TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
S. No.
SENATE 
1220
Senate
of tl)f fefcrrtarjp
25 AUG 20 A10 51
RECEIVED lY:
Introduced by SENATOR CAMILLE A. VILLAR
AN ACT
STRENGTHENING THE PHILIPPINE HEALTHCARE SYSTEM TO ACHIEVE 
EFFICIENCY, EQUITY AND INCLUSIVITY, AND TO IMPROVE PUBLIC 
HEALTH EMERGENCY PREPAREDNESS, AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 11223, OTHERWISE KNOWN AS THE "UNIVERSAL 
HEALTH CARE ACT"
EXPLANATORY NOTE
Article II, Section 9 of the 1987 Philippine Constitution provides: "The State 
shall promote a just and dynamic social order that will ensure the prosperity and 
independence of the nation and free the people from poverty through policies that 
provide adequate social services, promote full employment, a rising standard of living, 
and an improved quality of life for all."
Article II, Section 15, also provides: "The State shall protect and promote the 
right to health of the people and instill health consciousness among them," while 
Article XIII, Section 11 articulates: "The State shall adopt an integrated and 
comprehensive approach to health development which shall endeavor to make 
essential goods, health and other social services available to all the people at 
affordable cost. There shall be priority for the needs of the underprivileged sick, 
elderly, disabled, women, and children. The State shall endeavor to provide free 
medical care to paupers."


While the fundamental law mandates the State to ensure equitable access to 
health care and improve the quality of life through comprehensive social services, the 
implementation of such ideals, particularly under Republic Act No. 11223 or the 
Universal Health Care (UHC) Act, still faces serious gaps.
The principle of universal access should not only focus on availability but also 
on affordability, adequacy, and responsiveness. The situation where the Philippine 
Health Insurance Corporation (PhilHealth)—the primary health insurer—offers limited 
coverage that leaves patients burdened with massive out-of-pocket costs contradicts 
the spirit of the UHC law and the Constitution's health and social justice provisions.
Moreover, the presence of a substantial reserve fund—peaking at P600 billion— 
calls into question the prioritization of institutional wealth preservation over responsive 
service delivery. The discrepancy between the scale of need and the size of coverage 
suggests a structural imbalance that undermines the true goals of universal health 
care.
Thus, this proposed measure not only addresses financial burdens by reducing 
premium contribution rates but also promotes indusivity by removing barriers for 
migrant workers, overseas Filipinos, and dual citizens. Yet beyond reducing 
fees, greater transparency, oversight, and allocation of funds to frontline health 
services and hospitalization support must be equally prioritized. Reform should not 
stop at contributions—it must extend to how healthcare Is delivered and who truly 
benefits.
To address these concerns, the proposed legislation seeks to standardize 
premium rates at 3.5% for all domestic PhilHealth members, a reduction from the 
current 5%. These rates will be revised annually based on actuarial data, subject to 
congressional review and approval through the budget process.
For overseas Filipino workers, including seafarers and land-based migrants, 
contributions will be calculated based on a predetermined minimum income, with the


r;
government subsidizing half of the amount. Distressed OFWs will not be penalized for 
unpaid contributions upon their return to the Philippines, and non-payment will not be 
grounds for denying Overseas Employment Certificates.
Furthermore, dual citizens and their qualified dependents will remain eligible 
for PhilHealth benefits regardless of their premium payment history.
Given the urgent need to improve the equity, efficiency, and reach of the 
country's health care system, the swift enactment of this bill is earnestly 
recommended.
CAMILLE A. VILLAR


TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE 
S. No.
Jennie
i'q
'©fficf o( tl)f
25 AUG 20 A10 51
RECEIVED BY;
Introduced by SENATOR CAMILLE A. VILLAR
AN ACT
STRENGTHENING THE PHILIPPINE HEALTHCARE SYSTEM TO ACHIEVE 
EFFICIENCY, EQUITY AND INCLUSIVITY, AND TO IMPROVE PUBLIC 
HEALTH EMERGENCY PREPAREDNESS, AMENDING FOR THE PURPOSE 
REPUBLIC ACT NO. 11223, OTHERWISE KNOWN AS THE "UNIVERSAL 
HEALTH CARE ACT"
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
1 
SECTION 1. Section 4 of Republic Act No. 11223, otherwise known as the
2 
"Universal Health Care Act", is hereby amended to read as follows:
3
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"SEC. 4. Definition of Terms. - As used in this Act:
5 
(a) Abuse of authority- xxx;
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(b) Amenities- xxx;
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(c) Basic or ward accommodation - xxx;
