A System in Crisis: The Failure of SHA and the Urgent Need to Restore NHIF


The introduction of the Social Health Authority (SHA) to replace the National Hospital Insurance Fund (NHIF) was, on paper, a bold move aimed at reforming Kenya’s healthcare system. Marketed as a revolutionary step toward achieving universal healthcare, SHA was supposed to streamline healthcare financing and increase efficiency. However, just months into its implementation, it has proven to be a catastrophic failure. Hospitals across the country are crying foul as the authority has failed to remit funds necessary for their operations, leaving patients stranded and healthcare institutions on the brink of collapse.

This crisis has reached a breaking point, with the Rural Private Hospitals Association of Kenya (RUPHA) announcing the suspension of services for patients relying on SHA starting Monday, February 24. Their decision stems from SHA’s consistent failure to remit payments to hospitals, making it impossible for these institutions to function. This development not only highlights the incompetence behind SHA’s management but also poses serious questions about the government’s commitment to providing affordable and accessible healthcare to its citizens.


SHA’s Dismal Performance: A Betrayal of Public Trust

SHA’s failure to effectively cover patients is a national disgrace. The transition from NHIF was supposed to address inefficiencies, expand coverage, and ensure timely payments to healthcare providers. However, the opposite has occurred. Hospitals that once relied on regular remittances under NHIF are now struggling to survive under SHA’s non-functional system.

The biggest betrayal lies in SHA’s inability to remit funds to hospitals, leaving healthcare providers with no resources to pay staff, purchase medicine, or maintain essential services. For an institution tasked with safeguarding the health of millions of Kenyans, this failure is nothing short of negligence. The government’s silence in the face of these glaring failures has only worsened the situation, deepening the mistrust among both healthcare providers and the public.


The Impact on Healthcare Providers and Patients

The suspension of services by RUPHA is a direct response to the financial suffocation caused by SHA. Many private and rural hospitals, already operating on thin margins, depend on timely payments from government-backed insurance schemes. When these payments fail to arrive, hospitals are left with no choice but to cut back on services or shut down altogether.

This collapse is not just a financial issue—it’s a life-and-death matter for thousands of Kenyans who rely on affordable healthcare. Vulnerable citizens, especially those in rural areas who depend on public and low-cost private hospitals, are the hardest hit. Pregnant women, children, and patients suffering from chronic illnesses are being denied basic healthcare services because hospitals simply cannot afford to offer treatment without receiving funds.



Who Is Jayesh Saini? Questioning His Role in SHA’s Crisis

At the center of this healthcare catastrophe, serious questions must be asked about the role of Jayesh Saini in SHA’s management. Saini, a prominent figure in Kenya’s healthcare sector, has had significant involvement in various private healthcare ventures, including his association with Avenue Healthcare and Bliss Healthcare.

However, what is less clear—and deeply troubling—is his relevance and influence within SHA. Why is someone with clear ties to private healthcare being associated with the management of a public healthcare financing body meant to serve millions of ordinary Kenyans? If Saini holds any influence over SHA’s operations, this would be a glaring conflict of interest that could explain the scheme’s rapid decline.

Is SHA being mismanaged to benefit private healthcare ventures at the expense of public welfare? The government owes Kenyans a clear explanation. The lack of transparency around Saini’s involvement casts a long shadow over the integrity of SHA. It’s essential that those responsible for managing public health funds have no conflicts of interest—especially not with private institutions that stand to gain from the failure of public healthcare financing.


Government Accountability: Is There a Hidden Agenda?

The collapse of SHA raises fundamental questions about the government’s intentions in dismantling NHIF. While NHIF was far from perfect, it provided a more stable and predictable system than the disaster SHA has become. One must ask: Why was NHIF dismantled so abruptly without ensuring that SHA was fully prepared to handle the responsibility of financing the nation’s healthcare?

The government’s decision to abandon NHIF now appears rushed, ill-advised, and possibly influenced by interests outside the public good. Was the intention truly to improve healthcare for all Kenyans, or was it a move designed to serve private interests under the guise of reform? The timing, the lack of transparency, and the involvement of individuals with ties to private healthcare all point toward a deeply flawed system that prioritizes profit over the welfare of citizens.


A Call for Urgent Action: Restore NHIF Now

Kenya is in the midst of a healthcare emergency, and it is clear that SHA has failed in its mandate. The government must act swiftly to prevent a total collapse of the healthcare system. The first and most logical step is to immediately reinstate NHIF.

Reverting to NHIF would provide the necessary financial support to hospitals and restore confidence in the public healthcare system. NHIF, for all its imperfections, was a functioning system that allowed patients to access treatment without the fear of being turned away due to non-payment.

In addition to restoring NHIF, the government must conduct a full investigation into SHA’s management. This inquiry should specifically examine the role of Jayesh Saini and any other individuals or entities that might have conflicts of interest in the management of public health funds. The public deserves transparency and accountability, especially when it comes to matters of life and death.


Lessons for the Future: Healthcare Reforms Must Prioritize Citizens

The failure of SHA highlights a broader issue in Kenya’s healthcare reforms: the disconnect between policy decisions and the real needs of the population. Healthcare reforms should be driven by a commitment to improve services, increase access, and ensure financial sustainability—not by personal interests or political expediency.

Moving forward, any future reforms must be subjected to thorough public consultation, proper planning, and transparent implementation. The government must ensure that key stakeholders, especially healthcare providers and patients, are involved in every step of the decision-making process.


The Government Must Choose Between Profit and People

The SHA debacle is not just a policy failure; it is a betrayal of the Kenyan people. By allowing a flawed system to replace NHIF without adequate preparation, the government has jeopardized the health of millions. The suspension of services by RUPHA is just the beginning—if action is not taken immediately, the consequences will be devastating.

The government must urgently restore NHIF, investigate the mismanagement of SHA, and ensure that those responsible for this disaster are held accountable. Only by prioritizing the health and welfare of its citizens can Kenya hope to build a healthcare system that truly serves its people.

The question now remains: Will the government choose the well-being of its citizens, or will it continue down a path that favors private interests at the expense of the nation’s health? The time for action is now.

There are many Kenyans who can manage this scheme and do well  why must we trust those from abroad to run our business unless they are contwids of corruption 

The political class of Kenya has turned into a corrupt arena and utterly forgotten the core mandate of why they were elected  very unprecedented in the history of modern civilization 

#luther king jr

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