Despite having 95 million citizens enrolled in the national health insurance system, many Filipino families continue to face overwhelming out-of-pocket expenses for health care. According to global advisory firm WTW’s 2025 Global Medical Trends Survey, medical costs in the Philippines are projected to rise by 18.3% this year—one of the highest increases in Asia, second only to Indonesia.
This growing financial pressure leaves families paying nearly half of the country’s health expenditures out of pocket, amounting to over P500 billion annually. Manulife’s 2024 Asia Care Survey, which polled 1,050 Filipinos, found that 82% of respondents consider rising medical costs their top financial concern, surpassing inflation and interest rates. The burden is projected to grow, with expenses expected to exceed P720 billion by 2028.
To cope, families have turned to government facilities, generic medicines, and healthier lifestyles to reduce future costs. However, rising hospital charges, increased disease prevalence, and a shortage of healthcare professionals—worsened by migration—continue to drive prices upward. The use of advanced medical technology and increased reliance on private care also contribute to the surge.
Health maintenance organizations (HMOs) have not been spared. In 2023, they reported a combined loss of P4.3 billion, nearly triple the previous year’s figure. Negotiations are ongoing, with physicians pushing for professional fee increases of up to 150%, according to Insurance Business Magazine.
Despite these challenges, reforms under the Universal Health Care Act of 2019 have yielded progress. The law automatically enrolled all Filipinos in the National Health Insurance Program. With support from the Asian Development Bank and Japan, 58 local governments have formed healthcare provider networks and created special health funds. Around 26,000 health workers have been deployed to address staffing shortages.
Digital integration is also advancing, with over 9,000 hospitals and care facilities now submitting data to Philhealth. About 135 primary care providers use electronic medical records to support better policy decisions and system monitoring.
Healthcare experts stress the need for long-term strategies. WTW recommends cost-sharing models to discourage unnecessary care and encourage collaboration among stakeholders. As ADB principal health specialist Eduardo Banzon said, “Through sweeping reforms that focus on health service delivery enhancement, increased health financing and improved accountability among health service providers, the country is moving closer to its goal of health for all Filipinos.”