SHIF Will Collapse And Court Battles Will Be Witnessed – Senator Ledama

HomeNewsSHIF Will Collapse And Court Battles Will Be Witnessed - Senator Ledama

SHIF Will Collapse And Court Battles Will Be Witnessed – Senator Ledama

Senator Ledama Olekina from Narok contends that the envisaged Social Health Insurance Fund (SHIF) is unlikely to endure following the enactment of the Social Health Insurance Act in 2023.

According to Olekina, the introduction of the SHIF, intended to take over from the National Hospital Insurance Fund (NHIF), will place an additional tax burden on Kenyans while compromising the provision of adequate healthcare services.

During a panel discussion with Citizen TV on Monday, the lawmaker mentioned that the plan is at risk of being undermined by corrupt individuals, potentially leading to prolonged legal conflicts.

“All these pieces of legislation are sponsored by special interests, companies out there and you’ll find that some of the companies that will be given those contracts are associated with very senior politicians,” said Olekina.

“We are behaving as if we live in a first world forgetting that we live in a dilapidated, corrupt environment in which we are led by sycophants. This will collapse, there will be a myriad of cases, people filing lawsuits daily.” 

During the panel discussion, Silvanus Osoro, the National Assembly Chief Whip and South Mugirango MP, voiced support for the initiative, contending that it would contribute to leveling the playing field in delivering services within the health sector.

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“This whole thing intends to make sure that every person is covered. We need to be our brother’s keepers,” he said. 

“We want to get to a level where getting health services is almost entirely free because you have contributed you can walk into any hospital and get services.” 

He also acknowledged that the program is poised to encounter a significant hurdle in the form of under-equipped hospitals, which could impede the success of the ambitious initiative.

The SHIF requires salaried workers to contribute 2.75% of their monthly income, while non-salaried individuals in Kenya must make a minimum contribution of Ksh.300.

The High Court had prohibited the enforcement of the Act until January 19, but the Court of Appeal subsequently revoked the orders imposed by the High Court.

In their verdict, a three-judge bench ruled that owing to the suspension of the roll-out of the new health fund, there is “a real and present danger to the health rights of countless citizens who are not parties to the litigation pending before our courts.”

SHIF Will Collapse And Court Battles Will Be Witnessed – Senator Ledama

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