The Philippine Health Insurance Corporation (PhilHealth) has implemented a revised premium contribution schedule for direct contributors, effective December 7, 2019, as per PhilHealth Circular No. 2019-0009. This update aligns with the Universal Health Care (UHC) law, ensuring sustainable funding for improved healthcare services.
Understanding the Changes
The new schedule introduces gradual increases in contribution rates from 2019 to 2025, affecting direct contributors based on their monthly basic salary. Here’s a breakdown of the key adjustments:
1. Premium Rate Increases
- 2019: 2.75%
- 2020: 3.00%
- 2021: 3.50%
- 2022: 4.00%
- 2023: 4.50%
- 2024 - 2025: 5.00%
2. Monthly Salary Cap Adjustments
The salary ceiling for computing contributions increases each year, ensuring higher-income earners contribute more. The cap started at P50,000 in 2019 and will reach P100,000 by 2024.
For example:
- In 2019, those earning P50,000 and above paid a maximum P1,375 per month.
- By 2024, those earning P100,000 and above will pay P5,000 per month.
Why the Increase?
PhilHealth's adjustment aligns with the UHC law’s goal of expanding healthcare benefits and ensuring financial sustainability. The higher contributions will help fund:
✅ Expanded benefit packages
✅ Improved medical services
✅ Universal health coverage for Filipinos
Who Will Be Affected?
These changes apply to direct contributors, including:
🔹 Employees (public & private sector)
🔹 Self-employed individuals
🔹 Overseas Filipino Workers (OFWs)
🔹 Professionals and freelancers
How to Compute Your New Contribution
The monthly contribution is calculated as:
For employees, half is paid by the employer, and half is deducted from the employee’s salary. Self-employed individuals and voluntary members pay the full amount.
Final Thoughts
While the increase in PhilHealth contributions may seem burdensome, it plays a vital role in strengthening the healthcare system in the Philippines. As we move toward universal healthcare, these contributions ensure that quality medical services are accessible to more Filipinos.
💡 Stay updated and check your contribution details regularly to avoid penalties or lapses in coverage!
What are your thoughts on these changes? Share your insights in the comments! 🚑💙