Keryl Insurance
Expert Guide

Understanding SHA: Kenya's New Health Insurance System (and What Happened to NHIF)

A comprehensive guide to Kenya's new Social Health Authority (SHA) system and how it affects your healthcare coverage.

Understanding SHA: Kenya's New Health Insurance System

Kenya's healthcare system entered a new era in 2024 with the launch of the Social Health Authority (SHA). If you've ever contributed to NHIF, or you're thinking of buying private medical insurance, here's everything you need to know about SHA and how it affects you.

What is SHA?

SHA stands for Social Health Authority, the new government body that replaced NHIF (National Hospital Insurance Fund). It was established under the Social Health Insurance Act 2023 and aims to ensure universal access to healthcare for all Kenyans.

What Funds Make Up SHA?

SHA has three separate health funds to cater to different needs:

1. Primary Healthcare Fund

Covers basic outpatient services like check-ups and minor treatments at public facilities (dispensaries, health centres).

2. Social Health Insurance Fund (SHIF)

Replaces the old NHIF. Covers inpatient and outpatient services at public and contracted private facilities.

3. Emergency, Chronic and Critical Illness Fund

Covers serious conditions such as ICU, cancer treatment, dialysis, and accidents.

Who Must Register?

SHA is mandatory for:

  • All Kenyan citizens
  • All residents in Kenya
  • Those with or without private medical insurance
  • All dependents (spouse, children, adopted children)

📌 Even if you had NHIF or have private insurance, you still need to register for SHA.

Do NHIF Benefits Transfer to SHA?

No. Here's what happened:

  • NHIF was officially dissolved in 2024.
  • You must re-register under SHA, even if you were active in NHIF.
  • Biometric registration (e.g., fingerprints) is now required to access services.
  • NHIF cards and numbers are no longer valid.
  • NHIF contributions are not carried forward. They were used for medical claims while NHIF operated (not savings or refunds).

🔍 Think of NHIF as a bus that dropped you off. SHA is a brand-new train. You need a new ticket to continue the journey.

How Are SHA Payments Made?

SHA uses a monthly contribution model:

CategoryMonthly Contribution
Employed (formal)2.75% of gross salary (auto-deducted by employer)
Self-employed/informal2.75% of declared income (pay via MPESA, bank, app)
UnemployedMay receive government subsidy or pay a minimum set rate

❗Missing payments may delay or limit your access to services.

Where Can You Get Treatment?

Once registered and contributing, you can access care at:

  • Public health facilities
  • Contracted private hospitals/clinics

Services are accessed via biometric identification (like fingerprint scanning) at the facility.

SHA vs. Private Insurance: Do I Need Both?

Yes, and here's why:

FeatureSHAPrivate Insurance
Mandatory✅ Yes❌ No (optional but beneficial)
Contribution Type% of incomeFixed premium
Type of HospitalsPublic + some contracted privateBroader, including top-tier hospitals
Luxury/private room access❌ No✅ Yes
Faster approvals/service❌ Slower✅ Faster
Coverage for extras❌ Basic care only✅ Specialized services + global cover

Private insurance acts as a top-up, helping you access comfort, speed, and better facilities beyond SHA's basic offering.

Key Takeaways

  • SHA is Kenya's new national health insurance, and it's mandatory.
  • Everyone must re-register, even if they had NHIF before.
  • SHA provides basic healthcare through public and contracted hospitals.
  • Private insurance is still valuable. It complements SHA by covering what SHA doesn't.
  • You pay monthly, based on your income.
  • Biometric verification is required to access care.

Final Word from Keryl

At Learn with Keryl, I believe that clarity builds confidence. SHA is a major shift in Kenya's healthcare journey. Whether you're considering a private cover or wondering where your NHIF contributions went, now you know where you stand and how to move forward.

Need help picking a cover that works with SHA or have more questions?
Talk to me today. I'll simplify the process for you.

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