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NHIF to continue services as court suspends SHIF ruling

Derrick Omwakwe by Derrick Omwakwe
July 26, 2024
in News
Reading Time: 2 mins read

The government will continue providing services through the National Health Insurance Fund (NHIF) to prevent any disruption in health financing.

This decision follows the High Court’s suspension of its earlier ruling, which declared the Social Health Insurance Fund (SHIF) unconstitutional, after an appeal from the Attorney-General’s office. The court had initially stated that the Social Health Insurance Act violated several constitutional provisions related to healthcare.

The three-judge panel has suspended their ruling for 45 days, allowing the Attorney General to appeal the decision. Elijah Wachira, Chief Executive Officer of the Social Health Authority (SHA), acknowledged the court’s ruling and stay orders, ensuring the continuation of operations.

“We assure you that all NHIF obligations will be honored according to existing contracts with service providers and fund members. Preparatory activities to ensure SHA’s success will continue alongside efforts to comply fully with court orders,” said Wachira.

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“Activities such as membership registration, validation of benefit packages, engagement with health facilities for contracting, and public education for effective participation will proceed as scheduled,” he added.

The Social Health Insurance Act, enacted on October 19, 2023, and operational from November 22, 2023, has seen progress including the establishment of the SHA Board, development of regulations, and creation of tariffs and benefit packages. Additionally, a centralized digital platform is being developed for registration, contributions, benefit management, and other services.

Outgoing Health Cabinet Secretary Nakhumicha Wafula argued that the current NHIF financing is unsustainable, as it relies heavily on contributions from employed individuals, which is insufficient to meet the health needs of the 80.0% of Kenyans who are not on payroll. This system, she contends, promotes inequality and disadvantages the majority of Kenyan households.

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