Government Secures Funds for Private Hospitals’ Guarantee Letters
Malacañang has reassured the public that the Department of Health (DOH) holds sufficient funds to settle payments for private hospitals under the government’s guarantee letters. These guarantee letters cover medical expenses for indigent and financially incapacitated patients.
During a press briefing, Presidential Press Officer Claire Castro clarified concerns about some health facilities reportedly refusing government guarantee letters. She emphasized that only a limited number of private hospitals face payment delays due to incomplete documentation, not because of a lack of funds.
“The government is not having any problems when it comes to paying the bills of our fellow citizens who are covered by guarantee letters,” Castro said. “This only applies to the 39 hospitals where the DOH still requires additional documents in order for them to be paid. So to the hospitals seeking payment, just complete your documents because, according to the DOH, there are sufficient funds available.”
Understanding Guarantee Letters and the P41-B Budget
A guarantee letter is an official government document that assures payment to a healthcare provider for services rendered to eligible patients. It is a critical part of the DOH’s Medical Assistance for Indigent and Financially Incapacitated Patients (MAIFIP) program, which helps reduce hospital bills and medicine costs in private facilities.
The DOH’s 2025 budget allocates P41.16 billion specifically for MAIFIP. Established in 2014, this program aims to ease the financial burden on indigent patients who require medical care not covered by the Philippine Health Insurance Corporation.
Financial aid under MAIFIP is available across more than 80 DOH-run hospitals, 550 local government facilities, 511 private hospitals, and 20 treatment and rehabilitation centers nationwide.
Delays Due to Documentation and Election Period
The Private Hospitals Association of the Philippines Inc. (PHAPI) highlighted that election-related disruptions and personnel shortages have slowed the processing of payments tied to guarantee letters. PHAPI president Dr. Jose Rene De Grano noted that the high volume of claims during the election period overwhelmed the few staff responsible for handling them.
Despite these challenges, PHAPI stated that some hospitals in Batangas already received payments totaling P577 million under MAIFIP. However, outstanding receivables remain at around P450 million.
De Grano assured that member hospitals continue to accept guarantee letters while awaiting government reimbursement for unpaid claims.
For more news and updates on healthcare funding, visit Filipinokami.com.