13 individuals, chaired by the Secretary of Health, with the President and CEO of PhilHealth as vice-chair. While the law, RA 7875, that created the National Health Insurance Program provides that the President and CEO has a fixed term of 6 years, with the passage Republic Act 10149 or the "GOCC Governance Act of 2011, Salaries and other operating expenses are derived from premium payments and the income of the funds under management. PhilHealth can use up to 12% of the previous year's premium and 3% of the income of the fund it manages towards operating expenses. Congress mandated that the National Institutes of Health (based at the University of the Philippines Manila) to conduct studies to verify and validate performance. Provider payment mechanism Provider payment methods differ based on the illness or diagnosis. Case Rates are used for inpatient care, most day surgeries, and ambulatory procedures, TB-DOTS treatment, malaria care, deliveries, surgical contraception, and cataract surgeries, while primary care benefits providers are reimbursed based on a capitation system. No formal system sets deductibles or co-payments for beneficiaries, but health care providers are allowed to "balance bill", charging patients the balance between what PhilHealth pays and the total cost of care. This is atypical of most government health programs around the world and can lead to abuse by providers (e.g., overcharging) and thus limited access for the poorest. At the same time, balance billing allows providers additional cost recovery in the case that the reimbursement for services does not cover their cost. Quality PhilHealth currently leverages internally developed quality standards. A new set of standards called the "PhilHealth Benchbook" was implemented starting January 1, 2010. The Benchbook was developed by PhilHealth with the assistance of various international health partners and several rounds of consultations with health providers. The previous and new quality standards are overseen by PhilHealth. The new quality standards focus on patient rights, organizational ethics, patient care, leadership and management, human resource management, information management, safe practice and environment and mechanisms of improving performance. As of 2011, hospital accreditation is valid for up to 3 years. PhilHealth accreditation staff physically check and verify compliance. PhilHealth has peer review committees mostly composed of health care providers who review specific cases. PhilHealth planned to implement quality-based purchasing but had not executed on this plan . Performance-based payment PhilHealth has been developing incentives focused on payment to health care professionals. Doctors