Kenya's healthcare system swapped the National Health Insurance Fund (NHIF) for the Social Health Insurance Fund (SHIF) on October 1, 2024. This new system, established by the Social Health Insurance Act of 2023, aims to provide universal healthcare access for all Kenyans. Let's break down what this means for your monthly contributions.
What are the SHIF Contribution Rates?
The new SHIF rates are set at a flat 2.75% of your income. This is a major change from the old NHIF system, which used fixed contribution amounts based on salary brackets.
- For Salaried Employees: You will contribute 2.75% of your gross monthly salary. Your employer deducts this from your paycheck and remits it by the 9th of the following month.
 - For Non-Salaried Households: You will contribute 2.75% of your annual household income.
 
A key feature of SHIF is that there is a minimum contribution of KES 300 per month, but no maximum cap. This means higher earners will contribute significantly more than they did under NHIF.
How SHIF Compares to NHIF
The old NHIF system used income brackets with a maximum contribution of KES 1,700 for those earning over KES 100,000. SHIF's 2.75% rate scales directly with income. This means low-income earners might pay less, while high-income earners will pay more.
| Monthly Income (KES) | Old NHIF Rate (KES) | New SHIF Rate (KES) | 
|---|---|---|
| 10,000 | 400 | 300 (minimum) | 
| 30,000 | 850 | 825 | 
| 50,000 | 1,200 | 1,375 | 
| 80,000 | 1,600 | 2,200 | 
| 100,000 | 1,700 | 2,750 | 
| 200,000 | 1,700 | 5,500 | 
What Do SHIF Contributions Cover?
Your contributions are allocated into three distinct funds to provide comprehensive health coverage:
- The Primary Healthcare Fund: Financed by the government to cover services at local health centers (Level 2 and 3 facilities).
 - The Social Health Insurance Fund (SHIF): This is where your 2.75% contribution goes. It covers services at Level 4 to Level 6 hospitals.
 - The Emergency, Chronic, and Critical Illness Fund: Also funded by the government, this provides coverage for costly treatments like cancer or emergency care after your SHIF benefits are exhausted.
 
SHIF Registration and Deadlines
Registration for SHIF began in July 2024, with the system becoming operational on October 1, 2024. All Kenyans are required to register. You can pre-register online via the SHA website or by using the USSD code *147#, after which you must visit an authorized agent for biometric verification to activate your account.