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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

6698
HOUSE BILL No.

Introduced by
BAYAN MUNA Representatives FERDINAND R. GAITE,
CARLOS ISAGANI T. ZARATE and EUFEMIA C. CULLAMAT,
ACT TEACHERS Party-List Representative FRANCE L. CASTRO,
GABRIELA Women’s Party Representative ARLENE D. BROSAS
and KABATAAN Party-List Representative SARAH JANE I. ELAGO

AN ACT
PROVIDING FOR VOLUNTARY MEMBERSHIP OF OVERSEAS FILIPINOS
IN THE NATIONAL HEALTH INSURANCE PROGRAM, AMENDING FOR THE
PURPOSE REPUBLIC ACT NO. 11223, OTHERWISE KNOWN AS THE
UNIVERSAL HEALTH CARE ACT, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

On April 2, 2020, PhilHealth issued Circular No. 2020-0014, mandating that Overseas Filipinos
‘with income amounting from P10,000 to P20,000 will be required to pay 3% of their annual
‘alates. This is a premium rate increase from 2.75 percent in 2019, and will increase every Yat by
0.5% points until it reaches the target 5% by 2024, This is in consonance with the Universal Health
Care Act or RA 11223 which was enacted in 2019.

Further, the Circular mandates that members who fail to pay the premium in time "shall be
required to pay all missed contributions with monthly compound interest”.

Ina Joint Position Statement signed by about 200 Filipino Migrant Groups, Filipino oversee
opposed the mandatory collection of PhilHealth premium increase, An online petition against the
mandatory premium increase was able to gather more than 400,000 signatures.

Migrant workers particularly oppose the additional burden through the PhilHealth premium.
Cectributions which form part of the state exactions levied on overseas Filipinos. Overseas
Filipinos are also doubly charged because they are being made to shoulder the employers) share.

Most overseas Filipinos are already covered by existing health insurance and healthcare programs
in their respective host countries. PhilHealth significantly lacks accredited hospitals abroad for
Filipinos to avail of its program and services. These make the mandatory PhilHealth coverage
useless and redundant.

“The migrant groups also condemn the inclusion of the payment of PhilHalth premium 28
requirement for the mandatory Overseas Employment Certificate. This is contrary r0 the campaign
promise of President Rodrigo Duterte that he will remove the OEC requirement,


Due to the uproar from OFWs and other overseas Filipinos worldwide, the Philippine government
was forced to announce the suspension of the premium increase. President Duterte ordered that
PhilHlealth premium shall be “voluntary”. But many overseas Filipinos are still indignant as they
see that such are only meant to silence their protests. An enabling law is also necessary to make
OFW membership in PhilHealth voluntary.

In the time of COVID-19 pandemic, when people all over the world are getting sick and suffering
the socio-economic impact of the pandemic, itis unjust and inhumane to ever consider burdening
the overseas Filipinos and other sectors of the society with additional payments and exactions.

Suspending the Phillealth premium increase only temporarily relieves the overseas Filipinos of
the additional burden, There is a need to truly unburden the overseas Filipinos by allowing
voluntary membership, removing the “double” payment, compounded interest for unpaid
premium, and unjust premium increases by amending certain provisions of the Universal Health
Care Law.

For the interest and welfare of our overseas Filipinos, the approval of this bill is earnestly sought.

Approved,
REP. INAND R. GAITE
Bayan Muna Partylist
REP. GARI Rane YT. ZARATE REP. ?
Bayan Muna Partylist Bayan Muna Partylist
ICE L. CASTRO y D. BROSAS
(CT Teachers Partylist GABRIELA Women's Party
REP. S JANE I. ELAGO
Kabataan Parpylist


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL No. 6698

Introduced by
BAYAN MUNA Representatives FERDINAND R. GAITE,
CARLOS ISAGANI T. ZARATE and EUFEMIA C. CULLAMAT,
ACT TEACHERS Party-List Representative FRANCE L. CASTRO,
GABRIELA Women’s Party Representative ARLENE D. BROSAS
and KABATAAN Party-List Representative SARAH JANE I. ELAGO

AN ACT

PROVIDING FOR VOLUNTARY MEMBERSHIP OF OVERSEAS FILIPINOS
IN THE NATIONAL HEALTH INSURANCE PROGRAM, AMENDING FOR THE

PURPOSE REPUBLIC ACT NO. 11223, OTHERWISE KNOWN AS THE
UNIVERSAL HEALTH CARE ACT, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives ofthe Philippines in Congress assembled:

SECTION 1. Section 4 (f) of Republic Act No. 11223 shall be amended as follows:
Sec. 4 Definition of Terms - As used in this Act:
xxx

(© Direct contributors refer to those who have the capacity to pay
premiums, are gainfully employed and are bound by an employer-
employee relationship, o are self-earning, professional practitioners,
[MIGRANT WORKERS INCLUDING THEIR QUALIFIED
DEPENDENTS}, and lifetime members.

