Uncertainty surrounds the launch of the Social Health Insurance Fund (SHIF) scheduled for tomorrow due to issues with the Means Testing Instrument (MTI), which is used to calculate annual premium contributions for informal sector households.
It was revealed that the Ministry of Health and SHIF conducted a pilot project in eight counties to assess the 2.75 percent income contribution from informal sector workers.
The National Assembly Health Committee expressed concerns about the MTI’s accuracy after it was found that only 2,000 Kenyans from the informal sector were tested across these counties.
Acting chairman of the Social Health Authority, Abdi Mohammed, stated, “We conducted the Means Testing Instrument in eight counties and assure you that the data is accurate; we won’t face the same issues as in the education sector.”
Health Cabinet Secretary Deborah Barasa defended the new national insurance system, claiming it is tamper-proof and will improve access to affordable healthcare. The MTI pilot was conducted in Turkana, Tana River, Narok, Migori, Bungoma, Bomet, Kiambu, and Nairobi, utilizing 17 variables to determine contributions from informal sector households.
“The system and structure are in place and we are ready for rollout. We may encounter some initial challenges, particularly with digitization and staffing, but we will adapt,” Barasa noted.
Principal Secretary for Medical Services, Harry Kimutai, explained that the 2.75 percent contribution would be calculated based on household parameters. “After answering all questions during the application, contributors will receive details on their annual payment for health services,” Kimutai stated.
Director General of the Ministry of Health, Patrick Amoth, defended the MTI’s accuracy, asserting that the data used is reliable. “We believe the MTI system is 96 percent accurate and will not overestimate premiums for poor households,” he added.
Concerns About MTI Accuracy
Chuka Igambangombe MP Patrick Munene raised questions about the system’s preparedness for rollout, expressing doubts about the MTI’s reliability. “A rollout expected tomorrow should not be based on theory but should include clear examples of how citizens will pay premiums and the rationale behind annual payments,” Munene argued.
Ndhiwa MP Martin Owino criticized the MTI process, claiming it was inaccurate due to the limited number of counties involved in the pilot project. “With a sample size of only 250 per county, how can this be representative in a county like Bungoma, which has 2 million people?” he questioned.
Owino emphasized that if the scientific process is flawed, the entire system could fail, suggesting that sampling should have included all 47 counties.
Former National Health Insurance Fund CEO Elijah Wachira stated that the issues seen in the MTI system for education funding would not occur with SHIF. “We used the eight counties in the pilot to improve the MTI’s accuracy, identifying issues in low-income groups,” he said, adding that they are using 17 variables to create different contribution bands. “The science behind this system will help determine what Kenyans will pay.”
SHIF is set to be launched on July 1, 2024, following the expiration of the National Health Insurance Fund on June 30, 2024.
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