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Responding to the suit, Medocare explained that while it may be true that some of the PSSLAI members were issued Medocare cards with validity extending beyond July 31, 2015, the coverage for those members were subject to the terms of the August 2014 contract.
Medocare should not be blamed since PSSLAI had always known that the contract would terminate at midnight of July 31, 2015, as clearly expressed in the same.
Medocare said it first entered into contract with PSSLAI, through its vice chair and chief executive officer Lucas Managuelod, sometime in 2012.
Medocare claimed PSSLAI demanded an P800-per member mark-up and a 12-percent commission which had accumulated to more than P10.86 million through the years.
In the complaints, PSSLAI claimed that it entered into a corporate health care program contract with Medocare covering delivery of dental, preventive, diagnostic and treatment services, annual physical examinations, medical emergency care, out-patient and in-patient hospital access to PSSLAI member-account holders.
Without formal notice to the PSSLAI and its members, Medocare stopped honoring its own cards even though they indicate validity dates beyond July 31, 2015, Cruz said.
Cruz said PSSLAI members from the Philippine National Police who enrolled late with Medocare, filed membership applications and paid premium payments after Aug.
In the complaints, PSSLAI claimed that it entered into a Corporate Health Care Program Contract with Medocare covering delivery of dental, preventive, diagnostic and treatment services, annual physical examination, medical emergency care, out-patient and in-patient hospital access to PSSLAI member-account holders.
PSSLAI also alleged that a total of 1,130 applications from late enrolees were accepted by Medocare in October 2014 to July 2015 with total premium payments amount of P8,530,700.
Cruz said that due to the numerous complaints from its members, PSSLAI was compelled to refund the unutilized portions of health care program coverage under the contract.
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