The Ministry of Health confirms the 2.75% SHIF contribution remains mandatory and tax-deductible under the Tax Laws (Amendment) Act, 2024.
This follows the High Court dismissing a legal challenge against SHIF’s implementation.
On June 13, 2025, Justice Mwita struck out Petition E524, which contested NHIF’s transition to SHA and the 2.75% deduction.
The court noted the matter was before the Court of Appeal, upholding SHIF’s legal framework.
The Ministry stated SHIF operates under Universal Health Coverage laws, including the Social Health Insurance, Digital Health, and Primary Health Care Acts, ensuring equitable healthcare.
Contributor data remains protected during NHIF’s transition.
Health CS Aden Duale reaffirmed UHC commitment, urging public support for SHIF.
He called the contribution crucial to preventing financial hardship in healthcare, pledging stakeholder engagement for a transparent system.
“This contribution is a vital step toward ensuring that no Kenyan suffers financial hardship when seeking medical care,” Duale said.
He said SHA respects the judiciary’s role and will continue engaging stakeholders to build a transparent and inclusive health insurance system.