SHA issues warning to employers over delayed deduction remittances

SHA issues warning to employers over delayed deduction remittances
In Summary

The Authority reminded employers of their legal duty to register with SHA and to submit timely contributions as stipulated by the Social Health Insurance (SHI) Act, 2023.

The Social Health Authority (SHA) has issued a directive requiring all employers nationwide to comply with medical cover contribution regulations.

In an official communication, the Authority reminded employers of their legal duty to register with SHA and to submit timely contributions as stipulated by the Social Health Insurance (SHI) Act, 2023.

According to the Act, every employer—including those in both national and county governments, as well as private companies—is required to register with the Authority.

Employers must also register their employees and their dependents and ensure monthly payments are made to the Social Health Insurance Fund.

The notice emphasized, "Enroll all employees in the SHA system, keep their information current, and encourage them to include their dependents."

Additionally, the Authority warned of penalties for failing to submit contributions by the 9th of each month.

SHA highlighted that missing payments without a justified reason constitutes an offense.

"Failure to pay contributions to the SHIF without a valid cause is considered a violation," the statement concluded.

Section 27(6) of the SHI Act states that any delayed payment will incur a penalty of 2% of the outstanding amount for each period it remains unpaid.

Repeated failure to comply may lead to harsher consequences, including fines up to two million shillings, imprisonment for up to three years, or suspension of health services for affected employees.

Employers can register their organizations via the official SHA employer portal at https://employers.sha.go.ke/registration/corporate.

For assistance with registration, compliance, or payments, employers can reach SHA through the toll-free number 147, visit www.sha.go.ke, or email [email protected].

The Social Health Authority (SHA) was launched on October 1, 2024, replacing the long-standing National Health Insurance Fund (NHIF).

The initiative seeks to broaden healthcare access and advance Universal Health Coverage (UHC) by making healthcare services accessible and affordable to every citizen.

Its implementation included registering Kenyans into the SHA system, launching a new benefits package, and equipping health facilities to provide the required services.

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