The Ministry of Health (MoH) has unveiled new measures to boost revenue collection for the Social Health Insurance Fund (SHIF), targeting a Ksh.102 billion budget for the 2025/26 financial year.
Appearing before the Senate Health Committee on Tuesday, March 19, Health Cabinet Secretary Deborah Barasa outlined plans to integrate SHA registration with key government agencies, including the Kenya Revenue Authority (KRA), National Transport and Safety Authority (NTSA), and Huduma Namba.
This comes as SHA registration and contributions remain below government targets, despite the fund replacing NHIF in October 2024.
Table of Contents:
Employer Compliance Measures
To enforce compliance among employed Kenyans, CS Barasa announced a multi-pronged strategy:
✅ Random Employer Audits: SHA compliance officers will conduct surprise checks on companies to verify remittance records.
✅ Payroll Integration: Employers will be required to link SHA contributions with HR software such as Oracle and QuickBooks for automatic deductions.
✅ PAYE Linkage: SHA contributions will be directly tied to pay-as-you-earn (PAYE) deductions to ensure seamless compliance.
✅ Employer Sensitization: The government will conduct SHA workshops for HR teams, send compliance reminders, and engage employers via LinkedIn, webinars, and industry forums.
Additionally, financial penalties will be introduced for employers failing to register and remit SHA contributions.
Targeting Informal Sector & Digital Expansion
To increase coverage among informal sector workers, MoH plans to introduce:
✔ Community Engagement: Mobilizing local trade unions, co-operatives, and grassroots organizations.
✔ Mobile-Based Registration: Enabling sign-ups via M-Pesa, USSD, and online platforms.
✔ Influencer & Digital Marketing: Leveraging social media and popular influencers to create awareness.
✔ Flexible Payment Models: Allowing daily, weekly, or monthly contributions for informal workers.
✔ Subsidies for the Vulnerable: Offering government-backed SHA subsidies for elderly, poor, and low-income households.
SHA Revenue Collection & Public Concerns
Since replacing NHIF in October 2024, SHA has collected Ksh.36.8 billion, distributed across three funds:
- Primary Health Care Fund (PHCF) – Government-funded
- Emergency, Chronic & Critical Illness Fund (ECCIF) – Government-funded
- Social Health Insurance Fund (SHIF) – Member contributions
As of March 15, 2025, SHIF had raised Ksh.31.2 billion, with 18.9 million Kenyans already registered.
However, the new health scheme has faced public backlash over:
❌ Limited benefits compared to NHIF
❌ Difficulties accessing treatment despite paying premiums
❌ Unclear processes for claims and reimbursements
With MoH integrating SHA registration with KRA, NTSA, and Huduma Namba, the government is ramping up efforts to enforce compliance and boost revenue collection. While these measures aim to expand healthcare access, the government must address public concerns over service delivery and benefit adequacy.
As SHA moves into its first full financial year, will these changes finally make universal healthcare a reality in Kenya?