Manila, Philippines – December 5, 2025
The Supreme Court (SC) has ordered the return of ₱60 billion in excess funds previously transferred from the Philippine Health Insurance Corporation (PhilHealth) to the National Treasury. The High Court also issued a ruling preventing any further transfer of the remaining ₱29 billion balance from the excess fund.
In a unanimous decision, the SC mandated that the transferred funds be restored to PhilHealth and incorporated into the 2026 General Appropriations Act (GAA).
The Court highlighted that PhilHealth is responsible for managing its reserve funds, which are intended to support the agency’s benefit packages and ensure the sustainability of its health insurance programs. Diverting these funds to other purposes was deemed inconsistent with PhilHealth’s mandate to provide healthcare coverage to its members.
This ruling reinforces the financial stability of the state health insurer, ensuring that it can continue to deliver on its obligations under the Universal Health Care Law, while protecting the welfare of millions of Filipino beneficiaries.