FIFTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
) 
SENATE 
S. B. No. 2876 
'11 
JUN -8 P 6 :17 
IUX'ElliEO HY:~ 
INTRODUCED BY SENATOR ALAN PETER "COMPANERO" S. CAYETANO 
EXPLANATORY NOTE 
Time and again, we hear of sad stories of patients who lose their life savings due to 
illnesses and diseases. By the same token, there are also many who braved long queues in 
the offices of politicians, the Department of Social Welfare and Development, and other 
charitable institutions in order to beg for needed funds to cover for their hospitalization 
expenses. Those who fail to secure such funds only pray for a miracle to happen. 
Section 11, Article 13 of the 1987 Constitution provides that, "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. 
Priority for the needs of the underprivileged, sick, elderly, disabled, women and other children 
shall be recognized. Likewise, it shall be the policy of the State to provide free medical care to 
paupers." It is the avowed mandate of the State to provide health services especially to the 
needy, the indigents who can ill afford their hospitalization expenses. 
This bill provides for the creation of an indigent medical fund to be administered by the 
Department of Health to pay for the medical expenses of indigent patients in public hospitals, 
which the latter could not afford. To augment such indigent medical fund, local government 
units are authorized to supplement the fund even as it encourages private individuals to donate 
to such fund. 
In view of the foregoing, the immediate passage of this bill is earnestly sought. 
SENATOR AL~('N.-PElrER "CC)MP'ANIERt)-ll. S. CAYETANO 


FIFTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
) 
SENATE 
S. B. No. 2876 
"11 
JUN -8 P 6 :17 
INTRODUCED BY SENATOR ALAN PETER "COMPANERO" S. CAYETANO 
AN ACT 
PROVIDING FOR AN INDIGENTS MEDICAL ASSISTANCE FUND IN EVERY REGIONAL 
OFFICE OF THE DEPARTMENT OF HEALTH FOR THE BENEFIT OF INDIGENT PATIENTS 
IN PUBLIC HOSPITALS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
Section 1. Title. This Act shall be known as the "Indigents Medical Assistance Fund 
Act of 2011" 
Section 2. Declaration of Policy.- Pursuant to 
the Constitutional mandate under 
Section 15, Article II to protect and promote the right to health of the people and to instill health 
consciousness among them, it is hereby declared a policy of the State to provide for a fund for 
indigent patients to cover their medical expenses in public hospitals. 
Section 3. Definition of Terms. - For purposes of this Act, the following shall mean: 
(a) 
Indigents - shall mean those patients in public hospitals who have no income or 
property sufficient and available to cover their hospitalization expenses, including 
professional fees and medicines. 
(b) 
Regional Office - shall mean the regional office of the Department of Health 
(c) 
Public Hospital - shall mean such hospitals, special hospitals, medical centers 
and institutes for disease prevention and control, which are administered and managed 
by the DOH, State Universities and Colleges and the different local government units. 
Section 4 .. Indigents Medical Fund.- The amount of at least ONE BILLION PESOS 
(PhP 1,000,000,000.00) is hereby set aside annually to finance the Indigents Medical Fund. 
The said fund shall be administered by the Department of Health (DOH) and equitably 
distributed among each of its Regional Offices and DOH-managed ·Hospitals, Special 
Hospitals, Medical Centers and Institutes for Disease Prevention and Control. 
Section 
5. 
Beneficiaries and Benefits Package. -
The Fund mentioned in the 
preceding section shall be used for the sole benefit of indigent patients in public hospitals and 
shall broadly cover hospitalization expenses, including professional fees and medicines, of the 
said patients, subject to the limitations specified in this Act or as may be determined by its 
implementing rules and regulations. 
Specifically, the fund shall pay for the following categories of personal health services 
granted to an indigent patient as medically necessary or appropriate and shall include: 
a) Inpatient hospital care: 
1) room and board; 
2) services of health care professionals; 
3) diagnostic, laboratory, and other medical examination services; 
4) use of surgical or medical equipment and facilities; 
5) prescription drugs and biologicals; subject to the limitations stated in the 
implementing rules and regulations of this Act; 
6) emergency and transfer services 


b) Outpatient care: 
1) services of health care professionals; 
2) diagnostic, laboratory, and other medical examination services; 
3) personal preventive services; and 
4) prescription drugs and biologicals, subject to the limitations stated in the 
Implementing rules and regulations of this Act; 
Section 6. Practicable Access to the Fund. In principle, the Department of Health 
(DOH), in coordination with the Department of Social Welfare and Development (DSWD), shall 
ensure the equitable and practicable access to the Fund by providing for a mechanism wherein 
the indigent patients could benefit from the fund with the least possible requirements and the 
earliest opportunity. 
Towards this end, the Department of Health (DOH), in consultation and proper 
coordination with the Department of Social Welfare and Development (DSWD), the Department 
of Interior and Local Government (DILG), and non-governmental organizations and other 
agencies deemed necessary to consult, shall issue the Implementing Rules and Regulations 
(lRR) within ninety (90) days after the approval of this Act. 
Section 7. Authority of Local Government Units. -
Notwithstanding any law or 
executive issuances to the contrary, this Act authorizes all local government units to augment 
the funding and/or provide any form of support to the Indigents Medical Fund. 
Section 8. Private Sector Donations. - Exclusively for the purpose of augmenting the 
Indigents Medical Fund, the DOH is hereby authorized to accept donations subject to auditing 
procedures of the Commission on Audit. 
Donations of real and personal properties of all kinds from private persons shall be 
exempt from the donor's tax and the same shall be conSidered as allowable deductions from 
the gross income of the donor, in accordance with the provisions of the National Internal 
Revenue Code of 1997, as amended: Provided, that the allowable deductions shall be 
equivalent to 200 percent of the value of such donation. 
Section 9. Separability clause. - If, for any reason, any part or provision of this Act is 
declared invalid or unconstitutional, the remaining parts or provisions not affected thereby shall 
remain in full force and effect. 
Section 10. Repealing clause. - All laws, presidential decrees and executive orders 
contrary to or inconsistent with this Act are hereby repealed or amended accordingly. 
Section 11. 
Effectivity. -
This Act shall take effect fifteen (15) days following its 
publication in at least two (2) newspapers of general circulation. 
Approved,