PASAY CITY -- In keeping with his commitment to protect the interest and well-being of Filipinos by intensifying health security in the country, Senator Christopher “Bong” Go filed Senate Bill No. 425 which seeks to amend Presidential Decree No. 612, also known as “The Insurance Code”.
Go noted how the pandemic prompted most Filipinos to invest in health insurance plans to protect them from financial risk or losses. He added how the insurance industry also positively contributes to the Philippine economy.
Currently, the Insurance Commission (IC) is exercising jurisdiction over health maintenance organizations (HMOs) by virtue of Executive Order No. 192. However, EO 192 does not explicitly state that the Insurance Code applies to HMOs.
On this account, the lawmaker pushed for a Senate bill which aims to properly regulate and promote a fair and competitive insurance industry. The proposed measure also explicitly includes HMOs into the law’s regulatory coverage which shall enable the Insurance Commission to provide stricter supervision over them.
“Nang dahil sa pandemya, mas nakikita natin ang importansya po ng health insurance. Pero sa totoo lang po, hindi naman po lahat ay masasagot ng PhilHealth. Nakakalungkot po pero karamihan ay umaabot ng malalaking halaga ang hospital bill at hindi naman po lahat ito ay makakayang masagot ng PhilHealth,” said Go.
If passed into law, the measure will make HMOs subject to the provisions of the Insurance Code not explicitly provided for in EO 192. These provisions include the Insurance Commission’s powers to issue cease-and-desist orders to prevent fraud or injury to the public. This also aims to enhance competition in the insurance industry and effectively improve insurance services for Filipinos.
Under the proposed amendments, the IC shall be converted into a collegial body composed of five Commissioners competent in relevant fields. In addition, to align with the best practices adopted by other Asian countries where a single authority regulates all financial services, the IC will also be placed under the supervision of the Monetary Board of the Bangko Sentral ng Pilipinas which ensures that all financial service providers in the country are regulated by a single regulatory authority.
“Itong finile ko po, kahit nasa ilalim ng Insurance Commission ang HMO, ‘di pa rin po malinaw kung nag-apply sa HMO ang mga provision ng Insurance Code. Kaya mas maganda rin na nasa batas,” said Go previously.
The senator expressed confidence that the measure will provide Filipinos investing in HMOs the necessary safeguards to ensure that their interests are protected.
“Layunin natin na masiguro ang ating mga kababayan na ligtas mag-invest sa HMO at makatulong ang HMO na maimprove ang healthcare sa bansa. Dapat protektado ang bawat Pilipino sa pagkuha ng HMO. Para magiging mas protektado rin sila sa anumang krisis pangkalusugan na maaari nating harapin,”Go emphasized. (OSBG)
