The Kenya Medical Practitioners Pharmacists and Dentists’ Union (KMPDU) has criticized the Social Health Authority (SHA) hours after rollout. The Ministry of Health launched the new cover countrywide on October 1.
KMPDU in a statement registered its criticism and dissatisfaction with the Social Health Insurance Fund (SHIF) terming it as a capsizing ship.
“SHIF is a capsizing ship! There is too much bilge water for it to sail,” the statement read in part.
Further, KMPDU cited, “We have repudiated the act from November 2023, with one message: “it will deny Kenyans access to healthcare.” At the same time, KMPDU said that a social insurance law with a co-payment component is a fraud.
Moreover, KMPDU Secretary General Dr. Davji Atellah explained their constant stand on the issue of transitioning to SHIF.
“The Union continues to consistently warn that the comprehensive medical package provided by NHIF was superior to all other private sector insurance plans. Then the Union alleged that the stoppage was designed to benefit private insurance companies.”
KMPDU on Civil Servants
The union said that the transition to SHIF is a double robbery and tragedy for civil servants, which they cannot take lying down.
“We relinquished our medical allowance for comprehensive medical cover, which has now been removed, and yet we are expected to pay five times more this is insane,” Dr. Atellah stated.
He noted, “We have taken this fight to the courts, including the Court of Appeal. Even the MPs who passed this Act seem oblivious to its consequences.”
Also Read: Govt Explains How SHA System Will Eliminate 3 Million NHIF Ghost Workers
According to medics, with the current SHIF tariffs, everyone will be forced to dig deeper into their pockets to access care. They cited that public healthcare is being intentionally defunded and made dysfunctional.
Deductions of Employees
The new Social Health Authority (SHA) will see the salaried employees deducted a statutory contribution to Social Health Insurance Fund at a rate of 2.75% of the gross salary or wage of the household.
In addition, the employer shall directly deduct the contribution of their salaried employers and remit it the Authority. This will be done on behalf of the employee at the rate set on or before the ninth day of every month.
It should also be noted that the amount paid every month shall not be less than Ksh 300.
For an illustration, any person earning Ksh. 20,000 per month will pay Ksh 550 monthly which will amount to Ksh 6,6000 per month.
On the other hand, for the one earning a Ksh. 100,000 per month will contribute Ksh. 2,750 monthly from the previous Ksh. 1,700.
Also Read: Unpacking Formula Govt Will Use to Determine What Unemployed Kenyans Will Pay to SHA
Furthermore, a person earning Ksh. 500,000 will also part with Ksh. 13,750 which will amount to Ksh 165,000 each year.
Evidently, employes will pay different amounts to the new Authority depending on their earnings.
Failure to pay any contribution for any period on or before the said date, the individual will be liable to a penalty which equals (2%) of the amount they were supposed to contribute.
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