The embattled Philippine Health Insurance Corporation (PhilHealth) made a partial payment of P500 million for its P1.1-billion debt to the Philippine Red Cross (PRC) on Tuesday, October 27 – a day after it promised to settle its debt.

The PhilHealth said it will “expedite processing of the remaining balance following strict compliance to government accounting rules and regulations.”

Meanwhile, PhilHealth chief Dante Gierran said that the state health insurer “takes exception to the insinuation that it is reckless and is playing on people’s lives.”

“Its prudence in taking charge of its members’ hard-earned contributions is central to the state health insurer. Its exercise of judiciousness is to protect the people and their funds,” Gierran added.

Gierran’s statement came after PRC chairman Senator Richard Gordon’s remarks that the PhilHealth chief was being “cautious” to speed up the payment of its debt.

The state health insurer also gave its assurance to the accredited laboratories conducting COVID-19 tests for overseas Filipino workers (OFWs) that it will expedite the processing of its payments upon submission of complete documentary requirements. 

On October 15, the PRC stopped conducting free coronavirus tests for OFWs, medical frontliners, and other Filipinos after the state health insurer incurred a P930-million ($19.14-million) debt to the PRC.

The Red Cross called off these tests because of PhilHealth’s “inability to settle its ever-increasing outstanding balance.”

Citing a legal opinion from the Department of Justice, Presidential Spokesperson Harry Roque had said that the PhilHealth must “provide partial payment” to the PRC, even as Malacañang called on the organization to resume its testing services.

But Gordon maintained that the PhilHealth must pay in full.

Under the Universal Health Care Law, PhilHealth is designated as the “national purchaser” of health goods and services, which cover COVID-19 testing and treatment of all Filipinos.

The PRC’s testing services make up a significant portion of the Philippines’ current testing capacity. The health department admitted on October 21 that the PhilHealth-PRC issue is affecting the country’s COVID-19 testing operations. – Rappler.com