The Philippine Red Cross (PRC) and the Philippine Health Insurance Corporation (PhilHealth) reaffirmed their long-standing partnership through the signing of a supplemental Memorandum of Agreement (MOA).
This marked a renewed commitment to strengthening collaboration in public health response.
The ceremony, held at the PRC Tower in Mandaluyong City, was attended by PRC Chairman and CEO Dick Gordon and Secretary General Dr. Gwendolyn Pang; PhilHealth Acting President and CEO Dr. Edwin Mercado, Vice President for Membership Dr. Joseph Lachica and their delegation.
The supplemental agreement formalizes PhilHealth’s fulfillment of its financial obligations to PRC, including ₱152 million for services rendered during the height of the COVID-19 pandemic. This represents the final tranche owed for molecular testing, tracing, isolation, and vaccination support provided by the PRC from 2020 to 2025.
“When I assumed office, one of my first priorities was to settle our obligations.”
In his message, Mercado underscored PhilHealth’s commitment to transparency and accountability, noting that settling PRC’s dues is part of his efforts to restore public trust.
“When I assumed office, one of my first priorities was to settle our obligations. We aim to regain the trust of our members and partners,” the PhilHealth chief said. “We have the same objective… to save the people.”
He also announced that PhilHealth would expand its benefits coverage to include land ambulance services—an initiative long supported by the PRC.
“About 90 percent of our emergency responses are free. With PhilHealth now covering pre-hospital care, organizations like the Red Cross can recover costs and make operations more sustainable,” explained Jaylord Abrigado, Manager for Safety Services, describing the initiative as an “answered prayer”.
“This shows that [the] government can work—with great leadership.”
Gordon expressed appreciation for the release of funds and the renewed partnership, stressing how collaboration between government and humanitarian institutions tangible results.
“This shows that [the] government can work—with great leadership,” he said. “We did not demand payment out of profit, but [for] services rendered. When the government had no testing capacity, we stepped in out of necessity. We serve not because we expect people to owe us, but because it’s our humanitarian duty.”
Gordon also reminded those present of the Red Cross’ guiding principle: “We serve without expecting anything in return. What matters is saving lives.”
Both PhilHealth and the PRC expressed confidence in their partnership through initiatives such as the YAKAP Program, which will provide health assistance to PRC staff and beneficiaries.
The signing concluded on a note of gratitude and renewed resolve, as both organizations pledged to continue working together to protect the health and well-being of the Filipino people.

