Ultimatum issued on NHIF remittance

THE National Health Insurance Fund (NHIF) has issued a notice to employers who are yet to remit statutory deductions to do so by 30 August this year for their employees to continue to receive medical services at hospitals.

According to the NHIF Act, employees in the public sector are obliged to register themselves and contribute to the Fund a total of six per cent of their basic monthly salary, which is split equally between the employer and the employee.

However, the Fund has made separate contribution arrangements for other groups that join the Fund voluntarily.

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In a statement issued by NHIF yesterday, the Fund reminded all employers in March 2022 to remit statutory deductions as per regulations but some employers have failed to clear their debts to date.

“NHIF would like to announce to all employers in the country who still have debts of contributions to do so to avoid   their employees experiencing inconveniences when they need hospital services,” the statement read in part.

NHIF had registered 4.8 million members by the end of the last financial year, up from 4.5 million members a year earlier.

Up to 15 per cent of the 60 million people in Tanzania, by current estimates, subscribe to health insurance, with more than half being registered with NHIF. The bulk of the remainder is with the Community Health Insurance Fund (CHIF) and other insurers.

According to NHIF, 66 per cent of NHIF members are civil servants, 16.9 per cent hold jobs in the private sector, 7.15 per cent are students at various levels, while 4.2 per cent are classified as children, and an outlying portion of 5.75 per cent group farmers, livestock keepers, small firms and fishermen who take up membership.

Revenues sourced from health delivery services by NHIF increased to 529bn/- as of June this year, up from 489bn/- in the corresponding period last year. The fund earned 50bn/- from strategic investments while collecting 1.8bn/- from other sources of income.

Health facilities served by NHIF stood at 9,178 by mid-year, up from 8,482 in the past year, with 70 per cent being public facilities, 21 per cent privately run, and nine per cent belonging to non-profit organisations.