The Secretary General of the Kenya Medical Practitioners, Pharmacists, and Dentists Union (KMPDU), Dr. Davji Atellah, has sharply criticized the recent launch of the Social Health Insurance Fund (SHIF), calling it a failure that will deny Kenyans essential healthcare services. In a statement, Dr. Atellah described SHIF as a "sinking ship," warning that the new system would severely limit access to healthcare.
"SHIF is a capsizing ship! There is too much bilge water for it to sail. We've rejected this Act since November 2023, with one clear message: it will block Kenyans from accessing healthcare," he stated.
Dr. Atellah also raised concerns about the government's shift from the National Health Insurance Fund (NHIF) to SHIF, arguing that NHIF provided better benefits than any private insurance alternatives. He labeled SHIF's co-payment component a "fraud" and warned that private insurance companies stand to benefit from the transition. "For civil servants, this is a double tragedy and robbery that we will not accept."
Did you read this?
He further criticized the increased contributions required under SHIF, which will cost taxpayers significantly more. Under the new scheme, employed Kenyans will contribute 2.75% of their income monthly, while those in the informal sector will make a one-time annual payment.
Dr. Atellah highlighted how the changes will impact various income levels, with those earning Ksh.20,000 per month now required to pay Ksh.6,600 annually, and those earning Ksh.100,000 seeing their monthly contributions rise from Ksh.1,700 to Ksh.2,700. High earners, such as individuals making Ksh.500,000 per month, will pay Ksh.13,750 monthly, amounting to Ksh.165,000 annually, while top executives earning Ksh.10 million per month will face deductions of Ksh.275,000 monthly or Ksh.3.3 million per year.
In terms of services, every SHIF member will be entitled to a primary healthcare package of up to Ksh.900 annually, covering basic consultations, lab tests, and prescriptions. However, optical care is capped at Ksh.1,000 per family annually, and dental coverage at Ksh.2,000—subject to budget availability. Cancer screening and certain tests, like blood sugar monitoring, will have limited coverage.
"We gave up our medical allowance for comprehensive coverage, but now it's gone, and we're expected to pay five times more. This is outrageous," said Dr. Atellah. He emphasized that the union has taken legal action against the new policy, including filing cases in the Court of Appeal. He warned that SHIF's high tariffs would force people to dig deeper into their pockets for care, as public healthcare is being deliberately underfunded and made dysfunctional.
