By: Aliahcorr Balanon
PhilHealth processes members’ transactions in Quezon City. Photo courtesy of Maria Tan | ABS-CBN News
The Supreme Court (SC) has ordered the government to restore the P60 billion Philippine Health Insurance Corp. (PhilHealth) through the 2026 national budget.
In an unanimous decision issued in Dec. 3, the Supreme Court declared void the transfer of P60 billion PhilHealth funds to the National Treasury, describing the diversion as a “grave abuse of discredition amounting to lack or excess of jurisdiction.”
“If there is a process for getting, there is a process for returning. And that is through the national budget. The mechanism for returning the money is the same as the mechanism [for] getting it,” Lanao del Sur Rep. Zia Alonto Adiong said in a statement.
The government was originally set to return a total of P89.9 billion in PhilHealth funds to the national treasury in four tranches.
However, the last fund transfer, amounting to P29.9 billion was not transferred following a strong opposition from health groups, civil society groups as well as the public including issuance of a temporary restraining order (TRO) by the Supreme Court in October, restricting any further movement.
Adiong stressed that the House moved swiftly after President Ferdinand Marcos Jr. announced that the P60 billion fund would be returned using savings from other government agencies, primarily the Department of Public Works and Highways (DPWH), before the Supreme Court formally declared the fund transfer void in its decision last Dec. 3.
“The House already complied, following the President’s order, and regardless of the result of cases pending before the high court,” Adiong said.
Under the National Expenditure Program submitted by Malacañang, PhilHealth was originally allotted P53 billion for 2026.
In a separate statement, PhilHealth said it also welcomes the decision of the Supreme Court, saying it would continue to work hard in ensuring the health of every Filipino.
Meanwhile, Health Secretary Ted Herbosa, said PhilHealth remains focused on the implementation of the Universal Health Care Act through systematic and consistent health financing.