Health Expenditure Overview 2022
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Questions and Answers

What was the health capital formation expenditure for 2022?

  • ₱ 78.8 billion
  • ₱ 450.0 billion
  • ₱ 79.0 billion (correct)
  • ₱ 79.2 billion
  • Which disease group had the highest share in Current Health Expenditure (CHE) in 2022?

  • Noncommunicable diseases (NCDs) (correct)
  • Nutritional deficiencies
  • Infectious and parasitic diseases
  • Reproductive health conditions
  • What percentage of the total Current Health Expenditure in 2023 was contributed by voluntary health care payment schemes?

  • 10.9%
  • 2.5%
  • 44.4%
  • 1.30% (correct)
  • How much did health expenditure increase to in 2023 according to Philippine Statistics Authority?

    <p>₱ 1.44 trillion</p> Signup and view all the answers

    What was the share of household out-of-pocket payments in the total Current Health Expenditure in 2023?

    <p>44.4%</p> Signup and view all the answers

    What is the role of the government in healthcare expected to do in the future?

    <p>Grow as government support increases.</p> Signup and view all the answers

    Which of the following is NOT classified as a major source of tax revenue?

    <p>Social Security Contributions</p> Signup and view all the answers

    What distinguishes non-tax sources from tax sources in government revenue?

    <p>Non-tax sources do not involve taxes but include fees and fines.</p> Signup and view all the answers

    Which organization approved a loan to support the Philippine government's healthcare reforms?

    <p>Asian Development Bank</p> Signup and view all the answers

    What are domestic borrowings primarily sourced from?

    <p>Government bonds and treasury bills issued in the country.</p> Signup and view all the answers

    What does the Universal Health Care Law (Republic Act 11223) aim to provide to all Filipinos?

    <p>Universal access to healthcare services through the government's health insurance program</p> Signup and view all the answers

    Which of the following is NOT a focus area in the healthcare resources outlined in the report?

    <p>Healthcare Financing Strategies</p> Signup and view all the answers

    In the context of human resources in healthcare, which aspect addresses the ratio of healthcare workers to the population?

    <p>Healthcare Workforce Composition</p> Signup and view all the answers

    What aspect of physical resources refers to the variety and allocation of healthcare facilities across regions?

    <p>Regional Distribution of Healthcare Facilities</p> Signup and view all the answers

    What is a significant challenge mentioned regarding the healthcare workforce?

    <p>Brain drain and migration of healthcare professionals</p> Signup and view all the answers

    What type of care is primarily provided by secondary healthcare facilities?

    <p>Advanced inpatient services and minor surgeries</p> Signup and view all the answers

    Which of the following statements about PhilHealth is true?

    <p>PhilHealth provides insurance for a variety of medical services, including surgeries and dialysis.</p> Signup and view all the answers

    What is a defining feature of tertiary healthcare facilities?

    <p>They provide specialized treatments and major surgeries.</p> Signup and view all the answers

    Which of the following is primarily attributed to the Universal Health Care (UHC) Act created in 2019?

    <p>It ensures that all Filipinos automatically become PhilHealth members.</p> Signup and view all the answers

    What characterizes the privately funded healthcare sector?

    <p>It comprises thousands of for-profit and nonprofit health providers.</p> Signup and view all the answers

    Study Notes

    Health Capital Formation Expenditure

    • In 2022, health capital formation expenditure reached ₱79.0 billion, a 0.2% increase from the ₱78.8 billion recorded in 2021.
    • This expenditure is used for infrastructure, machinery, equipment, intellectual property, and products related to health services.

    Current Health Expenditure (CHE) Breakdown

    • Noncommunicable Diseases (NCDs) had the highest share of CHE in 2022, accounting for ₱449.2 billion or 40.0%.
      • This includes neoplasms (cancer), cardiovascular and respiratory diseases, diabetes, mental and behavioral disorders, and others.
    • Infectious and Parasitic Diseases came in second with ₱205.7 billion or 18.3% of CHE.
    • Reproductive Health, including maternal conditions, accounted for ₱132.5 billion or 11.8% of CHE.
    • Nutritional deficiencies (stunting, obesity, micronutrient deficiencies) also contributed significantly to CHE, reaching ₱122.6 billion, representing 10.9% of the total.

