Rising healthcare costs in The Philippines owing to inadequate public investment prevents citizens from going for regular checkups and the country from achieving Universal Health Coverage (UHC). To address this, three laws that have come into legislation in the recent years with the aim of expanding health coverage to Filipinos and taxing tobacco and alcohol, what are know as “Sin Taxes” to finance the provision of UHC and discourage consumption of “sin products” ‘resulting in health benefits overall.’
These include
The Universal Health Care (UHC) Act passed in 2019 that provides for enrolling of all Filipinos in the National Health Insurance Program and requires a more robust system of primary-care providers.
The Tobacco Tax Law 2019 that raised the cigarette tax to PHP 45 (Philippine peso) in 2020 with an annual increase of PHP 5.00 until it reaches PHP 60.00 per pack (USD 1.30) in 2023, and a 5 percent annual increase thereafter.
Republic Act 11467 raised excise taxes on alcohol and the newly added e-cigarettes.
The Government estimates PHP 16 billion in taxes from the Tobacco Tax Law 2019 and an additional PHP 25 billion from the excise taxes that Republic Act 11467 enforces that is expected to accelerate the UHC goal in Philippines.
(1 Philippine Peso PHP= 0.021 US Dollar USD)
To know more read the entire article originally published in The Asia Foundation here.
Image Credits: The Wire
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