PhilHealth eyes to settle almost P1-B balance with Red Cross within the month —spokesperson

The Philippine Health Insurance Corporation (PhilHealth) is aiming to settle this month its remaining overdue balance amounting to nearly P1 billion to the Philippine Red Cross (PRC) in order to resume the latter's conduct of COVID-19 tests chargeable to the state health insurer.

In a Dobol B sa News TV interview on Sunday, PhilHealth spokesperson Rey Baleña said they are now waiting for a clearance from the Department of Budget and Management to proceed with the payment of the balance.

"Kamakailan nga ay pinahayag na meron tayong balanse na kulang-kulang isang bilyon at ito ang sa kasalukuyan ang hinihingan namin ng clearance muna. If good to go, kumbaga, agad-agad natin na ise-settle ito sa kanila," he said.

Asked if it could be settled within this month, Baleña said: "Opo. Hindi magtatagal 'yan."

"Isang bagay nga diyan ay 'yung hinihingi naming clearance sa Department of Budget and Management na umaasa kami na early this week ay lalabas na rin ang kanilang komento," he added.

PRC said the cessation of PhilHealth-funded COVID-19 testing will remain until the state health insurer pays its overdue balance of P930,993,000.

“The PRC entered into an agreement with PhilHealth for the latter to reimburse the PRC for these priority tests requested by various government agencies,” it said.

“Unfortunately, PhilHealth failed to meet its obligations. As a result, the total billings sent by the PRC to PhilHealth stand at P1,014,975,500.00 as of October 13, 2020. Of this amount, P930,993,000.00 represents overdue amounts," the PRC said on Wednesday.

PRC said PhilHealth’s last payment was made on September 8, but “not a single centavo has been paid since then.”

Baleña, nevertheless, assured the public that PhilHealth has enough funds for the payment of the outstanding balance, as its partnership with PRC on the conduct of COVID-19 tests is part of the overall government response on the health crisis.

"Kung pag-uusapan ay pondo, may pambayad talaga ang PhilHealth dito. Gusto lamang nating maunawaan ng publiko na bahagi ito ng pag-iingat, proteksyon sa kanilang pondo sapagkat ang ibabayad natin, pera ng mga miyembro," he said.

"Minamadali 'yan sa lalong madaling panahon," he added. 

PhilHealth president Dante Gierran said on Friday the state insurer will not pay its debt of almost P1 billion to the PRC until all legal issues regarding their memorandum of agreement are settled amid the COVID-19 pandemic.

“To be prudent about it, I will not pay unless everything is legally cleared,” Gierran said.

Gierran was referring to the agreement made by PhilHealth, under former President Ricardo Morales, and the PRC in May.

The PRC said that under the MOA, “a revolving fund of P100 million was supposed to be replenished immediately after it had been depleted.”

“PhilHealth never replenished this revolving fund. In fact, it is not PRC advancing its fund for testing services as a result of the non-payment of PHIC,” it added.

Though the initial P100 million was not replenished, the Red Cross continued to process COVID-19 tests until PhilHealth’s debt reached P930,993,000. —KG, GMA News