Private hospitals in the Philippines are raising concerns about the implications of the government’s no-balance billing (NBB) policy, especially regarding patient overload in health facilities. According to Dr. Jose Rene deGrano, president of the Private Hospitals Association of the Philippines, private institutions are already experiencing high patient volumes in their charity wards, limiting their capacity to admit even more patients when public hospitals reach full capacity.
The NBB policy, aimed at ensuring that patients are not charged for any hospital fees if they cannot afford it, is creating additional strain on private hospitals that typically allocate around 10% of their total bed capacity for charity cases. DeGrano emphasized that this allocation is not sustainable if the influx of patients exceeds this threshold, especially since private hospitals do not receive government subsidies like public health facilities do.
Emergency cases present a unique challenge; private hospitals are compelled to admit them even if they exceed their bed capacity. However, once a patient is stable, there is an option to transfer them to a government facility to make room for urgent cases. For regular patients unable to secure charity beds, admission will necessitate additional payment for semi-private or private rooms. Guarantee letters (GLs) may be utilized to cover excess charges, but these require collaboration with agencies such as the Department of Health (DOH) and the Philippine Charity Sweepstakes Office.
The Department of Health anticipates increased patient attendance in public hospitals due to the announcement of the zero-balance billing policy, affecting 83 DOH hospitals. Meanwhile, the Philippine Health Insurance Corporation (PhilHealth) has reassured its capacity to finance these expanded services, expecting approval for a proposed subsidy of approximately P53.26 billion in 2026. As the healthcare landscape evolves amid these policy changes, the balance between public and private hospital resources remains a critical concern in providing adequate care for all patients.