    Total Health Expenditure

    • In 2023, the total health expenditure in the Philippines amounted to ₱1.44 trillion at current prices.
    • This represents a significant increase compared to 2022.
    • The health spending per capita in 2023 was ₱11,083.

    Health Care Financing Schemes

    • Household out-of-pocket payments accounted for the largest share of CHE in 2023, contributing 44.4%.
    • Government schemes and compulsory contributory health care financing schemes combined made up 42.6% of CHE.
    • Voluntary health care payment schemes contributed the smallest share, at 1.30%.
    • Approximately 60% of Filipinos have health insurance, leading to high out-of-pocket healthcare costs.

    Sources of Revenue

    • Government revenue is collected through both tax and non-tax sources.
    • Taxes are mandatory payments required by law for public purposes, collected primarily by the Bureau of Internal Revenue (BIR) and Bureau of Customs (BOC).
    • Non-tax sources include collections from fees for services rendered, fines, and penalties.

    Major Classes of Tax Revenue

    • Income and Profits: Taxes on income earned by individuals, partnerships, and corporations, typically on a yearly basis.
    • Property: Taxes on wealth or property ownership and transfers.
    • Domestic Goods and Services: Taxes on locally produced goods and services.
    • International Trade: Taxes on imports, customs duties, and trade-related transactions.
    • Other Sources: Including motor vehicle taxes, immigration tax, and forest charges.
    • Sin Taxes are included within the excise taxes on domestic goods and services.

    National Budget Financing

    • The national budget is financed through three primary fund sources:
      • Revenues from both tax and non-tax sources
      • Borrowing from both domestic and foreign sources
        • Domestic borrowing involves sourcing funds within the country, typically through treasury bills, notes, and bonds.
        • Foreign borrowing involves obtaining funds from international financial institutions or by issuing government securities in global markets.
      • Withdrawals from available cash balances - Utilizing existing cash reserves or balances to finance current expenditures and cover budget shortfalls.

    Financial Flow in the Philippine Health Sector

    • Public sector:
      • National government: Receives funds from taxes, borrowings, and foreign assistance, flowing to the Department of Health (DOH), PhilHealth, and Local Government Units (LGUs).
      • DOH: Distributes resources to regional offices and hospitals, operates hospitals and clinics, and provides funding for public health programs.
      • PhilHealth: Generates revenue from investments and insurance premiums paid by households and private companies, offering reimbursements for services in public and private healthcare facilities.
      • LGUs: Fund healthcare through internal revenue allotments (IRAs), local taxes and fees, and manage local hospitals, rural health units, and barangay health stations.
    • Private sector:
      • Private hospitals, clinics, MDs: Receive payments directly from patients or through PhilHealth, private health insurance, and Health Maintenance Organizations (HMOs).
      • HMOs and private health insurance companies: Help cover healthcare costs for members by paying private providers and contributing to PhilHealth.
    • Out-of-pocket payments: Paid for services at both public and private health facilities when insurance coverage is insufficient.

    Universal Health Care (UHC)

    • The World Health Organization (WHO) defines universal health coverage (UHC) as ensuring that everyone has access to essential health services without financial hardship.
    • The Universal Health Care (UHC) Bill (Republic Act No. 11223) was signed into law in the Philippines in 2019.
    • This law automatically enrolls all Filipino citizens in the National Health Insurance Program and mandates an additional health care system.
    • UHC aims to provide access to the full range of health services without significant financial burden, protecting citizens from financial hardship.

    Internal Revenue Allotment (IRA)

    • IRAs are annual shares of funds from national internal revenue taxes allocated to local government units.
    • The amount of IRAs is calculated based on national tax collections from three years prior.
    • The IRA calculation considers five categories of national internal revenue taxes: income tax, estate tax & donor’s tax, value-added tax, other percentage taxes, and taxes imposed by special laws.
    • Barangays receive 20% of the total IRA, divided based on population (60%) and equal sharing (40%).
    • The minimum share for a barangay with a population of at least 100 is ₱80,000 annually.
    • A barangay’s total IRA share is the sum of its share based on equal sharing and its share based on population.

    Introduction

    • The Universal Health Care (UHC) Law of 2019 (Republic Act 11223) grants all Filipinos, including Overseas Filipino Workers (OFWs), access to healthcare services through PhilHealth.
    • PhilHealth provides insurance coverage for a wide range of medical services, including inpatient care, surgeries, maternal health, and dialysis.
    • The UHC Act automatically enrolls all Filipinos in PhilHealth, making healthcare more accessible.

