Decoding Kenyan Health Insurance: Your Essential Deductions Unveiled (Infographic)
Health Cabinet Secretary Susan Nakhumicha has published regulations of the Social Health Insurance Fund which prescribes contributions to be made by all Kenyans.
According to the regulations released on Thursday, all Kenyans, both in the formal and informal sectors, will remit a percentage of their salaries to cater for the newly formed insurance fund.
Employed Kenyans
All employed Kenyans will see 2.75 per cent of their gross salary deducted every month to cater to the fund.
The ministry set Ksh300 as the minimum contribution for those with a monthly salary.
“The Cabinet Secretary to the National Treasury shall deduct and remit the contributions of employees in the public service in the National Government and in a public office in the National government to the Authority on behalf of the National Government by the ninth day of each month.
“The County Executive Committee member for finance to the County Treasury shall deduct and remit the contributions of employees in the county public service to the Authority on behalf of county public offices by the ninth day of each month,” read the regulations in part.
Kenyans in the Informal Sector
On the other hand, Kenyans in the informal sector will also have to part ways with 2.75 per cent of their monthly income.
Similar to salaried Kenyans, Ksh300 was set as the minimum contribution one can make. The only difference between them and Kenyans who are employed is that they will have more time to make the payments.
“The amount payable shall be paid fourteen days before the lapse of the annual contribution of the beneficiary.
“The Authority, in collaboration with the Ministry responsible for cooperatives and micro, small and medium enterprises development and other financing institutions, shall provide premium financing to non-salaried persons to enable them to pay their annual contributions within the intervals under which their income becomes available,” read the regulations in part.
COMPARISON OF NHIF VS SHIF DEDUCTIONS
Needy Families
Families who are considered needy will have health insurance all catered for by the national government or the county government.
“The Ministry of Health, the Ministry of Social Protection and the county governments shall identify the households that require financial assistance and submit the list of such households to the Authority.
“The Ministry responsible for social protection shall be liable as a contributor in the case of national government. The County Executive Committee member responsible for social protection shall be liable as a contributor in the case of the county government,” the regulations stipulated,” the regulations stipulated.
Persons Under Lawful Custody
This caters to Kenyans who are in Prison for various offences.
As per the regulations, the State Department for Correctional Services under the Ministry of Interior will be responsible to cover for the health insurance.
Decoding Kenyan Health Insurance: Your Essential Deductions Unveiled (Infographic)
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