Kenyans to pay more for healthcare

Kenyans will have to pay more to access health services after the government announced new monthly deductions to the national health insurer.

Medical Services minister Anyang' Nyong’o said Friday the new rates payable to the National Hospital Insurance Fund (NHIF) will take effect on October 1.

According to the new rates, those earning over Sh100,000 will contribute Sh2,000 per month while low income earners- Sh6,000 and below- will pay Sh150.

Those in self-employment will part with Sh500 as part of their monthly contributions to the Fund while indigents (needy) will pay Sh300.

Presently, the monthly contributions stand at between Sh30-320.

Prof Nyong’o said the current rates, which have been in place since 1989 are very little given the present economic reality.

"NHIF is not able to offer out-patient services at the current level of contributions. The economic reality has eroded the purchasing power due to inflation and other technological changes rendering this amount very little for the household cover that NHIF offers”, he said during a news conference at Afya House, Nairobi.

The minister noted that NHIF has been concentrating on offering in-patient cover and "that there is an urgent need now to move and contain the catastrophic spending in the out-patient costs".

"Most Kenyans cannot afford out-patient services and for this reason stay away from seeking health services in health facilities.

"This not only leads to unnecessary deaths due to preventable illnesses but also to an increase in in-patient cases that often over-stretch the hospitals including referral ones," said Prof Nyong'o.

"The ultimate solutions lies in giving Kenyans a comprehensive inpatient and out-patient cover which is the universal insurance scheme."

Robust out-patient cover

He said it was already a proved fact that a more robust out-patient cover would reduce the number of those seeking in-patient treatment.

According to the minister, it is from this rationale that the current rates will be adjusted upwards with Kenyans earning between Sh6,000 and Sh7,999 will pay Sh300 while those in the Sh8,000 and Sh11,999 income bracket will contribute Sh400.

Those earning between Sh12,000 to Sh14,999 to pay Sh500.

Those earning between Sh15,000- Sh19,999 will pay Sh600 as earners of between Sh20,000 to Sh24,999 to pay Sh750.

Those with monthly earnings of between Sh25,000 and Sh29,999 will pay Sh850 while those earning between Sh30,000 to Sh49,999 will contribute Sh1,000.

For any earnings between Sh50,000 to Sh99,999 per month, NHIF will deduct Sh1,500.

The minister said the new rates are much lower that the those recommended by the International Finance Corporation, which would require contributions to be between Sh364 and Sh3,885 for the lowest and highest contributor respectively.