1 
Republic of the Philippines 
House of Representatives 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. __________ 
Introduced by BHW PARTYLIST REP. ANGELICA NATASHA CO 
AN ACT 
ESTABLISHING THE GOVERNMENT VACCINE INDEMNIFICATION 
PROGRAM, PROVIDING FUNDS THEREFOR, AND FOR OTHER 
PURPOSES 
EXPLANATORY NOTE 
No less than the Constitution states that it is the policy of the State to protect 
and promote the right to health of the people and instill health consciousness among 
them.1 Further in Articles XIII, Section 12, on Social Justice and Human Rights on 
Health, declares that it is the responsibility of the State to  “establish and maintain an 
effective food and drug regulatory system and undertake appropriate health, 
manpower development, and research, responsive to the country's health needs and 
problems”. 
With these Constitutional mandate in mind, this measure proposes to 
institutionalize a government vaccine-related injury indemnification program to 
balance the need for social justice while recognizing the government’s obligation to 
ensure a sustainable supply of safe and cost-effective vaccines within a predictable 
regulatory environment.  
1 1987 Constitution. Article 2, Section 15. 
The State shall protect and promote the right to health of the people and instill health consciousness among 
them. 
July 8, 2022
3:23 pm
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This scheme is not without precedence.  Prior to the US Congress’ enactment of 
the National Childhood Vaccine Injury Act of 19862 that established the National 
Vaccine Injury Compensation Program, claimants for vaccines-related injuries’ only 
course of action was through the court system. Without a clear and predictable system 
of indemnification, vaccine manufacturers are constantly in a difficult predicament 
with ever-present potential exposure to lawsuits. Accordingly, the market had to 
contend with high prices, shortages and reduced investment in vaccine research. 
Furthermore, several small vaccine manufacturers left the market. 3 
In view of the societal benefits of having in place such a vaccine compensation 
scheme, several countries have implemented a variety of approaches as to the 
administration and funding, eligibility, process and decision-making, standard of 
proof, elements of compensation and litigation rights to this scheme. These countries 
include China, Japan, Taiwan and South Korea, as well as those in the European 
Union, notably Austria, Denmark, Sweden. Italy, Hungary, Iceland and Slovenia. 4 
To ensure the effective implementation of this Act, the bill proposes to create 
the Vaccines Compensation Board whose composition shall come from both the 
government and key players in the private healthcare sector.  This is in recognition of 
the Constitutional principle of promoting greater public-private collaboration by 
encouraging the participation of non-governmental, community-based, or sectoral 
organizations that promote the welfare of the nation.5 
                                                          
2 Cf. https://www.federalregister.gov/documents/2020/07/20/2020-15673/national-vaccine-injury-
compensation-program-revisions-to-the-vaccine-injury-table 
 
3 Cf.  Damage Payments Unit [Internet 
site] http://www.direct.gov.uk/en/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/Disabledpeopl
e/DG_10018714 
 
4 Cf. https://www.who.int/bulletin/volumes/89/5/10-081901/en/ 
 
5 1987 Constitution. Article 2, Section 23.  
The State shall encourage non-governmental, community-based, or sectoral organizations that promote the 
welfare of the nation. 


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The warnings and lessons from the current pandemic must be heeded. Putting 
in place a vaccine-related injury indemnification system that will be embedded in the 
public immunization program will help protect and compensate the most 
marginalized and vulnerable sectors of society from any unanticipated adverse events 
resulting from vaccination. Such a system will build mutual trust and foster closer 
collaboration among the relevant stakeholders within the healthcare ecosystem.  
Finally, having this vaccine-injury compensation scheme will remove 
apprehension and reluctance on the part of manufacturers and suppliers of ensuring 
adequate supply of vaccines over threats of possible court cases for liability and the 
associated negative media coverage. On the other hand, this system will provide a fair, 
efficient and predictable remedy for the injured parties.  
With the prospects of the availability and the eventual supply of essential 
vaccines in the country in response to the current pandemic by various pharmaceutical 
companies and the likely occurrence of similar public health crises in the future, there 
is an urgent necessity for government to anticipate valid concerns over the 
introduction and use of new vaccines. We must be prepared now.  
Hence, approval of this proposed measure is earnestly sought. 
Rep. Angelica Natasha Co 
BHW Partylist 


