The National Health Insurance Fund is set to be discontinued as the new Social Health Insurance Fund takes effect on 1st October 2024.
In a public notice released on Sunday, NHIF CEO Elijah Wachira said the last date for NHIF is September 30, 2024.
“As such, every Kenyan citizen, including dependents, is mandated by law to register as a member of the SHA,” the notice read.
Wachira also directed all employers to ensure their employees are registered with SHIF before October 1, 2024.
The establishment of the fund followed the Government’s efforts to achieve Universal Health Coverage in accordance with the Bottom-Up Economic Transformation Agenda (BETA).
The SHIF is operated under the Social Health Authority, which was established under the Social Health Insurance Act 2023. The authority’s primary goal is to pool all contributions made under the act.
Unlike the NHIF which did not require mandatory registration for non-salaried Kenyans, the new Act obligates every Kenyan and foreigners residing in Kenya to register with the Authority. Failure to register means that a person will not access the services.
SHA mandates employers to contribute 2.75% of the employees’ salaries to the new health insurance fund.
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However, the High Court declared several provisions of the Act declared unconstitutional. The suspended provisions include the Primary Health Act, the Digital Health Act, and the Social Health Insurance Fund Act.
The High Court called for proper public participation because of the profound implications of the legislation.
Additionally, the development follows the claims that NHIF lost Kshs 21 billion in the 2021/2022 financial year. The fraud reportedly occurred through Incurred But Not Reported (IBNR) claims.
