Why SHIF Rollout May be Delayed, Again

The government has proposed postponing the roll out of the new Social Health Insurance Fund (SHIF), originally planned for July 1st, 2024. A committee set up by the Ministry of Health made the recommendation due to what was described as technological challenges. 

The committee, tasked with overseeing the smooth transition to SHIF, identified critical issues with the system designed to manage contributions and registration. Their report, submitted just days before the planned switchover, revealed that a pilot run in Marsabit County exposed significant shortcomings in the technological infrastructure.

SHIF is designed to replace the National Health Insurance Fund (NHIF). The digital platform is a critical component as it allows for registration, contribution payments, and access to health benefits.

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“The ICT experts have been asked to propose alternatives to the ICT system for the SHA, especially in the area of ​​registration and contribution. There is a need for an alternative solution that also includes the withdrawal of the SHA regulations and the use of NHIF systems, and the latter has financial implications. The nature of the contract with the current NHIF system licenses and contracts needs to be renewed.” the report read in part.

Earlier in the year, the Ministry of Health announced the estimated cost of establishing the ICT system for the new Social Health Insurance Fund (SHIF) to be at least Ksh5 billion.

Last month, MPs in the National Assembly’s Health Committee expressed concerns regarding the registration process for (SHIF). These concerns centered on a lack of transparency surrounding the (ICT) system used to register Kenyans for the program.

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The committee members questioned the Ministry of Health on the procurement process for the ICT system. They argued that the process may not have followed established procedures, potentially putting the personal data of registered Kenyans at risk. 

Due to these concerns, the committee urged the ministry to suspend SHIF registration until a more transparent picture of the ICT system's procurement and security measures is provided.

“The system the SHA is using to register Kenyans in the new health system is full of ambiguities. We do not know the name of the IT company, the costs involved, or the amount of data already collected. At first glance, this appears to be a breeding ground for corruption,” said Anthony Kibagendi, MP for Kitutu Chache South.

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