NHIF (National Hospital Insurance Fund) is a health insurance service offered to Kenyans who are required to submit contributions by the 9th of every month. Failure to do so results in a penalty fee. The penalty for late payment is 50% of the monthly subscription, which is KES 250. If you have missed more than one month, you have to multiply the penalty amount by the number of months you have missed. For example, if you have defaulted for three months, the penalty amount will be KES 750. In this blog post, we will discuss how to pay NHIF penalty via M-Pesa, which is a popular mobile money transfer service in Kenya.
How to Pay NHIF Penalty via M-Pesa
To pay NHIF penalty via M-Pesa, follow these simple steps:
- Open the M-Pesa menu on your phone.
- Select Lipa na M-Pesa.
- Enter NHIF Business Number: 222222.
- On the Account details section, enter your ID number followed by the letter “Y” to classify the payment as a penalty. For example, if your ID number is 12345678, you will enter 12345678Y.
- Enter the penalty amount you need to pay, including the 50% penalty charge for self-employed individuals or the full amount for formal sector employees.
- Enter your M-Pesa PIN to authorize the transaction.
- Review the transaction details and confirm your payment.
Use the following as Account Numbers:
1. Member contribution (NHIFM-ID NUMBER e.g. NHIFM-11223344)
2. Member Penalty (NHIFP-ID NUMBER e.g. NHIFP-11223344)
3. Employer Contribution (NHIFE-ESlip NUMBER e.g. NHIFE-112233)
4. Employer Penalty (NHIFEP-EMPLOYER CODE e.g. NHIFEP-11223)
How to Check Your NHIF Card Status
If you default payment or make late payments, it’s essential to check your NHIF status and find out if you have any penalties. You can check your NHIF card status by using SMS as follows:
- Compose a message ID space then your ID number.
- Send the message to 21101 or 6443.
- You will receive a message detailing your penalty and due contributions.
How to Reactivate Your NHIF Cover
If you default on your NHIF contributions for a full year, your cover will expire. To reactivate your policy, you will need to pay KES 1,500, which will act as your three months’ contribution. You will then have to wait for two months (60 days) from the date of payment for your cover to be reactivated. You are advised to subsequently make monthly payments to avoid penalties.
what are the consequences of not paying the nhif penalty fee
If you fail to pay your NHIF penalty fee, you will incur additional charges and penalties. The penalty for late payment is 50% of the monthly subscription, which is KES 250. If you have missed more than one month, you have to multiply the penalty amount by the number of months you have missed. For example, if you have defaulted for three months, the penalty amount will be KES 750. The NHIF Act of 1998 was amended on January 2022, highlighting the revised penalty rate on late payments. The effective date for the new penalty rate is May 1st, 2023. Under the new penalty rates, defaulters will pay 10% of the contributor’s amount. Previously, the penalties were charged at half of the contributor’s amount translating to KES 250 for every month. This means those contributing KES 500 to the scheme will now pay KES 50 as penalties every month, a decrease of KES 200 from the previous amount.
If you default on your NHIF contributions for a full year, your cover will expire. To reactivate your policy, you will need to pay KES 1,500, which will act as your three months’ contribution. You will then have to wait for two months (60 days) from the date of payment for your cover to be reactivated. You are advised to subsequently make monthly payments to avoid penalties.
Conclusion
Paying NHIF penalties via M-Pesa is a simple and convenient way to avoid penalties for late payment. Remember to pay your NHIF contributions before the 9th of every month to avoid penalties. If you default on your payments, you can reactivate your policy by paying KES 1,500 and waiting for two months for your cover to be reactivated.
Read also:
- How to Check NHIF Balance (3 Easy Steps)
- #6 Best Eye Clinics in Nairobi Accepting NHIF
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