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(d) BENEFIT-RISK ASSESSMENT OR EVALUATION REFERS TO A
9 
METHOD OF EVALUATING THE USEFULNESS OF A DRUG FOR A
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SPECIFIC INDICATION, TAKING INTO ACCOUNT THE BENEFITS AND
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RISKS ASSOCIATED WITH THAT DRUG UNDER NORMAL CONDITIONS
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OF USE;
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(e) Co-insurance-XYX)
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(f) Co-payment- xxx
1


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(G) DEPENDENTS OF A MEMBER REFER TO:
(1) THE LEGITIMATE SPOUSE WHO IS NOT A MEMBER;
(2) THE TWENTY-ONE (21) YEARS OF AGE AND BELOW WHO ARE 
UNMARRIED AND UNEMPLOYED, LEGITIMATE, LEGITIMATED, 
ILLEGITIMATE, ACKNOWLEDGED CHILDREN AS APPEARING IN THE 
BIRTH CERTIFICATE, LEGALLY ADOPTED, OR STEPCHILDREN, OR 
CHILDREN OF SOLO AND FOSTER PARENTS;
Direct contributors - xxx;
(I) Emergency- xxx;
(3) Entitiement- xxx;
Hi)} (K) EQUITY AND INCLUSIVITY REFER TO THE FAIR AND JUST 
OPPORTUNITY TO BE AS HEALTHY AS POSSIBLE. IT ALSO REFERS TO 
REDUCING AND ULTIMATELY ELIMINATING DISPARITIES IN 
HEALTH AND IN THE DETERMINANTS OF HEALTH THAT ADVERSELY 
AFFECT EXCLUDED OR MARGINALIZED GROUPS;
H+)} (M) Frauduient act- xxx;
Hm)] (N) Heaith care provider- xxx;
M(0) Heaith care provider network - xxx;
Ho)} (P) Heaith Maintenance Organization (HMO) - xxx;
Hp)} (Q) Heaith Technoiogy Assessment (HTA) refers to the systematic 
evaluation of properties, effects, or impact of health [relatccl] technologies H 
devices, medicines-,-vaec-inesT-procGdures and all other health-related systems
developed to solve a health problem and improve-quality of lives and health
outcomes,] utilizing a multidisciplinary process to evaluate [the] ITS 
CLINICAL, social, economic, [organizational] LEGAL, [and} ethical, AND 
COMPATIBILITY TO HEALTH SYSTEM issues [of a health-intervention or 
health—technology] TO INFORM POLICY-DECISION MAKING, 
ESPECIALLY ON HOW TO BEST ALLOCATE LIMITED FUNDS TO 
HEALTH INTERVENTIONS AND TECHNOLOGIES;
Hq)}(R) Indirect contributors- xxx;
(S) Individuai-basedheaith services- xxx;


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(T) MIGRANT WORKERS AND OVERSEAS FILIPINOS IN 
DISTRESS REFER TO OVERSEAS FILIPINOS WHO HAVE MEDICAL, 
PSYCHO SOCIAL, OR LEGAL PROBLEMS REQUIRING TREATMENT, 
HOSPITALIZATION, COUNSELING, LEGAL REPRESENTATION, OR ANY 
OTHER KIND OF INTERVENTION BY THE AUTHORITIES IN THE 
COUNTRY WHERE THEY ARE FOUND;
(U) Population-based health services- xxx;
(V) Primary care - xxx;
(W) Primary care provider- xxx;
(X) Private health insurance refers to coverage of a defined set of health 
services financed through private payments in the form of a premium to the 
insurer; [and}
(Y) REAL-WORLD EVIDENCE REFERS TO CLINICAL EVIDENCE ON A 
MEDICAL PRODUCT'S SAFETY AND EFFICACY THAT IS GENERATED 
USING SEVERAL SOURCES OF DATA, INCLUDING ELECTRONIC 
HEALTH RECORDS, REGISTRIES, CLAIMS/BILLING DATA, AND 
PATIENT-GENERATED DATA INCLUDING THOSE FROM MOBILE 
HEALTH APPLICATIONS AND WEARABLE DEVICES; AND
[(v)} (Z) Unethical act. - xxx."
SEC. 2. Section 9 of Republic Act No. 11223 is hereby amended to read as 
follows:
"SEC. 9. Entitlement to Benefits. - Every member shall be granted 
immediate eligibility for health benefit package under the Program: Provided, 
That PhilHealth Identification Card shall not be required in the availment of any 
health service: Provided, further. That no co-payment shall be charged for 
services rendered in basic or ward accommodation: 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.


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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%) SIMPLE 
INTEREST MONTHLY for self-earning, professional practitioners, and migrant 
workers."
SEC. 3. Section 10 of Republic Act No. 11223 is hereby amended to read 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:
Year
Premium Rate
Income Floor
Income Ceiling
2019
2.75%
P10,000.00
P50,000.00
2020
3.00%
P10,000.00
P60,000.00
2021
3.50%
P10,000.00
P70,000.00
2022
4.00%
P10,000.00
P80,000.00
2023
4.50%
PIO,000.00
P90,000.00
2024
5.00%
PIO,000.00
P100,000.00
2025
5.00%
PIO,000.00
P100,000.00
PREMIUM CONTRIBUTIONS FOR DIRECT AND INDIRECT 
CONTRIBUTORS SHALL BE DERIVED FROM ACTUARIALLY-AD3USTED 
RATES, CONSIDERING BUT NOT LIMITED TO THE PROJECTED 
HEALTHCARE UTILIZATION, COST TRENDS, AND DEMOGRAPHIC AND 
ECONOMIC FACTORS. FOR THIS PURPOSE, AN ANNUAL ACTUARIAL 
REPORT SHALL BE CONDUCTED BY PHILHEALTH AND SUBMITTED TO 
CONGRESS: PROVIDED, THAT A NON-GOVERNMENT, IMPARTIAL, 
AND CREDIBLE INDEPENDENT BODY TO BE DETERMINED BY THE


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UNIVERSAL HEALTH CARE COORDINATING COUNCIL (UHC-CC), 
ESTABLISHED UNDER SECTION 10 OF THIS ACT SHALL REVIEW THE 
ANNUAL ACTUARIAL REPORT PRIOR TO ITS SUBMISSION TO 
CONGRESS TO ENSURE TRANSPARENCY AND ACCURACY IN THE 
FINDINGS.
