Kenya's Social Health Insurance Premiums Revised to Benefit High Earners

 

Kenya has capped Social Health Insurance Fund premiums at Sh5,000, sparing high-income earners from potentially paying over Sh22,000 a month, as initially proposed in the Social Health Insurance Bill, 2023. Health Cabinet Secretary Susan Nakhumicha and NHIF acting CEO Samson Kuhora confirmed the revision, with a minimum contribution of Sh300 for formal workers. These changes aim to support the government's universal health coverage plan by using higher charges on top earners to subsidize healthcare for low-income households.

The NHIF, which collected Sh78.84 billion in premiums in the year to June 2022 (short of the Sh90.57 billion target), has faced difficulties in paying hospitals for services rendered, leading private hospitals to turn away NHIF-covered patients due to unpaid claims totaling at least Sh12 billion. This highlights the urgent need for financial reform in the scheme.