1 
Republic of the Philippines 
House of Representatives 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. __________ 
Introduced by BHW PARTYLIST REP. ANGELICA NATASHA CO 
AN ACT 
ESTABLISHING THE GOVERNMENT VACCINE INDEMNIFICATION 
PROGRAM, PROVIDING FUNDS THEREFOR, AND FOR OTHER 
PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
Sec. 1. Short Title. – This Act shall be known as the “Vaccine Indemnification 
Fund Act of 2020”. 
Sec. 2. Declaration of Policy. – It is the policy of the State to protect and 
promote the right to health of the people and instill health consciousness among them. 
Likewise, it is the State’s responsibility to establish and maintain an effective drug 
regulatory system and undertake appropriate policies that are responsive to the 
country's health needs and problems. 
Consistent with this Constitutional mandate, the State shall implement a 
system for vaccine-related injury indemnification to serve as a fair, efficient and stable 
mechanism for individuals to obtain compensation upon the occurrence of verified 
vaccine-related adverse events without need to attribute fault or negligence on vaccine 
manufacturers or supplier. This shall be the primary mode of compensation and as an 
alternative to long-drawn, expensive court litigations that constrain vaccine recipients 
from pursuing bona fide claims for vaccine-related injuries.  
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Sec. 3. Sources of the Fund – The Government Vaccine Indemnification 
Fund (the “Fund”) shall be subsidized by pharmaceutical companies that supply 
government with vaccines for public immunization programs. Pharmaceutical 
companies participating in public tenders and are awarded government contracts for 
the supply of such vaccines shall reserve least one percent (1%) of the contract price 
which shall form part of the Fund.  The reserved amount shall be deposited with the 
Bureau of the Treasury of the Department of Budget and Management. 
Sec. 4. Use of the Fund. – The Fund shall be earmarked exclusively to 
compensate and indemnify identified vaccine recipients who sustain injury in 
connection with the use of the vaccines and where the adverse effects are attributable 
to the vaccination. 
Sec. 5. Management of the Fund. – The Fund shall be managed by the 
Vaccines Compensation Board (the “Board”) composed of the following:  
1. Secretary of Justice – Chairperson 
2. Secretary of Health – Vice-Chairperson 
3. Secretary of Budget and Management – Member 
4. Secretary of Finance – Member 
5. Sectoral representative from the healthcare industry - Member 
6. Sectoral representative from the patient advocacy groups – Member 
7. Sectorial representative from the medical societies - Member 
The sectoral representatives shall have a term of office of three (3) years. The 
President of the Philippines shall appoint from among a list of three (3) candidates 
upon the favorable recommendation by the organizations of their respective sectors. 
Upon approval of this Act, the sectoral representative from the healthcare industry 
shall have an initial term of one (1) year and the sectoral representative from patient 
advocacy groups shall have an initial term of two (2) years. Thereafter, the three-year 
term shall apply to all subsequent appointments. No sectoral representative who has 
served a full term shall be eligible for reappointment to the Board.  
Sec. 6. Powers and Functions of the Board. – The Board shall have the 
following powers and functions: 


 
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(a) Provide overall strategic direction and guidance in the implementation of 
this Act including but not limited to the administration and utilization of  
the Fund, eligibility requirements, rules on filing claims for injury or death 
and the decision-making process, standard of proof required, elements of 
compensation and litigation rights of the parties involved;  
(b) Exercise original and exclusive jurisdiction on verified bona fide claims for 
compensation or indemnification on vaccine-related injuries or death; 
(c) Establish an efficient system for reporting and periodic reviews on the use 
and management of the Fund through stringent internal controls and 
information systems; and, 
(d) Such other powers as may be proper and necessary to perform their duties 
and responsibilities effectively and with full transparency taking into 
consideration the best interests of all relevant stakeholders. 
 Sec. 7.  Appropriations. – The amount needed for the initial 
implementation of this Act shall be charged against the appropriations of the 
Department of Health (DOH) in the current and subsequent General Appropriations 
Act. Thereafter, the amount needed for the continued implementation of this Act shall 
be taken from the Fund. In case the Fund, after careful assessment and projected 
utilization, shall be insufficient to answer for potential claims, the DOH shall subsidize 
such amount in the supplemental budget to be included in the annual General 
Appropriations. 
Sec. 5.  Implementing Rules and Regulations. – Within six (6) months 
from the approval of this Act, the Department of Justice (DOJ), the Department of 
Health (DOH), the Department of Budget and Management (DBM) and the 
Department of Finance (DOF) in coordination with other implementing agencies, shall 
formulate rules and guidelines as may be necessary for the proper implementation and 
enforcement of this Act.  
Sec. 6.  Repealing Clause. – All laws, decrees, letters of instruction, 
resolutions, orders or parts thereof which are inconsistent with the provisions of this 
Act are hereby repealed, modified or amended accordingly.  


 
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Sec. 7. Effectivity Clause. – This Act shall take effect fifteen (15) days after 
its publication in the Official Gazette or in two (2) newspapers of general circulation. 
Approved,