Breaking: NHIA Boosts Capitation And Service Fees By Over 90% And 300% To Improve Healthcare Quality

Breaking: NHIA Boosts Capitation And Service Fees By Over 90% And 300% To Improve Healthcare Quality

The National Health Insurance Authority (NHIA) has announced a significant increase in capitation and service fees by 93% and 378%, respectively, in an effort to improve healthcare services across the country. Kelechi Ohiri, the Director General of the NHIA, explained that this adjustment aims to motivate healthcare providers, ensuring better service delivery while addressing the growing costs in the sector.…..READ MORE 

Naija News reports that capitation fees are fixed amounts paid to healthcare providers for each patient they treat, either on a monthly or annual basis.

The announcement was made during a meeting with stakeholders, including Health Maintenance Organizations (HMOs) and healthcare providers, in Abuja on Monday. Ohiri noted that the increase followed a previous raise made six months ago: a 60% hike in capitation fees and a 40% increase in service fees. This was intended to stabilize the industry while awaiting the results of a full actuarial review to determine sustainable rates.

The newly adjusted rates, which were approved by the Minister for Health and Social Welfare, Professor Muhammad Ali Pate, are set to be implemented from April 2025, based on the findings of the completed actuarial review.

The new tariffs are designed to ensure fair compensation for healthcare providers, encouraging them to offer high-quality services while also addressing rising medical costs. According to Ohiri, the adjustments aim to provide stronger financial support to healthcare providers, ultimately leading to better patient care and improved industry standards.

The meeting received positive feedback from stakeholders, including heads of HMOs and representatives of healthcare provider associations, who commended the NHIA’s bold move to stabilize Nigeria’s healthcare system and make significant strides towards universal health coverage.