One of the first gateways into our “adulting” journey is thinking about social security. Whether you’re planning to buy a house, preparing for retirement, or saving up for insurance, it’s essential to subscribe to different insurance programs to prepare for the future.
If you’re currently employed, we’re sure you’re already familiar with the government-mandated insurance programs, namely SSS, Pag-IBIG, and PhilHealth. But they’re not just the simple deductions to your salary every month. Rather, they are robust programs that can support you financially in times of need.
It’s important to be informed about the different benefits that you can avail of in order to maximize your memberships in these insurance programs. Here we list down the many government benefits offered by SSS, Pag-IBIG, and PhilHealth.
The Social Security System, or SSS, is the government’s all-around insurance program for private employees and voluntary members. SSS aims to provide protection for its members against contingencies like illness, maternity, old age, and death. The counterpart for government employees is the Government Service Insurance System (GSIS).
SSS is mostly known for its retirement benefit for its members that are no longer working due to old age. The cash benefit can be received as a monthly pension or a lump sum.
The Sickness Benefit is given as a daily cash allowance for the number of days that you are unable to work. The allowance depends on the total contributions you have made within the last 12 months.
If you have recently been partially or totally disabled, you can avail of a cash benefit, either as a monthly pension or a lump sum.
Female SSS members that have recently given birth or have suffered a miscarriage can avail of SSS’s maternity benefits through daily cash allowances.
Primary beneficiaries of a deceased SSS member, such as their spouse or dependent children, will receive a monthly death pension.
If you sponsored the funeral and burial expenses of a deceased SSS member, you can apply for a funeral grant of Php 20,000.
You can apply for a one-month (or two-month) salary loan, which will be equivalent to the average (or twice the average) of your 12 Monthly Salary Credits (MSCs). This loan is multi-purpose and can be used to finance different purposes. The interest rate is at 10% per annum.
You may want to read: How To Get SSS ID Number Online
The Home Development Mutual Fund (HDMF), or better known as the Pag-IBIG Fund, is the national savings program and house financing plan for Filipinos. Most known for its affordable housing loans, A Pag-IBIG membership also offers short-term loans for different purposes, as well as robust savings programs.
The Pag-IBIG End-User Home Financing (EUHF) program loan is one of the most economical if you’re looking for a way to finance your residential purchase or construction. This loan lets you borrow up to Php 6 million with flexible payment terms and interest rates as low as 5.375% per annum.
If your area has been devastated by a calamity such as a typhoon or a landslide, you can avail of Pag-IBIG’s Calamity Loan. This short-term loan provides a lump sum equivalent to up to 80% of your total accumulated value (TAV). The interest rate is at a low 5.95% per annum, and you’re also given a grace period of 3 months before you need to start paying.
Aside from calamities, you can also avail of a Multi-Purpose Loan (MPL) if you’re looking to finance other purposes like medical expenses, tuition fees, or an auto purchase. For the MPL, the interest rate is at 10.75% per annum.
More than just an insurance and house financing plan, Pag-IBIG is also a savings program. The average dividend rate is at 7.65%, higher than most banks. Because it’s handled by the government, your earnings through the fund are risk-free and tax-free.
You may want to read: Guide to Pag-IBIG Fund Online Registration
PhilHealth is the government’s health insurance program that aims to provide financial assistance and access to health services during health crises. This covers subsidies for inpatient and outpatient services, as well as benefits packages for different medical conditions.
When you or your dependent is admitted to a PhilHealth-accredited hospital, PhilHealth subsidizes your different medical expenses, like room and board, professional fees, and drugs and medicine.
PhilHealth also covers different outpatient or ambulatory services, like day surgeries, hemodialysis, and blood transfusion. For senior citizen members, they can also avail of the expanded primary care benefit for consultations and essential services.
Depending on the type of delivery, your PhilHealth maternity benefits can subsidize the costs of your delivery and prenatal care. You can avail the Normal Spontaneous Delivery benefit or the Caesarean Section benefit at a PhilHealth-accredited hospital, or the Maternity Care Package at birthing homes and midwife clinics.
The baby is also covered with the Newborn Care Package for newborn screenings and vaccinations.
PhilHealth especially covers Type Z diseases, those that are considered medically and financially taxing. This includes high-risk diseases of children, organ transplants, and different types of cancer.
If you or your dependent is suffering from a condition related to the Sustainability Development Goals (SDG), then you are also covered by your PhilHealth membership. This includes HIV-AIDS, malaria, and tuberculosis.
Stay informed to make sure that you get the most out of these government insurance programs, and so that you know where to go for financial support in times of need.