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Kenyan Labour Law

NHIF (National Hospital Insurance Fund)

NHIF is Kenya's mandatory public health insurance scheme. Employed workers contribute a statutory monthly amount deducted from salary; employers remit it to NHIF. It covers inpatient and outpatient treatment at accredited facilities.

Legal Definition

The National Hospital Insurance Fund (NHIF) is established under the National Hospital Insurance Fund Act (Cap 255). Every employee earning KES 1,000 or more per month must contribute to NHIF; the amount is income-graduated and deducted from gross pay. Employers who fail to remit NHIF contributions within 9 days of the end of each month commit an offence and face penalties. NHIF covers inpatient care (hospitalisation costs) at accredited public and private hospitals, and increasingly outpatient care under its enhanced packages. Beneficiaries include the contributor, a spouse, and children under 18 (or 25 if in full-time education). Contributors can access benefits from the second month of registration. If an employer deducts NHIF from your salary but does not remit it to NHIF, you remain liable for missed contributions. You can verify your contributions via the NHIF self-service portal or a branch. Unremitted contributions can be reported to NHIF for enforcement action against the employer.

📖 Constitutional / Statutory Basis: National Hospital Insurance Fund Act (Cap 255); National Health Insurance Fund Act, 2022 (transitioning NHIF to the Social Health Insurance Fund)

Practical Example

A Nairobi factory worker checks her payslip and sees NHIF is deducted but her NHIF card is blocked because her employer has not remitted the funds. She reports the employer to the NHIF enforcement team, which can pursue criminal charges.

Frequently Asked Questions

What should I do if my employer deducts NHIF but does not remit it?
You can report the employer to the NHIF complaints and enforcement office. The employer commits an offence and faces a fine or imprisonment. You can also file a claim with the Employment and Labour Relations Court for breach of the employment contract.
Can I access NHIF if I am self-employed in Kenya?
Yes. Self-employed individuals can register as voluntary contributors and pay a flat monthly rate. Benefits apply from the second month of registration.

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