MANILA, Philippines: President Ferdinand Marcos Jr. on Wednesday insisted the premium rate hike for the Philippine Health Insurance Corporation, or PhilHealth, must be based on a cost benefit analysis.

In an interview before his departure for Canberra, Australia, the Chief Executive said he has no objections to the increased rate as long as it would provide added benefits and better coverage for the beneficiaries.

""What we are trying to determine is that if we are going to increase the contribution from 4 percent to 5 percent, what will be gained? It's really a cost-benefit analysis and PhilHealth has been expanding its services and trying to reach more people and trying to engage more people," he told reporters.

"And for example, the payment for, like, the dialysis, increased almost three times. The payment for cancer has increased tenfold. If it is beneficial), then if we can justify the increase, then we'll do it. But if we cannot, then we won't. It's that simple. It's just a very straightforward cost-benefit analysis. It's still under study but we'll come to a conclusion very very soon," he added.

The increase is in accordance with the Universal Health Care (UHC), enacted in 2019 by then president Rodrigo Duterte, with the law mandating that the PhilHealth contribution rate be increased to 5 percent by 2024.

A hike of 4.5 percent was supposed to be implemented last year, but Marcos ordered its suspension as well as the income ceiling hike as members are still reeling from the effects of the coronavirus pandemic.