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NINETEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
23 AUG 23 A10S5
SENATE
S. No. 2424
Introduced by Senator MANUEL "LITO" M. LAPID
AN ACT
INCREASING THE REPRESENTATION OF FILIPINO MIGRANT WORKERS IN 
THE BOARD OF DIRECTORS OF THE PHILIPPINE HEALTH INSURANCE 
CORPORATION TO TWO (2) PERMANENT MEMBERS, ONE EACH FOR LAND- 
BASED AND SEA-BASED FILIPINO MIGRANT WORKERS
EXPLANATORY NOTE
To institute a National Health Program (NHIP) for all Filipinos, Republic Act No. 
7875 was passed by Congress in 1995 for the purpose, and established the Philippine 
Health Insurance Corporation (PhilHealth) to administer the program. Its 
Implementing Rules and Regulations (PhilHealth Board Resolution No. 324-00) 
categorized Overseas Filipino Workers (OFWs) as 'individually-paying' voluntary 
members. This law also provided a seat in the corporation's Board of Directors 
representing the 'labor sector'.
In 2013, Republic Act No. 10606 was enacted amending RA 7875. In this law, 
the term 'migrant workers' was introduced and defined as 'documented or 
undocumented Filipinos who are engaged in a remunerated activity in another country 
of which they are not citizens'. It retained a permanent seat in the Board of Directors 
for the representative of what it now termed as 'Filipino migrant worker'. Then in 
2018, Republic Act No. 11223, also known as the 'Universal Health Care Law', was 
passed instituting universal health care for all Filipinos and prescribing reforms in the


health care system. Under this law, migrant workers were categorized as 'direct 
contributors' and their membership in the NHIP has become mandatory.
In 2021, the Philippine Statistics Authority reported that around 1.83 million 
Filipinos worked in various host countries around the world. Their economic 
importance to the country is underscored by their record-breaking USD 34.88 billion 
remittances in 2021, accounting for 8.9% of the country's Gross Domestic Product 
(GDP) in the same year. Of this amount, roughly 7 billion USD was contributed by sea- 
based OFWs.
Filipino seafarers or sea-based OFWs as distinguished from their land-based 
counterparts, is a critical segment of OFWs which offers invaluable services not only 
to the country's shipping industry but for most maritime companies around the world. 
According to the Philippine Overseas Empioyment Administration (POEA), 
around 229,000 Filipino seafarers are on board merchant shipping vessels and cruise 
ships around the world at any given time.
In recognition of the distinct and significant contributions of our Fiiipino 
seafarers or sea-based OFWs to the economy and to the nation, this bill proposes to 
increase the representation of Filipino migrant workers in the board of directors of the 
Philippine Health Insurance Corporation to two (2) permanent members, one for land- 
based OFWs and another for sea-based Filipino migrant workers, amending for the 
purpose Section 18 of Republic Act No. 7875, as amended by Republic Act No. 10606.
Representation is at the core of democratic processes and is the link between 
the representatives and the sectors or interests represented in ensuring that their true 
sentiments and preferences are adopted in the decision-making processes.
In view of the foregoing, early passage of this biii is earnestly requested.
MANUEL ';HT0" M.
Senator
LAPID


NINETEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE
s. No. 2424
of :
23 (\UG 23 AlO 55
Introduced by Senator Manuel "Lito" M. Lapid
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AN ACT
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INCREASING THE REPRESENTATION OF FILIPINO MIGRANT WORKERS IN
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THE BOARD OF DIRECTORS OF THE PHILIPPINE HEALTH INSURANCE
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CORPORATION TO TWO (2) PERMANENT MEMBERS, ONE EACH FOR LAND-
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BASED AND SEA-BASED FILIPINO MIGRANT WORKERS
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled:
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Section 1. Section 18 of Republic Act No. 7875, otherwise known as the
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'National Health Insurance Act of 1995', as amended by Republic Act No. 10606, is
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hereby further amended to read as follows:
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Section 18. The Board of Directors. -
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(a) Composition. - The Corporation shall be governed by a Board of 
Directors hereinafter referred to as the Board, composed of the following 
members:
The Secretary of Health;
The Secretary of Labor and Employment or a permanent representative;
The Secretary of the Interior and Local Government or a permanent 
representative;
The Secretary of Social Welfare and Development or a permanent 
representative;
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The Secretary of Social Welfare and Development or a permanent 
representative;
The Secretary of the Department of Finance (DOF) or a permanent 
representative;
The President and Chief Executive Officer (CEO) of the Corporation;
The SSS Administrator or a permanent representative;
The GSIS General Manager or a permanent representative;
The Vice Chairperson for the basic sector of the National Anti-Poverty 
Commission or a permanent representative;
The Chairperson of the Civil Service Commission (CSC) or a permanent 
representative;
A permanent representative of LAND-BASED Filipino migrant workers;
A PERMANENT REPRESENTATIVE OF SEA-BASED FILIPINO 
MIGRANT WORKERS
A permanent representative of the members in the informal economy;
A permanent representative of the members in the formal economy;
A representative of employers;
A representative of heaith care providers to be endorsed by their national 
associations of health care institutions and medicai heaith professionals;
A permanent representative of the elected local chief executives to be 
endorsed by the League of Provinces, League of Cities and League of 
Municipalities; and,
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An independent director to be appointed by the Monetary Board.


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The Secretary of Health shall be the ex officio Chairperson while the 
President and CEO of the Corporation shall be the Vice Chairperson of 
the Board."
(b) Appointment and Tenure. - Except for ex officio members, the other 
members of the Board shall be appointed by the President of the 
Philippines in accordance with the provisions of Republic Act No. 10149, 
otherwise known as the 'GOCC Governance Act of 2011': Provided, That 
sectoral board members shall be appointed by the President of the 
Philippines upon the recommendation of the Chairperson and after due 
consultations with the sectors concerned.
The term of office of the appointive members of the Board shall be in 
accordance with Republic Act No. 10149.
XXX
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Section 2. Repeaiing Ciause- All iaws, ordinances, rules, regulations, other 
issuances or parts thereof, which are inconsistent with this Act, are hereby repealed 
or modified accordingly.
Section 3. Effectivity Ciause. - This Act shall take effect fifteen (15) days after 
its publication in the Official Gazette or in a newspaper of general circulation.
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Approved,