National Hospital Insurance Fund (NHIF) contributions by informal workers is set be reduced to Sh300 in a new bill fronted by parliament.
The new changes will see a reduction of Kes. 200 from the previous Kes 500 monthly contributions to the health insurer.
According to a local business daily, NHIF is betting on compulsory membership for every adult and employers matching their workers’ contributions to increase collections from the Sh60 billion raised annually, based on receipts in the year to June 2020.
“The proposed amendment is intended to ensure that many Kenyans particularly persons who are in the informal sector, those not working and indigents can afford to pay the NHIF contribution by reducing the rate from the current Sh500 per month to Sh300,” says proposed changes to the NHIF (Amendment) Bill 2021.
The proposal to reduce the monthly contributions for informal workers comes as the government seeks to compel all adult Kenyans to contribute to the NHIF and employers to match workers’ monthly contributions to the fund.