President William Ruto has announced measured aimed at addressing the long-standing debt crisis of the now-defunct National Health Insurance Fund (NHIF), which has strained healthcare facilities for over a decade.
Speaking from State House, Nairobi, the President acknowledged that NHIF’s financial troubles, which culminated in a staggering KSh33 billion debt by the time of its dissolution on November 22, 2024, severely hampered service delivery in public, faith-based, and private hospitals.
To mitigate the crisis and ensure seamless healthcare under the newly established Social Health Authority (SHA), the government has outlined a comprehensive debt settlement plan that will see a Full Settlement for Small Hospitals – All healthcare facilities with claims of KSh10 million or below—representing 91 per cent of former NHIF-contracted hospitals—will be paid in full.
"The remaining 9 per cent 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," said RutoTo expedite this a verification committee will be officially gazetted by the Cabinet Secretary within a week.
President Ruto assured Kenyans that the Social Health Authority has already disbursed KSh18.2 billion to clear undisputed claims filed between October 1, 2024, and January 31, 2025. Moving forward, SHA will process claims within a month to prevent future backlogs.
Reaffirming the government’s commitment to Universal Health Coverage, the President emphasized that any challenges in implementing Taifa Care, the country’s flagship health insurance program, are being actively addressed.
“We are determined to ensure that every Kenyan can access healthcare without discrimination,” President Ruto stated.This move is expected to restore confidence in the healthcare system and improve service delivery across the country.
