How to Pay NHIF Penalty via M-Pesa in Kenya

NHIF's Penalty Payment

In a recent development, Kenyan’s Government introduced eCitizen Digital Payments inorder to digitized payment for government’s services in the country. Inorder to adhere to this directive, National Health Insurance Fund (NHIF) implement a new 222222 PayBill payment method to it services.

With the new government single payment service (PayBill 222222), you can pay your NHIF bill with a single tap using M-Pesa. Here’s how. However, whether you’ve default in payment, you will have to pay NHIF’s penalty inorder to reactivate your account.

In this article, we will be discussing how to pay your NHIF penalty via M-Pesa, but before we dive straight in, let’s take a look at what NHIF’s Penalty is and the consequences of a defaulting payments or late payment on the NHIF services.

NHIF Penalty

The National Hospital Insurance Fund (NHIF) in Kenya applies penalties for late or non-payment of contributions. These penalties are intended to encourage timely payment and ensure the sustainability of the healthcare system.

However, the process of paying penalties via M-Pesa is different from the process of paying for your normal contribution on the NHIF platform. The penalty payment processes are crucial to address comprehensively, that’s why is advisable to follow this guide throughout.

As a member or contributor of the NHIF, you are mandatory to make a one-time payment by the 9th of each month. Any payment made after this date is considered “Late Payment” and incurs for “Penalty”.

NHIF Late Payment’s Penalties

The penalties for NHIF’s late payments vary depending on individuals in the formal and informal sectors. If you’re in the formal sector, the late payment’s penalty is equal to the amount of your regular contribution, meaning that, you will required to pay double the usual amount.

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However, if you’re in the informal sector, like you’re the boss of yourself, then you will be required to pay 50% of your monthly contribution as a penalty charged against you for late payment. For instance, if you contribute Ksh300 per month, your late payment would be Ksh150.

Here’s an additional breakdown of the NHIF penalties in Kenya:

Late Payment:

  • Up to 6 months: 5% penalty per month on the outstanding amount.
  • 6 months to 1 year: 10% penalty per month on the outstanding amount.
  • Over 1 year: Legal action may be taken to recover the outstanding amount, including interest and additional penalties.


  • Denial of services: If you do not pay your outstanding for a certain period, you may be denied access to NHIF-covered healthcare services.
  • Legal action: NHIF may take legal action to recover outstanding contributions from you, including fines and imprisonment.

It’s important to note that these are general guidelines, and specific penalties may vary depending on the individual’s circumstances and the NHIF contribution category.

How to Pay NHIF Penalties using M-Pesa

Follow these steps to make payment for your NHIF’s Penalties using the newly introduced 222222 PayBill payment option:

  • Login to your M-Pesa Account
  • Tap on Lipa na M-Pesa
  • Select PayBill
  • Input 222222 as your NHIF’s PayBill Number
  • Input your Account Number (that’s, your National ID Number), then followed by letter “Y” to indicate penalty payment.
  • Enter Amount. Make sure you include the accurate penalty charge e.g KSh150 for 50% as a self-employed individual.
  • Type in your M-Pesa Transaction PIN to authorize payment.
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Once payment is successful and confirmed, you will receive M-Pesa’s confirmation alert via your phone. This will serve as proof of penalty payment. Keep it for future references.

I hope this information is helpful! Remember, it’s always best to pay your NHIF contributions on time to avoid penalties and ensure access to essential healthcare services. You can also contact NHIF customer service: +254 722 206 531 or +254 729 473 732 for more enquires.

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