Gov’t proposes P74.45-B PhilHealth budget for 2027, P19-B for benefit upgrades

ASM, Philippine Canadian Inquirer
September 17, 2026

Photo courtesy: Philippine News Agency

The government is proposing ₱74.45 billion for the Philippine Health Insurance Corp. in 2027, with ₱19 billion earmarked for improving benefit packages and other priority health interventions.

Under the proposed national budget, the ₱19-billion allocation forms part of the overall PhilHealth funding and is intended to support improvements in benefits covering areas such as mental health and severe malnutrition, as well as assistance involving local government hospitals.

The proposed PhilHealth budget will also finance national government premium subsidies for qualified beneficiaries. Around 11.09 million beneficiaries are targeted for 2027, up from approximately 10.65 million in 2026.

The allocation forms part of a broader ₱353.8-billion proposed investment in the health sector for next year as the government seeks to expand access to health services and reduce the amount patients have to pay directly for medical care.

Other proposed health allocations include ₱107.29 billion for the operations of 72 Department of Health regional hospitals and other health facilities, ₱25.39 billion for the National Health Workforce Support System, and ₱3.75 billion for the Cancer Assistance Fund.

The 2027 proposal comes as additional funding is already being released this year for the government’s Zero Balance Billing program.

In September, the Department of Budget and Management approved ₱10.377 billion for ZBB implementation. Of the amount, ₱9.377 billion is intended for DOH hospitals nationwide, while ₱1 billion will support six pilot local government hospitals in Benguet, Batangas, Laguna, Quezon, Aklan and Sarangani.

The program is intended to help eligible patients in participating government hospitals receive covered services with minimal or no remaining hospital bill, subject to applicable guidelines and eligibility requirements.

Separately, the DBM released an additional ₱1.855 billion to the Philippine General Hospital in August, including ₱800 million specifically for Zero Balance Billing.

Acting Budget Secretary Kim Robert De Leon said government health spending should translate into direct assistance for patients, stressing that public funds should help lessen the financial impact of hospitalization on Filipino families.

PhilHealth’s enacted government subsidy for 2026 stands at about ₱129.8 billion. That amount includes ₱53.13 billion for premiums of indirect contributors, ₱60 billion allocated in compliance with a Supreme Court decision, and ₱16.52 billion for benefit package improvements under the Universal Health Care law.

The proposed ₱74.45-billion PhilHealth allocation for 2027 will still undergo congressional deliberations as part of the national budget process before the final appropriations law is enacted.