The Philippine Health Insurance Corp. (PhilHealth) may receive government funding again in 2026 after proposing a ₱53.2 billion budget in the National Expenditure Program (NEP). In 2025, Congress eliminated its subsidy due to its excess reserve funds reaching ₱500 billion and delays in expanding benefits. Instead, PhilHealth relied on its own ₱284 billion corporate budget for expenses.
The ₱53.2 billion budget requested will be used for the National Health Insurance Program (NHIP) to cover the premium contributions of indigent, senior citizens, persons with disabilities, and other patients who cannot afford to pay. This is under the Universal Health Care Act which requires the government to fund the contributions of so-called indirect contributors.
The PhilHealth fund covers the expansion of benefit packages, case rates, and other services that members can reimburse such as medical procedures and hospital fees. It also includes support for the zero-balance billing policy where patients admitted to a ward or basic accommodation in DOH hospitals and some GOCCs are free of charge. However, it has not yet been fully implemented in all GOCC hospitals.
In addition to government funding, PhilHealth also receives a share of revenue from sin tax, PAGCOR, and PCSO for the implementation of the universal health care program. For the 2026 NEP, the country's health budget is ₱320.5 billion—23.6% higher than 2025. This includes funding for the DOH, specialty hospitals, PhilHealth, and regional hospitals.
Despite the increase in the health budget, a larger amount was allocated for infrastructure, reaching ₱1.556 trillion. The government's proposed budget for 2026 has a total of ₱6.793 trillion, of which ₱2.314 trillion is for the social services sector including education, health, and social protection.