THE ACTUARIALLY-AD3USTED PREMIUM RATES, AS 
DETERMINED BY THE ANNUAL ACTUARIAL REVIEW, SHALL BE 
SUBJECT TO THE APPROVAL OF CONGRESS, AS AN INTEGRAL PART 
OF THE BUDGET PROCESS: PROVIDED, THAT THE PREMIUM RATE 
SHALL BE SET AT THREE AND ONE-HALF PERCENT (3.5%), AND THE 
PREMIUM FLOOR AND PREMIUM CEILING SHALL REMAIN THE SAME 
UNTIL THE ACTUARIAL REVIEW HAS BEEN SUBMITTED AND 
APPROVED BY CONGRESS, PRIMARILY FOR BENEFITS EXPANSION 
AND SOCIAL SOLIDARITY CONSIDERATIONS: PROVIDED, FURTHER, 
THAT UPON LEGISLATIVE APPROVAL, ADJUSTMENTS TO PREMIUM 
RATES SHALL BE IMPLEMENTED AT THE COMMENCEMENT OF THE 
FOLLOWING FISCAL YEAR.
FOR MIGRANT WORKERS, PREMIUM CONTRIBUTIONS SHALL 
BE BASED ON THE INCOME FLOOR: PROVIDED, THAT FIFTY PERCENT 
(50%) OF THE PREMIUM CONTRIBUTION OF MIGRANT WORKERS 
SHALL BE SHOULDERED BY THE NATIONAL GOVERNMENT: 
PROVIDED, FURTHER, THAT EMPLOYERS OF SEAFARERS, THROUGH 
THE LOCAL MANNING AGENCIES, SHALL CONTINUE TO SHOULDER 
FIFTY PERCENT (50%) OF THE PREMIUM CONTRIBUTION OF THE 
SEAFARERS: PROVIDED, FURTHERMORE, THAT EMPLOYERS OF 
LAND-BASED MIGRANT WORKERS SHALL SHOULDER FIFTY PERCENT 
(50%) OF THE PREMIUM CONTRIBUTION OF SAID MIGRANT 
WORKERS: PROVIDED, FURTHERMORE, THAT UNPAID PREMIUM 
CONTRIBUTIONS OF MIGRANT WORKERS AND OVERSEAS FILIPINOS 
IN DISTRESS UNDER REPUBLIC ACT NO. 8042, OTHERWISE KNOWN


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AS THE 'MIGRANT WORKERS AND OVERSEAS FILIPINOS ACT OF 
1995', AS AMENDED BY REPUBLIC ACT NO. 10022, SHALL NOT BE 
COLLECTED UPON THEIR ARRIVAL IN THE COUNTRY: PROVIDED, 
FINALLYfJHkl FAILURE TO PAY PHILHEALTH CONTRIBUTION SHALL 
NOT BE A GROUND FOR THE NON-ISSUANCE OF AN OVERSEAS 
EMPLOYMENT CERTIFICATE OF A MIGRANT WORKER.
FILIPINOS WITH DUAL CITIZENSHIP (FDC), OR THOSE WHO 
HAVE RETAINED AND RE-ACQUIRED FILIPINO CITIZENSHIP BY 
VIRTUE OF REPUBLIC ACT NO. 9225, OR THE 'CITIZENSHIP 
RETENTION AND RE-ACQUISITION ACT OF 2003', MAY ENJOY THE 
BENEFITS PROVIDED BY THE STATE HEALTH INSURER: PROVIDED, 
THAT FAILURE TO PAY PREMIUMS SHALL NOT PREVENT THE FDC AND 
THEIR LEGAL DEPENDENTS FROM ENJOYING ANY PROGRAM 
BENEFIT.
{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, 
further[more:][W\'dii the DOH, in coordination with PhilHealth, may request 
Congress to appropriate supplemental funding to meet targeted milestones of 
this Act: Provided, [finally] FUR THERM ORE, 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: 
PROVIDED, FINALL Y, THAT ANY UNUSED PORTION OF THE PREMIUM 
SUBSIDY OF INDIRECT CONTRIBUTORS SHALL BE USED 
EXCLUSIVELY FOR AN INCREASE IN BENEFITS OR DECREASE IN 
FORTHCOMING PREMIUM SUBSIDIES, THE PROVISIONS OF 
EXISTING LAWS TO THE CONTRARY NOTWITHSTANDING."
SEC. 4. Section 11 of Republic Act No. 11223 is hereby amended to read as
follows:


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"SEC. 11. Program Reserve Funds. - PhilHealth shall set aside a portion of its
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accumulated revenues AS MENTIONED IN SECTION 37 OF THIS ACT AND ANY
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OTHER INCOME FROM ANY SOURCE not needed to meet the cost of the current
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year's expenditures as reserve funds: Provided, That the total amount of reserves shall
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not exceed a ceiling equivalent to the amount actuarially estimated for two (2) years'
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projected Program expenditures: Provided, further, That whenever actual reserves
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exceed the required ceiling at the end of the fiscal year, the excess of the PhilHealth
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reserve fund shall be used to increase the Program's benefits and to decrease the
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[amount -of members' contributions] PREMIUM CONTRIBUTION RATES OF
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MEMBERS: PROVIDED, FINALLY, THAT THE DOH AND PHILHEALTH SHALL
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INCLUDE A MECHANISM FOR LOWERING PREMIUM CONTRIBUTION IN THE
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IMPLEMENTING RULES AND REGULATIONS OF THIS ACT.
