- The implementation of the set of laws was stopped by the High Court in November last year after a petitioner sought restraining orders
- Earners of Sh500,000 in gross income will pay Sh13,750 up from Sh1,700 and those getting a gross of Sh1,000,000 will pay Sh27,500
Image: FILE
The new public health insurance deduction in formal employment will soon take effect after Court of Appeal lifted High Court order that suspended its implementation.
The decision allows the rolling out of the Social Health Insurance Act, 2023, the Primary Health Care Act, 2023 and the Digital Health Care Act 2023.
The deductions are expected to go to the Social Health Insurance Fund.
The implementation of the set of laws was stopped by the High Court in November last year after a petitioner sought restraining orders.
The court fixed the case for hearing on February 7 this year.
Health Cabinet Secretary Susan Nakhumicha however appealed the decision.
She argued that SHIF had dissolved NHIF and the continued suspension was exacting extreme pain on members of the public, who depended on the scheme.
“We think that given what has been sworn by the CS, there is a real and present danger on the health rights of countless citizens who are not party to the litigation pending before our courts," the ruling by Court of Appeal judges Patrick Kiage, Pauline Nyamweya and Ngenye Macharia reads.
"We are persuaded that the confusion, the lacuna and risk and harm to citizens pending the hearing and determination of the appeal is a price too dear to pay and it would have the effect of rendering the appeal nugatory.”
"We hereby suspend the orders of the High Court restraining the implementation and or enforcement of The Social Health Insurance Act, 2023, The Primary Health Care Act, 2023 and The Digital Health Act, 2023...," the judges said.
If effected, those earning a gross salary of Sh50,000 will pay Sh1,375 from the current Sh1200 while those earning Sh100,000 will part with Sh2,750 up from Sh1,700 and those earning Sh200,000 will pay Sh5,500 from the current Sh1,700.
Earners of Sh500,000 in gross income will pay Sh13,750 up from Sh1,700 and those getting a gross of Sh1,000,000 will pay Sh27,500.
The bench however singled out three provisions of the Social Health Insurance Act, which will remain suspended pending the hearing and determination of the appeal.
These include Section 26 (5), which makes registration and contribution a precondition for dealing with or accessing public services from the national and county governments or their entities.
Section 27 (4), which provides that a person shall only access healthcare services where their contributions to SHIF are up to date and active.
Section 47 (3), which obligates every Kenyan to be uniquely identified for purposes of provision of health services was also suspended.
The order was issued ex parte meaning parties sued in the matter were not allowed to be heard.
"In the meantime, a conservatory order is hereby issued restraining the respondents, their agents or anyone acting on their directives from implementing and enforcing The Social Health Insurance Act 2023, The Primary Health Care Act 2023 and The Digital Health Act 2023 until February 7," the orders read.
Activist Joseph Enock, who through his lawyer Harrison Kinyanjui, had filed the case, told the court that the Social Health Insurance Act 2023 is unconstitutional.
He said the Executive usurped the role of the Parliament when enacting the new law and there was no proper public participation before its enactment.
Following the ruling, Nakhumicha moved to the Court of Appeal saying the decision was negatively impacting some 17 million members of the National Health Insurance Act.
Through Senior Counsel Fred Ngatia, the CS said patients across the country cannot get pre-authorisation for treatment because NHIF ceased to operate and the succeeding Act was blocked by the High Court.
The Acts were signed into law by President William Ruto on October 19, 2023.