According to the Insurance Commission (IC) data, from 6.78 million pesos in the same period last year, the Health Maintenance Organization (HMO) industry's net income growth rate in the first quarter was 573.9 million p573.9 million.
This increase was attributed to 26.15% of membership fee collection revenues during the period, accounting for 97.52% of the industry's total revenue, which accounted for 24 submissions in the same period in 2024, according to data from 28 HMO.
The IC said the increase in membership fees is driven by qualified government employees as part of its coverage.
“This significant growth shows that the industry continues to recover from the impact of the pandemic… These statistical growth is more than just numbers. They are reassuring to show that the HMO industry continues to be a strong and reliable industry that enables Filipinos to provide health care security and ultimately raises the lives of Filipinos,” said Reynaldo A. Recalado, ultimately making Filipinos' lives exciting. ”
The industry's total assets rose 22.67% in the first quarter from P71.31 billion in the same period last year to pes 87.48 billion, due to higher revenue from financial assets due to net membership fees, amortization costs and bank cash. Cash on hand and net deposits to healthcare providers increased by 119.68% and 127.55% respectively.
Total investment assets accounted for 21% of the total assets, an increase of 11.03% year-on-year to 18.37 billion p18.37 billion.
This is because cash equivalents increased by 23.37%, and investments in subsidiaries, joint ventures and colleagues soared by 86.92%.
356.82% loans and accounts receivable and 16.55% growth in government securities investments also helped drive growth in HMOS consolidated investment assets.
As retained earnings soared by 120.49%, the industry's total stock also rose 21.77% to 11.96 billion P11.96 billion.
Meanwhile, the industry's total spending increased by 20.02% year-on-year to Pesos 2.41 billion.
“This is because claims for health care benefits and payments have increased by 17.41% year-on-year, accounting for 78.87% of total industry spending,” the IC said.
Total HMOS liabilities rose 22.82% to Pesos 75.52 billion.
“This increase is mainly due to an increase in membership fees of 78.73%, totaling pesos 17.89 billion, which is crucial for HMO to fulfill its financial obligations and ensure the long-term sustainability of its operations,” the regulator said. – AMCS
