editorials
Match NHIF discounts with enhanced benefits
Tuesday 02 May 2023
The National Health Insurance Fund building in Nairobi in this photo taken on February 9, 2022. Photo | Jeff Angott | NMG
The plan to increase contributions to the National Health Insurance Fund (NHIF) must be well-integrated and compatible with enhanced benefits and high-quality services.
President William Ruto said Monday that the current rates, at which salaried workers pay between 150 and 1,700 shekels depending on their monthly salary, will be phased out and replaced with a flat rate of 2.7 percent of the salary.
The effect of the changes is that people earning between Sh39,999 and Sh100,000 a month will see their contributions rise by between eight percent and 74 percent.
There will be steeper hikes for those with incomes above Sh100,000. While the move is intended to give the National Health Insurance Fund more money to support the state’s universal health coverage program, the increased contributions must be accompanied by enhanced benefits.
The changes also come at a time when workers are grappling with the rising cost of living in an environment where pay increases are hard to come by.
So the state should consider implementing a staggering 2.7 percent rebate to balance survival with healthcare funding.
On Monday, Dr. Ruto did not announce any wage review despite union calls, leaving workers vulnerable to a cut in inflation-adjusted wages.