COVID-19 Expenses vs your Savings: Can you afford it?

Have you ever wondered how much would it cost you if, God forbid, you got infected with this COVID-19 disease? Are you even prepared to shell out anything?

In an article published by PEP.ph, they were able to talk to an immediate family member of a patient who recently recovered from the coronavirus. Based on the receipts, the patient was discharged with a whopping P1,112,327.59 hospital bill. This is for a private hospital in Metro Manila.

PhilHealth's Coverage

Thanks to PhilHealth (Philippine Health Insurance Corporation), we are all not required to shoulder the entire hospital expenses. 

In an official statement released by the agency, PhilHealth is generously covering the full cost of treatment for all COVID-19-related cases until April 14, 2020.

Take note of the date - April 14. That's just basically until tomorrow. President Rodrigo Duterte extended the lockdown until April 30 and there's still some possibilities that it would be further extended given that we are only about to do mass testing.

So, what happens after April 14? Do we now have to pay the entire medical expenses?

Latest reports show improved rates noting that PhilHealth's coverage for Filipinos diagnosed with COVID-19 will now be as follows:

• Mild pneumonia- PHP 43,997
• Moderate pneumonia- PHP 143,267
• Severe pneumonia- PHP 333,519
• Critical pneumonia- PHP 786,384

Yes, it's no longer free. And, it's now based on severity. These new rates will be applied across all PhilHealth-accredited hospitals beginning April 15.

The figures above exclude COVID-19 testing and community isolation expenses. Some local government units are shouldering these but for some, you may still have to pay. Based on the President's report to Congress last April 6, below are the proposed rates:

• P8,150 (all components covered by the package)                                             
• P5,450 (if the kits are donated)
• P2,170 (PRC testing unbundled) 
• P22,449 (Community Isolation with LGU overhead)

How about HMO's coverage?

For those employed, your employers may have gotten you an HMO (Health Maintenance Organization) card which should help you on medical situations such as this. However, the amount they can cover varies depending on the package your employer availed for you. Also, there were HMO companies who are no longer covering COVID-19 patients after it was declared a pandemic.

As early as now, it would be best to contact your employer's human resources team to check your HMO coverage for COVID-19.

Will my insurance suffice?

Lucky to those who have prepared for emergencies like this as insurance companies here in the Philippines could still save them. Similar to HMOs, insurance companies have different products that are positioned to help their clients in varying stages of life. This is the best time to reach out to your respective financial advisors to review your existing insurance policies and check if they got you covered.

Note: Pru Life UK is offering free 45-day COVID-19 coverage. Click this post on how to get one.

How much should I have in savings for COVID-19?

Based on the computations above, you should have roughly around Php 1 million in savings to get proper treatment from medical professionals. Again, this is for private hospitals. Government-owned medical facilities could significantly cut your expenses.

Do you have Php 1 million in your savings? If you don't, better to stay at home and keep yourself healthy. You can't afford to get sick specially now.

When this quarantine is over, make sure to get yourself insured. And when we say insured, you have to be properly insured.

Contact your #KuripotFromPru team to book for a FREE consultation here.

Photo Credits: PEP.ph