Social Health Authority Sets New Date for SHIF Deductions

February 27, 2024

Kenyans will start contributing to the Social Health Insurance Fund (SHIF) from July 1, 2024.

Terry Rotich, the acting corporation secretary at the Social Health Authority (SHA), clarified on Monday that the payment of contributions and access to healthcare under the scheme will begin on July 1, contrary to the previously announced date of March.

Ms. Rotich further stated that every Kenyan must apply to the authority for registration as a SHIF member by June 30. She also emphasized that existing NHIF members will need to undergo a new registration process with the authority to become members of SHIF.

“All persons in Kenya shall continue to pay their contributions to the repealed NHIF and receive services under the repealed NHIF and the data of the repealed NHIF shall be retained until all claims have been settled,” she said as quoted.

Health Cabinet Secretary Susan Nakhumicha previously announced that payments to the health fund would commence in March.

Under the new insurance plan, households with income from salaried employment will make a monthly statutory deduction contribution to SHIF at a rate of 2.75 percent of the gross salary.

The monthly payable amount shall not be less than Kes. 300. Simultaneously, households whose income is not sourced from salaried employment will be required to make an annual contribution to SHIF at a rate of 2.75 percent of the household income, as determined by the means-testing instrument.

In the revised health fund structure, individuals earning a gross salary of Kes. 50,000 will pay Kes. 1,375, up from the current Kes. 1,200, while those earning over Kes. 100,000 will contribute Kes. 2,750, up from Kes. 1,700.

High earners are most impacted, with those earning a gross income of Kes. 500,000 paying Kes. 13,750, up from Kes. 1,700, and those with a gross salary of Kes. 1,000,000 paying Kes. 27,500.

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