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XXX
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(a) XXX
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(b) XXX
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(c) XXX
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(d) XXX
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(e) XXX
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(0 bonds, securities, promissory notes, or other evidences of indebtedness
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of accredited and financially sound [medical] GOVERNMENT FINANCIAL
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institutions exclusively to finance the construction, improvement and
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maintenance of hospitals and other medical facilities, INCLUDING
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PURCHASE AND MAINTENANCE OF CLINICAL EQUIPMENT AND
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DEVICES: Provided, That such securities and instruments shall be guaranteed
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by the Republic of the Philippines or the issuing [medical] GOVERNMENT
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FINANCIAL institution and the issued securities are both rated triple 'A' by
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authorized accredited domestic rating agencies: Provided, further, That said
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investments shall not exceed ten percent (10%) of the total reserve fund; and


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(g) In debt instruments and other securities traded in the secondary markets
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with the same intrinsic quality as those enumerated in paragraphs (a) to (e)
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hereof, subject to the approval of the PhilHealth Board.
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[No portion of the reserve fund or income thereof shall accrue to tho goncral
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fund of thc-National Government or to any of its agcncics or-instrumcntalitics,
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mcluding government-owned or—controlled corporations.]
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As part of its investments operations, PhilHealth may hire institutions
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with valid trust licenses as its external local fund managers to manage the
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reserve fund, as it may deem appropriate, through public bidding. The fund
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manager shall submit an annual report on investment performance to
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PhilHealth.
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Xxx
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The PhilHealth shall manage the supplemental benefits fund to the
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minimum required to ensure that the supplemental benefit payments are
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secure.
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NOTWITHSTANDING ANY LAW TO THE CONTRARY, NO
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PORTION OF THE RESERVE FUND OR ANY FUND OR INCOME OF
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PHILHEALTH, INCLUDING THE PROVIDENT FUND UNDER SECTION
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16 (C) AND THE SPECIAL HEALTH FUND UNDER SECTION 20 OF THIS
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ACT, SHALL ACCRUE TO THE GENERAL FUND OF THE NATIONAL
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GOVERNMENT OR TO ANY OF ITS 
AGENCIES OR
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INSTRUMENTALITIES, INCLUDING GOVERNMENT-OWNED OR-
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CONTROLLED CORPORATIONS."
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SEC. 5. Section 12 of Republic Act No. 11223 is hereby amended to read as
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follows:
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"SEC. 12. Administrative Expense. - [No more than seven and one half-perc-efit
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(7.5%) of the actuaH total ■ premium collected- from direct and-indirect
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contributory members during the immediately preceding year shall be allotted
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for the administrative cost of implementing the Program.]


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THE PHILHEALTH IS AUTHORIZED TO CHARGE THE COSTS OF
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ADMINISTERING THE PROGRAM. SUCH COSTS MAY INCLUDE
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ADMINISTRATION, MONITORING, MARKETING AND PROMOTION,
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RESEARCH AND DEVELOPMENT, AUDIT AND EVALUATION,
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INFORMATION SERVICES, AND OTHER NECESSARY ACTIVITIES FOR
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THE EFFECTIVE MANAGEMENT OF THE PROGRAM. THE TOTAL
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ANNUAL COSTS FOR THESE SHALL NOT EXCEED SEVEN AND ONE-
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HALF PERCENT (7.5%) OF THE TOTAL REIMBURSEMENTS OR TOTAL
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COST OF HEALTH SERVICES PAID BY PHILHEALTH IN THE
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IMMEDIATELY PRECEDING YEAR."
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SEC. 6. Section 13 of Republic Act No. 11223 is hereby amended to read as
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follows:
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(a) XXX
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(b) The Secretary of Health shall be an ex-officio [nonvoting] VOTING
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Chairperson of the Board
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(c) XXX."
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SEC. 7. A new section is hereby added to Republic Act No. 11223, immediately
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after Section 16 thereof, to read as follows:
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"SEC. 16-A. - COMPETITION AND INNOVATION IN THE
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PHILHEALTH BENEFIT DELIVERY SYSTEM. - THE PHILHEALTH
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BENEFIT DELIVERY SYSTEM SHALL BE OPEN TO COMPETITION AND
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INNOVATION WHERE MANAGEMENT MAY ALLOW ALTERNATIVE
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SUPPLY ARRANGEMENTS SUCH AS PUBLIC, PRIVATE, OR CONSORTIA
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OF PUBLIC AND PRIVATE ENTITIES TO COMPETITIVELY BID FOR THE
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PROVISION OF PHILHEALTH BENEFITS TO SELECT MEMBERSHIP
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GROUPS: PROVIDED, THAT THE SELECTION OF MEMBERSHIP
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GROUPS MUST RESULT IN COST-EFFECTIVE BENEFIT SPENDING:
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PROVIDED, FURTHER, THAT THE ADMINISTRATIVE COSTS OF SUCH
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THIRD-PARTY PROVIDERS ARE INCLUDED IN THE OVERALL CAP
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LEGISLATED FOR THE PROGRAM: PROVIDED, FINALLY, THAT THE


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FOLLOWING SHALL BE KEY CONSIDERATIONS IN THE COMPETITIVE
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SELECTION OF BIDDERS:
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(I) MAXIMUM COVERAGE FOR A GIVEN PESO VALUE OF PREMIUM;
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(II) THE PROVIDER HAS A SUFFICIENT NETWORK 
OF OWN
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FACILITIES AND PARTNERS THAT CAN SUPPORT PORTABILITY OF
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BENEFITS; AND
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(III) CONCESSION PERIOD TO ALLOW PROVIDERS TO RECOVER
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INVESTMENTS."
