Kenyans To Begin Contributing To SHIF In July 2024

Citizen Digital

Published on:Feb.,26 2024,3:46 PM(EAT)

Kenyans will begin contributing to the Social Health Insurance Fund (SHIF) in July 2024.  

Terry Rotich, the acting corporation secretary at the Social Health Authority (SHA) on Monday said payment of contributions and access to healthcare under the scheme will commence on July 1 and not March, as announced earlier.

Ms Rotich announced that every Kenyan will be required to apply to the authority for registration as a SHIF member by June 30.

“All persons in Kenya shall continue to pay their contributions to the repealed NHIF and receive services under the repealed NHIF and the data of the repealed NHIF shall be retained until all claims have been settled,” she said.

She further noted that current NHIF members shall also be required to register afresh with the authority as members of SHIF.

SHIF is meant to phase out the National Health Insurance Fund (NHIF) and will scrap the current maximum of Ksh.1,700 contribution, exposing employed Kenyans to higher deductions.  

Terry Rotich, the acting corporation secretary at the Social Health Authority (SHA) on Monday said payment of contributions and access to healthcare under the scheme will commence on July 1 and not March, as announced earlier.

Health Cabinet Secretary Susan Nakhumicha had earlier announced that payment to the health fund would begin in March.

Under the new insurance plan, a household whose income is derived from salaried employment shall pay a monthly statutory deduct contribution to SHIF at a rate of 2.75 per cent of the gross salary.

The amount payable every month shall not be less than Ksh.300.

In the new health fund, Kenyans earning a gross salary of Ksh.50,000 will pay Ksh.1,375 up from the current Ksh.1,200 while those earning over Ksh.100,000 will part with Ksh.2,750 up from Ksh.1,700.

The most affected are the high earners, those earning Ksh.500,000 in gross income will pay Ksh.13,750 up from Ksh.1,700 and those getting a gross salary of Ksh.1,000,000 will pay Ksh.27,500.

Meanwhile, a household whose income is not derived from salaried employment shall pay an annual contribution to SHIF at a rate of 2.75 per cent of the household income as determined by the means-testing instrument.

The amount payable shall be paid fourteen days before the lapse of the annual contribution of the beneficiary.

Under the scheme, a beneficiary may access treatment outside Kenya in cases where the contributions in favour of the beneficiary comply with sections 27(1) and 2 of the SHIF Act; where the treatment sought is not available in Kenya; and the treatment sought is being provided by a healthcare provider contracted by the authority.

A beneficiary who requires treatment from outside Kenya shall request the authority to authorise treatment by providing a referral overseas.