The Social Health Insurance Fund (SHIF) in Kenya will collapse within the next 12 months if the current funding model remains unchanged.
The Kenya Association of Private Hospitals (KAPH) warns that the system is unsustainable, as only 22% of the 20 million registered Kenyans are actively contributing.
Speaking before the National Assembly Committee on Health, KAPH Chairperson Erick Musau highlighted that contributions mainly come from salaried employees, while only 7% of non-salaried Kenyans pay their premiums—and often only when they require medical attention.
“We do not believe there are enough safeguards to ensure continuous contributions. If this trend persists, the fund will not last beyond a year,” Musau cautioned.
Kenya Healthcare Federation (KHF) Chairperson Kanyenje Gakombe also stressed the need for a strategy to enforce contributions from informal sector workers. Defending private and faith-based hospitals for suspending SHIF admissions, he explained that many facilities are struggling financially.
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“We support universal health coverage, but without adequate funding, hospitals cannot sustain services. We need a structured way to collect contributions, as voluntary payments will not work,” Gakombe emphasized.
Dr. Brian Lishenga of the Rural and Urban Private Hospitals Association of Kenya (RUPHA) noted that 91% of healthcare providers, mainly level 2, 3, and 4 hospitals, are not receiving payments, despite serving most Kenyans.
With SHIF requiring Ksh.8 billion in the next year but only Ksh.4 billion allocated, experts warn that urgent reforms are needed to prevent a healthcare crisis.
