Government plans For New Agency to Replace NHIF

Government plans For New Agency to Replace NHIF

Government plans For New Agency to Replace NHIF

A bill has been introduced in Parliament to create a new organization that would  take over the function after the cabinet decided to abolish the National Health  Insurance Fund (NHIF). The establishment of the Social Health Authority, which will oversee all three funds  established to modernize public health insurance, is suggested by the Social Health  Insurance Bill 2023.

These funds, which will all be administered by the proposed Authority, comprise the Primary Healthcare Fund, Social Health Insurance Fund, and Emergency, Chronic, and Critical Illness Fund. Similar to NHIF, the Authority will compel all Kenyan homes and citizens to register. The body will get regular payments, and companies will also contribute.

The organization will have a board with representatives from the government, trade unions, and professional associations, just like NHIF. The Federation of Kenyan Employers (FKE) is no longer allowed to serve on the board of directors under the new Bill; in its place, a representative of the association of the unorganized sector, also known as jua kali, would serve.

The chief executive will serve as an ex-officio member of the Authority’s 12 members. After the Bill is passed, NHIF will have a year to wind down in order to ensure a smooth transfer from it to the Social Health Authority.Part of the Bill stated that the Authority would become the owner of all funds, assets, and other property that were held for and on behalf of the Fund in the name of the National Health Insurance Board as of the designated day “by virtue of this paragraph and without further assurance.”

Further after the successful transition, all actions, suits, or legal proceedings pending by or against the government for and on behalf of NHIF will be carried on or prosecuted by or against the Authority.

On the day the Authority assumes control, the NHIF will also stop offering enhanced benefit plans and packages.In order to be assimilated into the new Authority, NHIF staff will need to apply for jobs.The Bill aims to establish a legal framework that will control the distribution of social health insurance and further the adoption of universal health coverage.The Bill states that it “will ensure that all Kenyans have access to affordable, comprehensive, and high-quality health services.”

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