The Kenyan government has introduced a groundbreaking health insurance model called the “Lipa SHA Pole Pole” initiative aimed at expanding Universal Health Coverage (UHC) for informal sector workers. Unveiled by President Dr. William Samoei Ruto on June 1st, 2025, during the 62nd Madaraka Day celebrations in Homa Bay County, this innovative approach offers affordable and flexible payment options for health insurance, making essential healthcare more accessible to millions of Kenyans who work outside the formal employment sector.
The “Lipa SHA Pole Pole” model is embedded within the Social Health Authority (SHA) framework and integrated with the Hustler Fund ecosystem via an Insurance Premium Financing product. This linkage not only facilitates easier payment of insurance premiums through manageable instalments but also promotes deeper financial inclusion by connecting informal workers to broader economic opportunities. The initiative is designed to ensure that access to healthcare is no longer hindered by financial constraints, particularly for vulnerable populations often left out of traditional insurance schemes.
The Health Cabinet Secretary emphasized the significance of the initiative, describing it as a pivotal step towards achieving equitable health access across the country. He highlighted that enabling informal sector workers to contribute affordable premiums is crucial in delivering health services that are accessible, inclusive, and dignified for every Kenyan. This commitment signals a clear government intent to collaborate with various partners to realize the goal of comprehensive health coverage.
The launch event was attended by key government officials, including the Deputy President, Speaker of the National Assembly, and leaders from national and county governments. Their presence underscored the collective commitment to advancing the country’s healthcare agenda as part of broader socio-economic development goals.
The 2025 Madaraka Day celebrations carried the theme “Harnessing Kenya’s Blue Economy for Sustainable Growth,” reflecting the government’s focus on leveraging maritime and aquatic resources for national development. While the event highlighted the importance of the blue economy, it also reinforced the administration’s dedication to strengthening essential sectors like healthcare as part of the Bottom-Up Economic Transformation Agenda (BETA).
Alongside the “Lipa SHA Pole Pole” initiative, the President announced a significant shift in the procurement and management of medical equipment across the country. The government is transitioning from the Managed Equipment Services (MES) model to the National Equipment Supply Programme (NESP). This new approach involves direct procurement of medical equipment from manufacturers in partnership with county governments, tailored to meet specific county needs.
Under NESP, medical equipment will be provided on a fee-for-service basis, aligned with standardized tariffs set by the Social Health Authority. This arrangement is expected to ensure the delivery of quality healthcare services while enhancing cost-efficiency and sustainability in the health sector. By moving away from the previous MES framework, the government aims to reduce dependency on intermediaries and foster better accountability in equipment supply and maintenance.
The combined efforts of introducing flexible health insurance payments and reforming equipment procurement signify a major stride towards realizing UHC in Kenya. They reflect a broader vision of creating a healthcare system that is not only accessible to all but also efficient, financially sustainable, and responsive to the needs of diverse communities.
In summary, the “Lipa SHA Pole Pole” model marks a transformative advancement in Kenya’s healthcare landscape. By making health insurance premiums affordable and accessible to informal workers, the initiative promises to expand coverage and improve health outcomes nationwide. Coupled with the strategic overhaul of medical equipment procurement, these reforms lay a strong foundation for a resilient health system capable of supporting Kenya’s long-term social and economic growth.
