such as marketing and promotional expenses for the corporation’s events. The Board will always prioritize the benefits of PhilHealth members.”
The PhilHealth Board includes four ex-officio members who are Secretaries of Finance, Budget and Management, Social Welfare and Development, and Labor. Additionally, it has three expert panel members, four sectoral members, and one vacant seat meant for a representative of local chief executives. This Board operates separately from PhilHealth’s Executive Officers, which include President and CEO Emmanuel Ledesma Jr. and Executive Vice President and COO Eli Diño Santos.
This decision comes after PhilHealth was accused of allocating an excessive budget of nearly ₱138 million for a Christmas party. The health insurer clarified that the ₱138 million budget was not for a party but for the year-long, nationwide celebration of its 30th anniversary in 2025. Dr. Tony Leachon, a health advocate, had previously criticized the organization for the alleged expense, but PhilHealth refuted the claim, explaining that it had adhered to President Ferdinand “Bongbong” Marcos Jr.’s directive to scale down holiday celebrations. For its year-end activities, PhilHealth allocated approximately ₱2 million, aligning with the government’s call for austerity.