The government has directed all employers to ensure compliance in the monthly remittance of the Social Health Authority (SHA) deductions.
In a notice on Monday, October 14, SHA Acting CEO Elijah Wachira noted that the deducted contributions should be remitted by the 9th day of every month.
“Regulation 17(1) of Social Health Insurance (SHI) General Regulations further provides that a household whose income is derived from salaried employment shall pay a monthly contribution to the Social Health Insurance Fund at the rate of 2.75 percent of the gross salary or wage, to be remitted by the 9th day of every month.
"This is to inform all employers to ensure compliance with SHA Act No. 16 of 2023 and the regulations on remittance of contributions in the respective October 2024 payrolls," Wachira stated.
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The SHA CEO further explained that Section 48(1) of the Social Health Insurance (SHI) Act provides for offenses for any person or a contributing employer who fails to remit any contribution that he or she is liable to pay without legal excuse.
At the same time, Wachira stated that an employer will be liable for offense if they knowingly make any deduction from the wages of the employee other than a deduction that he or she is authorized to make.
He added that deducted contributions should be remitted to SHA through Kenya Commercial Bank (KCB), Sidian Bank, Co-operative Bank, Equity Bank, Absa Bank or Diamond Trust Bank (DTB).
The Social Health Insurance Act, No. 16 of 2023 (SHI Act), was enacted on October 19, 2023, with a commencement date of November 22, 2023, repealing the NHIF Act No. 9 of 1998 before SHA was rolled out on October 1, 2024.