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SEC. 8. Section 20 of Republic Act No. 11223 is hereby amended to read as
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follows:
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"SEC. 20. Special Health Fund. - The province-wide or city-wide health
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system shall pool and manage, through a special health fund, all resources
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intended for health services to finance population-based and individuai-based
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heaith services, health system operating costs, capital investments, and
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remuneration of [additional] health workers and incentives for ali health
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workers: PROVIDED, THAT COMPONENT CITIES AND MUNICIPALITIES
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MAY ESTABLISH AND/OR MAINTAIN THEIR OWN SPECIAL HEALTH
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FUNDS FOR THE SAME PURPOSE AS PROVIDED FOR IN THIS ACT:
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PROVIDED, FURTHER, THAT THE DOH, IN CONSULTATION WITH THE
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UHC COORDINATING COUNCIL, DBM, AND THE LGUS, SHALL
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DEVELOP GUIDELINES FOR THE USE OF THE SPECIAL HEALTH FUND."
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SEC. 9. Section 21 of Republic Act No. 11223 is hereby amended to read as
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follows:
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"SEC. 21. Income Derived from PhilHealth Payments. - All income derived from
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PhilHealth payments shall accrue to the Special Health Fund OF THE
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PROVINCE- WIDE OR CITY-WIDE HEALTH SYSTEMS AS ESTABLISHED
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OR MAINTAINED ABOVE: PROVIDED, THAT SUCH INCOME SHALL BE
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APPORTIONED BETWEEN AND AMONG THE VARIOUS SPECIAL
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HEALTH FUNDS ACCORDING TO A FORMULA TO BE DETERMINED BY
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THE UHC COORDINATING COUNCIL: PROVIDED, FURTHER, THAT ALL
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SPECIAL HEALTH FUNDS ARE to be allocated by the LGUs exclusively for 
the improvement of the LGU health system: Provided, FURTHERMORE, That 
PhilHealth payments shall be credited to the annual regular income (ARI) of the
LGU THAT OWNS THE HEALTH CARE INSTITUTION FOR WHICH IT IS 
DUE: PROVIDED, FINALLY, THAT HEALTH FACILITIES OPERATING AS 
LOCAL ECONOMIC ENTERPRISES (LEE) SHALL BE ALLOWED TO 
RETAIN THEIR INCOME DERIVED FROM PHILHEALTH AND THAT 
LGUS MAY CONTINUE TO SUBSIDIZE LEE."
SEC. 10. A new Section 30-A shall be inserted before Section 30 of Republic 
Act No. 11223, which shall in turn be renumbered to Section 30-B. The new Section 
30-A shall read as follows:
"SEC. 30-A. THE UNIVERSAL HEALTH CARE COORDINATING COUNCIL 
(UHC-CC). - THE UNIVERSAL HEALTH CARE COORDINATING 
COUNCIL IS HEREBY CREATED AS A NATIONAL GOVERNANCE BODY, 
WHICH SHALL INTENSIFY THE GOVERNMENT'S EFFORTS IN 
PURSUING THE DEVELOPMENT OF POLICIES, AS WELL AS 
UNDERTAKING PROGRAMS AND PROJECTS RELATING TO THE UHC. 
AS A NATIONAL GOVERNANCE BODY, IT SHALL EXPEDITE THE 
IMPLEMENTATION OF REPUBLIC ACT NO. 11223 OR THE UHC ACT AT 
THE NATIONAL AND SUBNATIONAL LEVELS AND PROVIDE A VENUE 
FOR POLICY DISCOURSE AND OPERATIONAL COLLABORATION 
AMONG RELEVANT AGENCIES AND ORGANIZATIONS. IT SHALL BE 
COMPOSED OF:
(a) 
THE SECRETARY OF HEALTH AS COUNCIL CHAIR;
(b) 
THE SECRETARY OF THE INTERIOR AND LOCAL GOVERNMENT AS 
COUNCIL CO-CHAIR; AND
(c) 
COUNCIL MEMBERS COMPRISED OF HEAD OFFICIALS OR THEIR 
DESIGNATED ALTERNATES FROM THE FOLLOWING AGENCIES AND 
ORGANIZATIONS:
(i) COMMISSION ON HIGHER EDUCATION (CHED);
(ii) DEPARTMENT OF BUDGET AND MANAGEMENT (DBM);


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(iii) DEPARTMENT OF EDUCATION (DEPED);
(iv) DEPARTMENT OF FINANCE (DOF);
(v) 
DEPARTMENT OF INFORMATION AND COMMUNICATIONS 
TECHNOLOGY (DICT);
(vi) DEPARTMENT OF LABOR AND EMPLOYMENT (DOLE);
(vii) 
DEPARTMENT OF SOCIAL WELFARE AND DEVELOPMENT 
(DSWD);
(viii) NATIONAL ECONOMIC AND DEVELOPMENT AUTHORITY 
(NEDA);
(ix) PHILIPPINE STATISTICS AUTHORITY (PSA);
(x) PHILIPPINE INSTITUTE FOR DEVELOPMENT STUDIES (PIDS);
(xi) PHILIPPINE HEALTH INSURANCE CORPORATION (PHILHEALTH);
(xii) PROFESSIONAL REGULATION COMMISSION (PRC);
(xiii) TECHNICAL EDUCATION AND SKILLS DEVELOPMENT 
AUTHORITY (TESDA);
(xiv) UNION OF LOCAL AUTHORITIES OF THE PHILIPPINES (ULAP); 
AND
(XV) UNIVERSITY OF THE PHILIPPINES MANILA - NATIONAL 
INSTITUTES OF HEALTH (UPM-NIH);
THE OFFICE OF THE PRESIDENT SHALL PROVIDE FURTHER 
DIRECTION TO ITS ESTABLISHMENT AND FUNCTION BY ISSUANCE 
OF AN EXECUTIVE ORDER.
