The government is implementing Universal Health Coverage (UHC) through the Social Health Insurance Fund (SHIF), which will replace the current National Health Insurance Fund (NHIF). The mass registration for SHIF began on July 1, 2024, after a delay pushed the launch to October 1, 2024. The initiative aims to ensure that all Kenyans, including those in formal and informal employment, register with the new Fund.
Under SHIF, those in formal employment will contribute 2.75% of their salaries in monthly deductions, while those in the informal sector will pay Ksh. 500 monthly. This is a change from NHIF, where employees’ contributions vary based on salary, and self-employed Kenyans make a voluntary contribution of Ksh. 500. The government plans to include over 17 million youths who are not NHIF members in the new program.
It will be mandatory for anyone over 25, including the unemployed, to pay SHIF. Health Cabinet Secretary Susan Nakhumicha mentioned observing the economic activities of the unemployed and self-employed to determine their contributions through mobile money platforms.
The Social Health Act 2023 mandates registration with SHIF for all Kenyans and foreigners residing in Kenya. Failure to register means individuals will not be able to access government services and will face penalties, including fines and imprisonment. Employers who fail to remit contributions, making false statements during registration, misappropriating funds, or engaging in fraudulent activities will also face severe penalties including fines, imprisonment, or both. Healthcare facilities that manipulate information to defraud the government risk heavy fines, suspension, or removal from the register of contracted healthcare providers.
