P883 million earmarked for adjustment in employer share in Philhealth contributions and extension of the Primary Care Benefits to government employees.

The Department of Budget and Management (DBM) has issued Circular Letter No. 2013-8 on January 16, 2018 to prescribe the guidelines on the adjustment in the employer (government) share in the Health Insurance Premium (HIP) contributions of government employees to the Philippine Health Insurance Corporation (PhilHealth).

The Circular Letter also provides information on the PhilHealth’s Primary Care Benefits previously being provided to the sponsored beneficiaries but are now being extended to government employees who are PhilHealth members under the Formal Employed Sector starting 2018.

Effective January 2018, the employer (government) share in the HIP contributions to PhilHealth of all National Government Agencies (NGAs), including State Universities and Colleges (SUCs), Constitutional Offices, Government-Owned or -Controlled Corporations (GOCCs), and Government Financial Institutions (GFIs), will be based on Item IV of PhilHealth Circular No. 2017-0024[1] dated September 11, 2017.

Specifically, the monthly premium contributions will be at the rate of 2.75% of the employee’s monthly basic salary, which will have a salary floor of P10,000 and a ceiling of P40,000, to be shared equally by the employer (government) and the employee.

As provided under DBM Circular Letter No. 2018-3, the computation of the premium contributions shall be based on the following table:

Monthly Basic Salary

2.75% of Monthly Basic Salary

Employee Share

Employer Share

P10,000 and below




P10,000.01 to P39,999.99

P275.02 to P1,099.99

P137.51 to P549.99

P137.51 to P549.99

P40,000.00 and above




The funding required to adjust the employer (government) share in the HIP contributions of employees in the National Government will be  charged against the Miscellaneous Personnel Benefits Fund (MPBF) under the FY 2018 General Appropriations Act (GAA).

As regards the Primary Care Benefits provided by PhilHealth, the benefit package involves assignment, enlistment and profiling of members and their dependents. Profiling includes the provision of basic laboratory services for Urinary Tract Infection, Acute Gastroenterities, lower and upper respiratory tract infection, and asthma. Medicines for these conditions are also included in said benefit package.

These primary care benefits may be availed in accredited government health care institutions such as Rural Health Units and Health Centers and some selected government hospitals. Additional hospitals will be accredited by Philhealth as providers to ensure access.

Additional guidelines will be issued by Philhealth for the expansion of the Primary Care Benefits to government employees.

          For more information, visit and Follow @DBMgovph on Facebook and Twitter for updates.


[1] Adjustment in the Premium Contribution of the Employed Sector to Sustain the National Health
   Insurance Program


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