THE SECRETARIAT OF THE UHC-CC SHALL BE DESIGNATED BY THE 
SECRETARY OF HEALTH FROM THE EXISTING PERSONNEL OF THE 
DOH. IT MAY BE COMPLEMENTED BY ADDITIONAL STAFF FROM 
PHILHEALTH.
THE ADMINISTRATIVE EXPENSES NECESSARY FOR THE FUNCTIONS 
OF THE UHC-CC SHALL BE DRAWN FROM THE PHILHEALTH 
CORPORATE OPERATING BUDGET."
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SEC. 11. Section 32 of Republic Act No. 11223 is hereby amended to read as 
follows:
"SEC. 32. Monitoring [and]/ Evaluation, AND ACCOUNTABILITY. -
(a) XXX
(b) XXX
(C) IN ADDITION TO AUDITS BY THE COMMISSION ON AUDIT (COA) 
AS MANDATED BY LAW AND RELEVANT REGULATIONS, PHILHEALTH 
SHALL BE SUBJECT TO EXTERNAL AUDIT AT LEAST ONCE EVERY 
FISCAL YEAR BY AN ACCREDITED PRIVATE-SECTOR AUDITING FIRM 
TO BE IDENTIFIED BY THE UHC-CC; AND
(D) THE PHILHEALTH PRESIDENT AND CEO SHALL SUBMIT TO THE 
PHILHEALTH BOARD, THE PRESIDENT OF THE REPUBLIC OF THE 
PHILIPPINES, AND CONGRESS, A REPORT ON THE MEASURES TAKEN 
BY THE CORPORATION TO ADDRESS ISSUES RAISED IN AUDIT 
REPORTS BY THE COA AND IN THE THIRD-PARTY AUDIT."
SEC. 12. Section 34 of Republic Act No. 11223 is hereby amended to read as
follows:
"SEC. 34. Health Technology Assessment (HTA). - (a) The HTA process 
shall be institutionalized as a fair and transparent priority setting mechanism 
that shall be recommendatory to the DOH and PhilHealth for [the development 
of-policies and programs, regulation, and the determination of a range of
entitlements such as drugs, medicines, pharmaceutical-products, and-other-
devices—procedures and services] THE FINANCING OF A SPECIFIC 
HEALTH TECHNOLOGY USED AS A HUMAN INTERVENTION AS PART 
OF BENEFITS OR PROGRAM IMPLEMENTATION as provided for under 
this Act: Provided, That investments on any health technology or development 
of any benefit package by the DOH and PhilHealth shall be [based on the 
positive] INFORMED BY THE recommendations of the HTA: Provided, further. 
That despite having undergone the HTA process, all health technology, 
intervention or benefit package shall still be subjected to periodic review: 
Provided, furthermore. That a health technology assessment may be conducted
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as new evidence emerges which may have substantial impact on the initial 
coverage decision by the DOH or PhiiHealth: Provided, finally, That the HTA 
process shall adhere to the principles of ethical soundness, inclusiveness and 
preferential regard for the underserved, evidence-based and scientific 
defensibility, transparency and accountability, efficiency, enforceabiiity and 
avaiiability of remedies, and due process.
(b) The foiiowing criteria must be observed in the conduct of HTA:
(1) Responsiveness to DISEASE Magnitude, AND Severity [, and 
Equity]. - The health interventions must address the top medical conditions 
that place the heaviest burden on the population, including dimensions of 
magnitude or the number of people affected by a health problem, and severity 
or health loss by an individual as a result of disease, such as death, handicap, 
disability or pain, and conditions of the poorest and most vulnerable population;
(2) Safety and Effectiveness. - Each intervention must have undergone 
[Phase IV] APPROPRIATE clinical trial. [, and systematic-review and meta- 
analysis must be readily available.] The interventions must also not pose any 
harm to the users and health care providers IN CASES WHERE THE 
INTERVENTION MAY CAUSE HARM SUCH AS RADIATION DOSES, THE 
INTERVENTION MUST INCLUDE PRECAUTIONS OR MEASURES TO 
MINIMIZE THE RISK TO THE USER AND HEALTH CARE PROVIDERS.
