HOSPITALS NIX PHILHEALTH: ‘It can’t comply with obligations’

ILOILO City – Seven private hospitals in this city are not renewing their accreditation with the Philippine Health Insurance Corp. (PHIC or PhilHealth) beginning Jan. 1 next year.

This means they would no longer deduct PhilHealth benefits from patients’ bills or process their claims, they informed Mayor Jerry Treñas in a letter.

“We will provide the necessary statement of accounts for their reimbursements,” according to the managements of St. Paul’s Hospital of Iloilo, Iloilo Doctors Hospital, Iloilo Mission Hospital, The Medical City Iloilo, Medicus Medical Center, Qualimed Hospital Iloilo, and Metro Iloilo Hospital and Medical Center Inc.

PhilHealth owed them some P545 million in claims, as of Aug. 31, 2021.

“(T)he PHIC cannot comply with its obligations. We can see that we will be facing the same scenario in the future as what we had experienced prior, if PHIC will not comply with its legal obligations to us under Republic Act 7875, as amended (The National Health Insurance Act),” the hospitals explained.

Upon their demand (that payment should be done by Oct. 31, 2021), a reconciliation process aimed to pay the accounts receivables was initiated by PhilHealth on Oct. 8, 2021. However, it only resulted to 15 to 20 percent payment of the total accounts receivables ending Aug. 31, 2021, and another set of accounts receivables piled up from September to November 2021.

“We are greatly saddened by this action (non-renewal of PhilHealth accreditation). However, we are left with no other choice but to ensure the survival of our hospitals so that we can uphold our commitment to offer necessary and quality healthcare to our patients,” the hospitals stressed.

They appealed for the public’s understanding and sought Treñas’ help “in making the people of the City of Iloilo understand our predicament.”

The hospitals also clarified that despite not renewing their PhilHealth accreditation, they will continue to remit the PHIC contributions of their employees.

A few months ago, Treñas filed a case against PhilHealth to force it to pay the hospitals’ claims but to no avail.

The mayor warned that the state health insurer’s prolonged inaction may “foreseeably result in the collapse” of the healthcare system in Western Visayas.

The same letter signed by the hospitals’ presidents, chief executive officers, chief operating officers, directors, and administrators, was also sent to PhilHealth, Departmenst of Health, Private Hospitals Association of the Philippines, Inc. and Philippine Hospital Association.

Earlier last month, PhilHealth in Region 6 executives were ordered to explain why they should not be charged administratively for the unpaid claims of seven healthcare institutions here reaching P690,016,959.81 by the time.

Dated Nov. 2, 2021, the Anti-Red Tape Authority (ARTA) issued a show-cause order to PhilHealth regional director, Atty. Valerie Anne H. Holero and Area Vice President for Area III Alfredo B. Pineda./PN

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