Govt to Pay NHIF Debt in Full to Hospitals Demanding 10M and Below

The government has announced that any hospitals demanding Sh10 million or less from the National Health Insurance Fund (NHIF) will receive full payment.

In a statement to newsrooms, the government stated that the cash will cover 91% of all facilities contracted by NHIF.

The State House further stated that the remaining 9% of hospitals with total claims above Sh10 million will be submitted to a verification process that must be completed within 90 days, following which a payment plan will be decided upon.

It stated that Cabinet Secretary for Health Deborah Barasa will publish the verification committee within a week.

The administration admitted that NHIF debts have been a significant burden on healthcare facilities and providers during the last ten years.

It noted that by the time the NHIF was liquidated on November 22, 2024, it owed Sh33 billion, limiting the ability of health facilities to offer services under the Social Health Authority (SHA).

The administration also stated that under SHA, current claims will continue to be reimbursed within a month.

The government stated that it remained firmly committed to delivering universal health coverage to all Kenyans, without discrimination.

On March 4, 2025, private health facilities requested that the government first settle NHIF arrears before processing SHA claims.

The Rural and Urban Private Hospitals Association of Kenya (RUPHA) and the Kenya Association of Private Hospitals (KAPH) informed the National Assembly’s Departmental Committee on Health that 55% of institutions want NHIF arrears addressed first.

In a report to the committee, RUPHA and KAPH stated that statistics from health service providers show that 26% of private facilities prefer to settle both NHIF and SHA claims simultaneously.

They stated that 19% support prioritising SHA claim payments while postponing NHIF arrears.