After a protracted legal battle, the revised National Hospital Insurance Fund (NHIF) rates came into effect on April 1. When the new rates were announced by the government last year, the Trade Union Congress of Kenya (TUC-K) went to court to block implementation of the new rates, arguing that health care was inaccessible to most people, besides the fact that there was no public participation prior to the announcement of the new rates.
While the NHIF seeks to widen its base by taxing high earners more, the net effect is that it will lose some of its membership even as it destabilises the private insurance sector.
Even as it increases rates, NHIF limits the choice of hospitals for its members, which by itself is violation of freedom of choice.
Can the NHIF be trusted to manage increased contributions better when it has been unable to manage lesser amounts? The cases of shady dealings involving the Fund are still vivid in Kenyans’ minds.
In the past, NHIF has inconvenienced contributors by failing to pay hospitals bills on time, besides having one of the worst records-keeping machinery.
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The public needs to be assured their money is safe and one way of doing this is to give audited accounts showing how public money is used and invested.
