GACHAGUA: Bring back NHIF

Former Deputy President Rigathi Gachagua has criticized the Social Health Authority (SHA), a healthcare initiative launched by President William Ruto, calling it rushed, costly, and inefficient. Speaking during a TikTok live session on Thursday morning, Gachagua expressed concern that the new system has failed to improve access to healthcare for ordinary Kenyans.

“Despite significant spending, many citizens still cannot access basic healthcare services,” he said.

Gachagua questioned the need for a new program costing Ksh. 104 billion when experts had recommended a far cheaper option: reforming the National Health Insurance Fund (NHIF). “Experts suggested that improving NHIF could have cost just Ksh. 800 million,” he noted.

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He also reminded Kenyans that the original Kenya Kwanza administration plan intended to reduce family healthcare contributions from Ksh. 500 to Ksh. 300 while broadening coverage, including for chronic conditions.

“The program was good in concept, but its implementation has been wanting. It was rushed without sufficient consultation with stakeholders,” Gachagua added, attributing the quick rollout to conflicts of interest that pushed the government to create a new system unnecessarily.

Financial Strain on Healthcare Facilities

Gachagua highlighted that healthcare facilities, particularly those run by religious organizations such as the Catholic Church and the Presbyterian Church of East Africa (PCEA), are still owed billions from the old NHIF system.

“These hospitals are owed billions, and now we have a new program without addressing the unpaid dues,” he said, adding that raising concerns about these arrears is often viewed as criticism of the government.

Return to NHIF

In response to the SHA’s shortcomings, Gachagua advocated for a return to NHIF. “The government can still revert to NHIF, which had a clear path for reform at a much lower cost,” he asserted.

However, President Ruto continues to defend SHA as a cornerstone of his administration’s push for universal health coverage (UHC). He recently stated, “We will have health insurance for all. We cannot continue with a system where only a few can afford treatment, while others are forced to sell their land or livestock to access healthcare.”

The SHA program operates through three funds: the Primary Healthcare Fund, the Social Health Insurance Fund (SHIF), and the Emergency, Chronic, and Critical Illness Fund. Salaried Kenyans contribute 2.75% of their income to SHIF, which is aimed at reducing the financial burden of medical expenses.

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