PhilHealth vs Health Insurance: What’s The Difference? – Practical Advice

This is one of my least favorite topics and one that, unfortunately, I’m always being asked about – Health Insurance.

Health insurance works differently in the U.S. compared to the Philippines.

Let’s talk about how it is in the Philippines, so you’ll know what your OFS deals with.

In the Philippines, Filipinos aged 21 years and above who can pay their premiums can have PhilHealth membership. The agency subsidizes the member’s hospital bills based on the amount they have incurred. Typically, they cover parts of doctor’s professional fees, laboratory tests, and other medical costs. 

PhilHealth covers some of the costs. Some. 

We all know that hospitalizations are not cheap. They are expensive, and even if PhilHealth covers some of the costs, a typical Filipino family would still have difficulty finding extra cash to cover the remaining bill.

This is where HMOs come in. Emergency assistance, confinement, and some medical procedures are covered by these private health providers. This means individuals with HMO won’t have to bear the impact of the cost of hospitalization and allows them to focus on getting better.

I have said it before, and I’m saying it again – you are not obliged to give your OFS an HMO.

One of the perks I give my OFSs is that I pay for their private HMO on top of their PhilHealth. I choose to do this for my OFSs because I want them to know that I value them.

This practical advice is just one of many we have on our blog. Head on to our outsourcing education page to catch the whole series.

You can also check out how to get started on hiring Rockstar Virtual Assistants.

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About John Jonas

John Jonas is a long-time outsourcing expert and the creator of

Since 2005, John has taught hundreds of thousands of entrepreneurs how to profitably delegate to VAs in the Philippines (and get their lives back in the process).

With help from his own VAs based in the Philippines, John has created an outsourcing empire that allows him to work 17 hours/week and to spend most of his time with his wife and 5 kids.

Find John at and Facebook.

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