3.77mn NHIF members set to lose medical services

3.77mn NHIF members set to lose medical services
Chairman Linus Gitahi says FKE is specifically not comfortable with charging of the rates based on employees' gross income and should instead be based on one's basic pay/FILE

NAIROBI, Kenya, Jan 13 – 3.77 million National Hospital Insurance Fund (NHIF) members are set to lose medical services at private and Government health facilities after failing to pay monthly premiums.

NHIF data for the financial year ending June 2022, shows that members who have defaulted on monthly contributions rose to 8.8 million from 5.03 million in a similar period last year.

The increase in defaulters comes at a time when firms were firing employees amid an economic challenge caused by the Covid-19 pandemic.

“The target was not achieved due to macro-economic factors in the country which caused companies to downsize, reduce salaries and some to close,” the report said.

“The informal sector has also faced financial challenges caused by the poor economic conditions thus making it difficult for members of this sector to make their voluntary contributions to the fund and adverse selection,” it added.

Policyholders who default on NHIF monthly contribution are usually denied access to medical services unless they pay.

However, members are afforded a grace period to re-activate their accounts. They will, however, have to wait for three-months to enjoy the cover.

In November last year, NHIF said Sh3.8 billion in cancer treatment was paid for over 47,000 patients in the last financial year.