Health emergencies pose a significant concern for Filipinos, with the Department of Health (DOH) identifying the rising cost of medicines, hospital bills, and related expenses as a major factor pushing many families into debt. According to the Philippine Statistics Authority (PSA), the average Filipino spends nearly P10,000 annually on health-related goods and services in 2021.
While employers contribute to both Health Maintenance Organizations (HMOs) and Philippine Health Insurance (PhilHealth), which serve as valuable aids in managing medical expenses, it is essential to evaluate healthcare protection and invest in a suitable protection plan. Understanding the benefits of each healthcare option, including PhilHealth, HMOs, and private health insurance, is crucial to maximize their benefits and reduce overall medical costs.
PhilHealth. PhilHealth, a government-operated social health insurance program aimed at providing universal health coverage for Filipinos. Monthly contributions for employees are automatically deducted from their salary, while freelancers can contribute voluntarily. PhilHealth covers medical bills based on specific requirements, subsidizing hospital bills, portions of doctor's fees, laboratory tests, and other medical expenses.
HMO. HMOs are private organizations offering comprehensive healthcare delivery systems as a part of the benefits provided to Filipino employees by their employers. These plans, although capped at a certain amount, cover a wide range of medical services. HMO members gain access to a network of healthcare providers, including various medical procedures, emergency assistance, and hospitalization. However, HMOs are typically accessible only to those under 65 years old or until the employee retires.
Private Health Insurance. Private health insurance in the Philippines is typically purchased voluntarily by individuals and provides extensive coverage for serious illnesses, offering higher compensation. This proves beneficial for prolonged hospitalizations and expensive treatments. Beyond medical coverage, health insurance provides financial protection, offering policyholders cash benefits upon the diagnosis of critical illnesses such as cancer, heart attack, or stroke. In the unfortunate event of the policyholder's demise during the coverage period, the cash benefit ensures financial support for the family.
As we navigate life's uncertainties, the assurance provided by these healthcare avenues options is invaluable. Investing in health is an investment in security, and safeguarding one's well-being remains an essential asset with immeasurable value. After all, when it comes to health, true wealth lies in proactive protection and the peace of mind that accompanies it.
For further questions or assistance, feel free to reach out to Lockton Philippines at info.philippines@lockton.com (opens a new window).
Every February, the Philippines observes the National Health Insurance Program (NHIP) Month to acknowledge the vital role that the NHIP plays in the lives of every Filipino.