ALL DRUGS MUST HAVE UNDERGONE PHARMACOVIGILANCE 
STUDIES SUCH AS BUT NOT LIMITED TO PHASE IV CLINICAL TRIAL 
OR REAL-WORLD EVIDENCE, AND THERE MUST BE A BENEFIT-RISK 
ASSESSMENT: PROVIDED, THAT FOR THE FOLLOWING HEALTH 
TECHNOLOGIES WHERE PHASE IV CLINICAL TRIALS MAY NOT BE 
CONSISTENTLY AVAILABLE, REAL-WORLD EVIDENCE, INCLUDING 
ALL RELEVANT AND DEPENDABLE SOURCES OF EVIDENCE SHALL BE 
CONSIDERED:
(i) TRADITIONAL MEDICINE;
(ii) PREVENTIVE AND PROMOTIVE HEALTH
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(iii) MEDICAL AND SURGICAL PROCEDURES;
(iv) CLINICAL EQUIPMENT AND DEVICES; AND
(v) DIGITAL AND OTHER HEALTH TECHNOLOGIES.
PROVIDED, THAT IN CASE OF A PANDEMIC OR UPON THE 
DECLARATION OF A STATE OF PUBLIC HEALTH EMERGENCY, THE 
REQUIREMENT FOR POST MARKETING SURVEILLANCE STUDIES FOR 
DRUGS AND VACCINES MAY BE DISPENSED WITH: PROVIDED, 
FURTHER, THAT SUCH DRUGS OR VACCINES RECEIVE EMERGENCY 
USE AUTHORIZATION (EUA) FROM THE FOOD AND DRUG 
ADMINISTRATION WHILE THE RESULTS OF RANDOMIZED TRIALS, 
WHETHER PRELIMINARY OR FINAL RESULTS, ARE NOT AVAILABLE.
EACH INTERVENTION MAY BE ASSESSED FOR THE FOLLOWING:
(i) ETHICAL CONSIDERATIONS - SITUATIONS WHERE THE USE OR 
ABSENCE OF THE TECHNOLOGY MAY RUN COUNTER TO THE 
PRINCIPLE OF JUSTICE, EQUITY OR FAIRNESS OF HEALTHCARE 
SUCH AS RISKS OF THE TECHNOLOGY WITH RESPECT TO BASIC 
HUMAN RIGHTS;
(ii) LEGAL CONSIDERATIONS - LOCAL AND INTERNATIONAL LAWS 
CONCERNING REGULATION OF PARTICULAR HEALTH 
TECHNOLOGIES SUCH AS PATENT, MARKET ENTRY, OFF-LABEL USE, 
DATA PROTECTION, PRODUCT LIABILITY, PATIENT RIGHTS, 
DISEASE-SPECIFIC LAWS AND POLICIES; IMPACT OF DECISIONS TO 
OTHER EXISTING POLICIES;
(iii) 
SOCIAL IMPLICATIONS - CONSIDERATION OF PATIENT 
EXPERIENCE, PREFERENCES AND VALUES SUCH AS MORAL, 
RELIGIOUS AND CULTURAL; ACCOUNTING OF HEALTH DISPARITIES 
BASED ON ETHNICITY, AGE, GENDER IDENTITY, SEXUAL 
ORIENTATION, SOCIOECONOMIC STATUS, OR GEOGRAPHICAL 
LOCATION; AND
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XXX
(iv) HEALTH SYSTEM IMPLICATIONS - EFFECTS ON THE CURRENT 
HEALTH SYSTEM AND SERVICE DELIVERY; CHANGE IN CLINICAL 
PRACTICE GUIDELINES AND IMPACT TO THE VARIATION IN 
PRACTICE; INFRASTRUCTURE AND HUMAN RESOURCE NEEDS; 
HEALTH SYSTEM ISSUES THAT MAY IMPACT ACCESS TO THE 
TECHNOLOGY.
(c) The HTAC, to be composed of health experts, shall be [created within 
the DOH] CONSTITUTED WITHIN THE DOST and supported by a 
Secretariat and a Technical Unit for Policy, Planning and Evaluation with 
evidence generation and validation capacity IN ITS TRANSITION INTO AN 
INDEPENDENT AGENCY 
ATTACHED 
TO THE DOST UPON
ESTABLISHMENT AND EFFECTIVE OPERATION UNDER THE DOH. The 
HTAC shail: (1) facilitate 
provision of financing and/or 
coverage
recommendations on health 
technologies to be financed by 
DOH and
PhilHeaith; (2) oversee and 
coordinate the HTA process with 
DOH and
PhilHealth; and (3) review and assess existing DOH and PhilHeaith benefit 
packages. [Within five (5) years after the establishment and effective-operation 
of the HTAC, it shall 38 transition into an independent entity scparatc-from the
DOH, attached to DOST].
(d) The HTAC shall conduct the HTA in accordance with the principles, 
criteria, and procedures of this Act and ensure that its process is transparent, 
conducted with reasonable promptness, and the result of its deiiberations is 
made pubiic. The HTAC shali consist of a core committee and subcommittees.
The core committee, which shall elect from among themselves its 
Chairperson, shall be composed of nine (9) voting members, namely: a public 
health epidemiologist; a health economist; an ethicist; a citizen's 
representative; a sociologist or anthropologist; a clinical trial or research 
methods expert; a clinical epidemiologist or evidence-based medicine expert; a 
medico-legal expert; and a public health expert.
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The subcommittees to be constituted shall include, among others: Drugs 
Vaccines, Clinical Equipment and Devices, Medical and Surgical Procedure, 
Preventive and Promotive Health Services, and Traditional Medicine, AND
DIGITAL AND OTHER HEALTH TECHNOLOGIES. Each subcommittee shall 
have a minimum of [one (1) and maximum of] three (3) [oen-votlng] members 
[fer-eaeh subcommittGe].
