NAIROBI, Kenya March 5 – President William Ruto has announced that the government will fully settle all health facilities’ claims of KSh10 million and below, previously contracted under the now-defunct National Health Insurance Fund (NHIF). The move, which affects public, faith-based, and private hospitals, aims to ease the financial strain on healthcare providers and improve service delivery under the newly established Social Health Authority (SHA).
Speaking on Wednesday, President Ruto stated that these claims represent 91 percent of the total facilities that had contracts with NHIF before it was wound up on November 22, 2024.
“The government will fully pay all hospitals with total claims of KSh10 million and below, representing 91 percent of all facilities contracted by NHIF,” Ruto announced.
For the remaining nine percent of hospitals with claims exceeding KSh10 million, the government has instituted a verification process. The exercise is expected to be completed within 90 days, after which a payment plan will be agreed upon.
“The remaining nine percent of hospitals, with total claims of above KSh10 million, will be subjected to a verification exercise that should be completed within 90 days, after which a payment plan will be agreed on,” Ruto stated. “The Cabinet Secretary will gazette the verification committee within a week.”
The government has also committed to ensuring that current claims under SHA will continue to be settled within a month. So far, SHA has paid KSh18.2 billion in undisputed claims lodged since its inception on October 1, 2024, up to January 31, 2025.
“Under the Social Health Authority, current claims will continue to be paid within a month. To date, SHA has paid all undisputed claims lodged since its inception, totaling KSh18.2 billion,” the President added.
Ruto reiterated the government’s commitment to providing Universal Health Coverage (UHC) to all Kenyans without discrimination, addressing concerns over the implementation of Taifa Care, the digital healthcare system introduced to replace NHIF.
“The government is fully committed to providing Universal Health Coverage to every Kenyan without discrimination. I would like to assure all Kenyans that any challenges being experienced in the implementation of Taifa Care are being attended to and resolved.”
Since its rollout, Taifa Care has faced criticism due to system failures in hospitals, with some Kenyans calling for its abolishment. However, Ruto defended the system, asserting that it will curb fraud that plagued NHIF.
“Most of the negative publicity on SHA comes from those who exploited loopholes to loot NHIF, consuming up to 40 percent of the fund,” he said.