    Healthcare System Overview

    • The Philippine healthcare system has three levels: primary, secondary, and tertiary.
    • The primary level focuses on health promotion, early disease diagnosis, and disease prevention.
    • Secondary healthcare provides moderately specialized care, including minor surgeries, and serves as a referral center for primary healthcare facilities.
    • Tertiary healthcare offers high technical level care, specialized treatment, and complex medical care.

    Structure of the Philippine Healthcare System

    • The Philippine healthcare system comprises public and private sectors.
    • The public sector provides essential healthcare services through government-funded hospitals, clinics, and health centers.
    • The private sector is market-oriented and offers a range of healthcare services with varying costs.

    Levels of Healthcare: Primary, Secondary, and Tertiary

    Primary Level

    • This level of healthcare is the first point of contact for patients and focuses on basic medical care.
    • Facilities include:
      • Rural Health Units (RHU)
      • Barangay Health Stations (BHS)
      • Puericulture Centers
      • Clinics in large industrial firms (employee health)
      • Private practitioners or clinics

    Secondary Level

    • Secondary healthcare offers moderately specialized care.
    • Facilities include:
      • Emergency Hospitals
      • District Hospitals
      • Provincial Hospitals
      • City/Municipal Hospitals

    Tertiary Level

    • Tertiary healthcare provides the most specialized care, including complex procedures and advanced treatments.
    • Facilities include:
      • Regional Health Services
      • Regional Medical Services & Training Hospitals
      • National Health Services
      • Medical Centers
      • Teaching & Training Hospitals

    Government Healthcare Programs

    • The Philippine government implements several healthcare programs, including:

    The Philippine Acceleration Action Plan for Tuberculosis (PAAP-TB) 2023-2035

    • Aims to achieve TB elimination in the Philippines by integrating TB elimination commitments into the mandates, policies, and work programs of government agencies.

    Aedes Borne Viral Diseases Prevention and Control Program

    • Focuses on preventing and controlling Aedes-borne viral diseases such as dengue, zika, and chikungunya.
    • Aims to expand and integrate existing programs to include a wider range of interventions.

    Emerging and Re-Emerging Infectious Disease Program

    • Establishes a system for managing outbreaks of infectious diseases to prevent epidemics or pandemics.

    Chronic-Kidney Disease Prevention and Control Program

    • Addresses the increasing incidence of Chronic Kidney Disease (CKD) in the Philippines.
    • Aims to promote prevention, control, and proper disease management for CKD patients.

    Integrated Helminth Control Program

    • Targets soil-transmitted helminthiasis (STH) caused by roundworms, whipworms, and hookworms.
    • Aims to reduce the prevalence of STH and other related illnesses.
    • The program focuses on vulnerable groups, aiming to reduce the disease burden to below the global standard of less than 20% cumulative prevalence.

    Human Resources in Healthcare

    • Human resources in healthcare refer to the workforce providing medical care.
    • Ensuring equitable distribution of healthcare professionals, especially in geographically isolated and disadvantaged areas (GIDA), is a key goal.

    Private Sector Involvement

    • Collaboration between the public and private sectors is essential to improve healthcare access.
    • Public-Private Partnerships (PPP) are encouraged for projects like the "RESBAKUNA sa Botika" campaign, where pharmacies assisted with COVID-19 vaccination efforts.
    • Private companies like AC Health and KonsultaMD develop healthcare technology apps and expand affordable drugstore networks to improve access to medical services.

    Physical Resources in Healthcare

    Healthcare Facilities

    • The Philippines has a range of healthcare facilities, including hospitals, health centers, and clinics.
    • The Department of Health (DOH) website provides a list of licensed healthcare facilities.

    Public vs Private Facilities

    • Public hospitals cater to a wide range of medical needs, while private hospitals often focus on specialized care.
    • Private hospitals are known for delivering advanced medical care, particularly in areas like cardiovascular diseases, cancer, pulmonology, and orthopedics.

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    Description

    Explore the details of health capital formation and current health expenditure breakdown for 2022. This quiz covers expenditures related to noncommunicable diseases, infectious diseases, reproductive health, and nutritional deficiencies. Test your understanding of health financing and its impact on health services.

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