Preventable illnesses cost PH billions, experts say
Nearly 30% of hospital admissions in the Philippines could be avoided through stronger primary healthcare systems, potentially saving billions of pesos in public health spending and sparing Filipino families from unnecessary medical costs, experts said during the European Chamber of Commerce of the Philippines (ECCP) 2026 Healthcare Forum.
Speaking at the forum held in Makati City, Dr. Valerie Gilbert T. Ulep, Senior Research Fellow at the Philippine Institute for Development Studies (PIDS), said an estimated ₱23 billion to ₱30 billion in PhilHealth reimbursements are currently being spent on Ambulatory Care Sensitive Conditions (ACSC), or health issues that can be effectively managed or prevented in outpatient settings like primary care clinics.
Ulep noted that out-of-pocket (OOP) spending in the Philippines remains alarmingly high at around 40% of total health expenditures, well above upper middle-income peers and neighboring countries like Vietnam, Malaysia, Indonesia, and Thailand.
He said this heavy reliance on OOP payments undermines financial protection, leaving households highly vulnerable to the economic shocks of illness.
To address this, Dr. Ulep stressed that reducing OOP spending requires stronger public financing mechanisms and strategic health reforms, mirroring OECD countries that successfully transitioned away from user-fee dependent systems.
The findings underscore persistent gaps in the country’s implementation of Universal Health Care (UHC), which was institutionalized through Republic Act No. 11223 in 2019.
The ECCP forum, themed “Putting Patients First in UHC: Bridging the Path from Early Wellness to Specialized and Life-Changing Innovations,” brought together government officials, patient advocates, healthcare institutions, and private sector stakeholders.
ECCP President Dr. Diana Edralin said healthcare reforms should be measured not simply by coverage numbers but by how easily patients can navigate the system.
“We cannot discuss a patient-centric health system without addressing the reality on the ground that we all face every day,” said Dr. Edralin.
“In the Philippines, a common complaint that arises is that the patient journey is too fragmented and too difficult to navigate. When a gap exists between an early screening and a tertiary referral, it is the patient who pays the price in time, in financial hardship, and in the unfortunate outcomes because of the delays,” she added.
The Philippines officially adopted a Universal Health Care framework in 2019 to automatically enroll all Filipinos into the national health insurance program while strengthening primary care services.
However, experts say implementation remains uneven.
Primary care refers to the first point of contact between patients and the healthcare system, including barangay health centers, rural health units, family physicians, and preventive services such as screenings and vaccinations.
According to the Philippine Statistics Authority (PSA), primary healthcare spending reached ₱748.8 billion in 2024, reflecting a 19.2% increase from ₱628.4 billion in 2023.
Yet experts say higher spending alone is insufficient without better coordination among healthcare providers.
The forum emphasized the need to build stronger referral systems that connect preventive care, diagnostics, and specialized treatment facilities.
Experts said strengthening primary care, improving care coordination, and sustaining investments in health system reforms ensure a more integrated and connected system that enables patients to access the right care at the right time.
They said investing in frontline healthcare could simultaneously decongest hospitals, reduce PhilHealth expenditures, and improve patient outcomes.
The ECCP is pushing for greater investments in healthcare financing, digitalization, and interagency coordination to accelerate the realization of Universal Health Care.
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