DOH Reaffirms Commitment to Hospital Payments Amid Guarantee Letter Suspension

Manila: The Department of Health (DOH) announced its continued efforts to reconcile payments to private hospitals, adhering to existing laws and government policies. DOH spokesperson Albert Domingo communicated through a viber message that the reconciliation of unpaid balances is actively underway, in collaboration with private healthcare facilities.

According to Philippines News Agency, the statement was issued following the Private Hospitals Association of the Philippines Inc.'s (PHAPI) decision to temporarily halt the acceptance of guarantee letters (GLs) from government officials. This move was due to unpaid receivables under the Medical Assistance for Indigent and Financially-Incapacitated Patients (MAIFIP) program. Domingo mentioned that the DOH has been increasing the Philippine Health Insurance Corporation's (PhilHealth) payments to hospitals.

Domingo emphasized the improvement in payment processes, noting that PhilHealth's payments are now more efficient compared to the MAIFIP system. He also highlighted the use of endowment funds in countries like Singapore, which provide medical assistance without requiring guarantee letters, relying instead on professional assessments by medical social workers. This method is already in practice in DOH hospitals, where guarantee letters are not needed.

Over the weekend, PHAPI president Jose Rene De Grano reported unpaid receivables under the MAIFIP program totaling approximately PHP530 million. He revealed that 43 private hospitals in Batangas have not received MAIFIP-processed guarantee letters, with one hospital's receivables reaching PHP94 million. Consequently, PHAPI will reject all GLs issued by any government official.

Domingo advised all Philippine hospitals to review the Universal Health Care Act, suggesting they assess patients' paying capacity and provide basic or ward accommodations for zero balance billing, or refer patients to nearby DOH or government hospitals. He reiterated that DOH hospitals operate without guarantee letters, relying on the hospital's budget, PhilHealth reimbursements, and MAIFIP based on medical social workers' assessments, akin to Singapore's system.

On Monday, Malaca±ang assured the public that the DOH has adequate funds to settle PHAPI's claims for services rendered to indigent patients. Presidential Communications Office Undersecretary and Palace Press Officer Claire Castro noted that 39 hospitals in Batangas face GL processing issues due to incomplete or missing documentation, according to the DOH's report.