PhilHealth reaps P3.4-B cash surplus

The Philippine Health Insurance Corporation (PhilHealth) has confirmed gaining cash surplus of P3.4 billion in the first five months of the year after it posted a P4.75-billion net loss in 2017.

The state agency said that its current cash position is “enough guarantee that it has the liquidity to pay its obligations to accredited providers serving its members” after concerns were raised over its funds sustainability.

As of May, PhilHealth acting President and CEO Roy Ferrer said the agency has a cash funding of P36.9 billion which came from the positive beginning balance of P33.5 billion, and the additional net cash inflow of P3.4 billion as of May 31, 2018, due to fresh premium payments.

Within the first five months of 2018, PhilHealth recorded a cash inflow of P54.7 billion according to Ferrer.

Its cash outflow totaled P51.3 billion – which is composed of paying benefit claims amounting to P38.4 billion. Operating expenses meanwhile stood at P2.3 billion.

Ferrer also said that Philhealth is not in shaky financial standing as it continues to introduce new health packages with its surplus funds.

“It is common sense,” he said.

The agency recently launched new health packages for children with disabilities and its indigent members.

In its 2017 audit report, the Commission on Audit raised concerns on PhilHealth’s sustainability of funds after it posted a net loss from operations pegged at P4.750 billion. /je