PROVIDED THAT, MIGRANT WORKERS AND OVERSEAS
FILIPINOS SHALL BE DIRECT CONTRIBUTORS ON
VOLUNTARY BASIS UNDER THIS ACT. PROVIDED
FURTHER, THAT THE EMPLOYER SHARE ON THEIR
PREMIUM SHALL BE COLLECTED WHENEVER
APPLICABLE. PROVIDED FINALLY, THAT OVERSEAS
FILIPINOS SHALL REFER TO LAND-BASED OFWS;
SEAFARERS AND OTHER SEA-BASED WORKERS;
FILIPINOS WITH DUAL CITIZENSHIP IN ACCORDANCE TO
REPUBLIC ACT 9225 OTHERWISE KNOWN AS THE
CITIZENSHIP RETENTION AND REACQUISITION ACT OF
2003; FILIPINOS LIVING ABROAD; OVERSEAS FILIPINOS IN


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DISTRESS; AND OTHER OVERSEAS FILIPINOS NOT
PREVIOUSLY CLASSIFIED ELSWHERE.

noe

SECTION 2. Section 9 of Republic Act No. 11223 shall be amended as follows:

Sec. 9 Entitlement to Benefits - Every member shall be granted
immediate eligibility for health benefit package under the Program;
Provided, that PhilHlealth Identification Card shall not be required in
the ailment of any health service; Provided, further, that no co-
payment shall be charged for services rendered in basic or ward
kccommodation; Provided, furthermore, that co-payments and co-
insurance for amenities in public hospitals shall be regulated by the
DOH and PhilHealth; Provided, finally, that the current PhilHealth
package for members shall not be reduced.

PhilHealth shall provide additional Program benefits for direct
contributors, where applicable; Provided, that failure to pay premiums
shall not prevent the enjoyment of any Program benefits; Provided,
further, that employers [AND SELF-EMPLOYED DIRECT
CONTRIBUTORS} shall be required to pay all missed contributions
with an interest, compounded monthly, of at least three percent (3%)
[FOR EMPLOYERS AND NOT EXCEEDING ONE AND ONE-
HALF PERCENT (1.5%) FOR SELF-EARNING,
PROFESSIONAL PRACTITIONERS, AND MIGRANT
WORKERS]

SECTION 3. Section 10 of Republic Act No. 11223 shall be amended as follows:

Sec. 10. Premium Contributions —

[FOR DIRECT CONTRIBUTORS, PREMIUM RATES SHALL
BE IN ACCORDANCE WITH THE FOLLOWING SCHEDULE,
‘AND MONTHLY INCOME FLOOR AND CEILING:

Premium Income Income
Rate Floor Ceiling
2.75% P 10,000 50,000
3.00 % P 10,000 * P60,000
3.50% P 10,000 70,000
4.00 % P 10,000 P80,000
450% P 10,000 90,000
5.00 % P 10,000 100,000
5.00 % P 10,000 100,000

FOR DIRECT CONTRIBUTORS, PREMIUM RATES SHALL BE
FIXED AND ADJUSTED FROM TIME TO ‘TIME THROUGH
ENACTMENT OF CONGRESS, TAKING INTO


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CONSIDERATION ACTUARIAL CALCULATIONS, RATE OF
BENEFITS, AND THE CAPACITY OF THE MAJORITY OF
CONTRIBUTORS TO PAY.

Provided, that for indirect contributors, premium subsidy shall be
gradually adjusted and included annually in the General
‘Appropriations Act (GAA): Provided, further, that the funds shall be
released to PhilHealth: Provided, furthermore; that the DOH, in
coordination with PhilHealth, may request Congress to appropriate
supplemental funding to meet targeted milestones of this Act:
Provided, finally, that for every increase in the rate of contribution of
direct contributors and premium subsidy of indirect contributors,
PhilHealth shall provide for a corresponding increase in benefits.

SECTION 4. Repealing Clause - All laws, decrees, executive orders and other presidential
Reuances which are inconsistent with this Act are hereby repealed, amended or modified

accordingly.

SECTION 5. Separabilty Clause. - Ifany provision of this Act is declared invalid, the remainder
of any provision hereof not affected thereby shall remain in force and effect.

SECTION 6. Effectivity - This Act shall take effect fifteen days (15) after its publication in the
Official Gazette or in any newspaper of general circulation.

Approved,