The Ministry of Health has announced guidelines on how to register for the Social Health Insurance Fund (SHIF).
SHIF is set to officially replace the National Health Insurance Fund, after a series of legal troubles. NHIF has been in existence since 1966.
Effective October 1, 2024, SHIF will take over and will be mandated to provide Universal Health Coverage (UHC) for all Kenyans.
Employers are required to migrate employees to SHIF by September 30, 2024.
What is SHIF?
The Social Health Insurance Fund is a new healthcare fund that was established under the Social Health Act of 2023. It is set to replace the current NHIF system and take over the mandate of providing UHC.
SHIF will be tasked with managing health insurance contributions from both salaried and non-salaried individuals, and the government will be required to contribute on behalf of low-income Kenyans who cannot afford the monthly premiums.
The transition from NHIF to SHIF is set to enhance access to healthcare services for all Kenyans. However, the new fund has faced opposition from Kenyans, with critics questioning its viability over the old healthcare system.
How to Register for SHIF
Employers and individuals must use the new SHA Employer Portal to manage contributions and update employee information.
Here is the process to access the registration portal:
Step 1: Visit SHA website
Start your SHIF registration by going to the SHA employer portal at https://sha.go.ke/. Choose the option to create an Employer Account.
Step 2: Verify your account
Complete the verification process by following the instructions sent to your email. Verify that the information submitted is accurate.
Step 3: Register your employees
Once you verify your account, start adding your employees to the SHIF system. You will be required to add their name, ID, and dependents.
Step 4: Remit employee contributions
Once you have registered your employees on SHIF, you will be required to remit their contributions. Contributions are calculated at 2.75% of the employee’s gross salary. You can use the portal to track payments and generate reports.
Contribution and penalties
SHIF members are required to contribute 2.75% of their gross income, with no maximum contributions. The minimum contribution is Ksh.300, and contributions must be remitted by the 9th of the subsequent month.
Non-salaried individuals are required to make an annual contribution of 2.75% of their household income, with the minimum contribution capped at Ksh.300. The contribution must be remitted within 14 days before the lapse of the annual contribution deadline.
Failure to remit the contribution by the deadline will result in a penalty equivalent to 2% of the unpaid contribution for the specific period. The full annual contribution must also be remitted at the same time.
Employers who fail to remit contributions or make unauthorized deductions from employees will be liable for a fine not exceeding Ksh.2 million, or imprisonment for a term not exceeding three years.
Government sensitization
With the October 1, 2024, deadline fast approaching, the government has embarked on a countrywide sensitization to encourage salaried and non-salaried workers to transition to SHIF.
The Health CS Deborah Baraza announced that over 1.2 million workers have completed the voluntary registration. She encouraged Kenyans to register ahead of the deadline to be included in SHIF and continue enjoying health insurance coverage.