The HTAC may call upon technical resource persons from the DOH, 
PhilHealth, Food and Drug Administration (FDA), patient groups, [and dinical 
medicine] HTA-RELATED experts [as—regular resource persons]; and 
representatives from the private sector and health care providers as [by 
invitation] resource persons. THESE RESOURCE PERSONS, EXCEPT 
GOVERNMENT REPRESENTATIVES, SHALL RECEIVE AN 
HONORARIUM IN ACCORDANCE WITH EXISTING BUDGETARY LAWS, 
RULES AND REGULATIONS.
(e) The HTAC's core committee and subcommittee members shall be 
appointed by the Secretary of [Health] SCIENCE AND TECHNOLOGY 
FOLLOWING ITS TRANSITION FROM DOH INTO AN ATTACHED 
AGENCY UNDER DOST for a term of [thrco-(3)} FOUR (4) years except for 
the medico-legal expert, ethicist, and the sociologist or anthropologist who shall 
serve for a term of [four (4)] FIVE (5) years: Provided, That no member shall 
serve for more than three (3) consecutive terms: Provided, further. That the 
members of the HTAC AND ANY INVITED RESOURCE PERSONS, EXCEPT 
GOVERNMENT REPRESENTATIVES, shall receive an honorarium in 
accordance with existing [policies] BUDGETARY LAWS, RULES AND 
REGULATIONS; Provided, furthermore. That the DOH shall promulgate the 
nomination process for all HTAC members with a clear set of qualifications, 
credentials and recommendations from the sectors concerned[: Provided, 
finaiiy. That the Secretary of the DOST-shall appoint the members of the HTAC-
uporv-its-transltiorv-foto-an-att-achod agency under DOST]."
SEC. 13. Section 36 of Republic Act No. 11223 is hereby amended to read as
follows:
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"SEC. 36. Health Information System. - All health service providers and 
insurers shall each maintain a health information system consisting of 
enterprise resource planning, human resource information, electronic health 
records, and an electronic prescription log consistent with DOH standards, 
which shall be electronically uploaded on a regular basis through interoperable 
systems: Provided, That the health information system shall be developed and 
funded by the DOH and PhilHealth: Provided, further, That patient privacy and 
confidentiality shall at all times be upheld, in accordance with the Data Privacy 
Act of 2012.
PHILHEALTH SHALL MAINTAIN AN ELECTRONIC NATIONAL 
HEALTH RECORDS SYSTEM WHERE PATIENT DATA, INCLUDING ALL 
REQUESTED, ACTUALLY GRANTED, AND PAID CLAIMS AND BENEFITS 
SHALL BE STORED, AND MAY BE OBTAINED UPON REQUEST BY THE 
PATIENT. THE DICT SHALL PROVIDE SUPPORT IN DESIGNING A 
SECURE DATABASE WITH MECHANISMS FOR DETECTING PROBABLE 
FRAUD: PROVIDED, THAT THE DATABASE SHALL ABIDE BY THE 'ONE 
PATIENT, ONE-RECORD' PRINCIPLE."
SEC. 14. Section 38 of Republic Act No. 11223 is hereby amended to read as
follows:
"SEC. 38. Pena! Provisions. -
XXX
(F) ANY LGU OFFICIAL WHO MISAPPROPRIATES, DIVERTS, OR USES 
FUNDS ALLOCATED UNDER THIS ACT FOR NON-HEALTH RELATED 
EXPENDITURES, OR KNOWINGLY PERMITS SUCH MISUSE, SHALL BE 
SUBJECT TO THE FOLLOWING PENALTIES:
(1) A FINE OF NOT LESS THAN ONE HUNDRED THOUSAND PESOS 
(P100,000.00) AND NOT MORE THAN FIVE HUNDRED THOUSAND 
PESOS (P500,000.00) PER VIOLATION;
(2) IMPRISONMENT FOR A TERM OF NOT LESS THAN ONE (1) YEAR 
AND NOT MORE THAN SIX (6) YEARS; AND
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(3) DISQUALIFICATION FROM HOLDING ANY PUBLIC OFFICE FOR A
PERIOD OF NOT LESS THAN FIVE (5) YEARS.
SEC. 15. Non-diminution of Benefits. - Nothing in this Act shall be construed 
to eliminate or diminish any benefits or entitlements already granted to members of 
PhilHealth.
"SEC. 16. IMPLEMENTING RULES AND REGULATIONS. - THE DOH 
AND THE PHILHEALTH, IN CONSULTATION WITH THE UHC-CC, SHALL 
PROMULGATE THE NECESSARY RULES AND REGULATIONS FOR THE 
EFFECTIVE IMPLEMENTATION OF THIS ACT NO LATER THAN ONE HUNDRED 
TWENTY (120) DAYS UPON ITS EFFECTIVITY."
SEC. 17. Separabiiity Clause. - If any provision of this Act is declared invalid 
or unconstitutional, the remainder thereof not otherwise affected shall remain in full 
force and effect.
SEC. 18. Repealing Clause. - All laws, presidential decrees, executive orders, 
letters of instruction, proclamations, and administrative regulations that are 
inconsistent with the provisions of this Act are hereby repealed, amended, or modified 
accordingly.
SEC. 19. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,
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