NHIA Increases Capitation Fees By 93%

The National Health Insurance Authority (NHIA) has increased capitation and fee-for-service payments to healthcare providers.

The move aims to improve service quality, ensure fair compensation, and align with rising medical costs.

NHIA, in a statement said that the new rates, approved by the Minister of Health and Social Welfare, Prof.  Ali Pate, will take effect from April 2025.

Under the revised structure, capitation payments, fixed annual fees paid to healthcare providers per enrolled patient will increase by 93 per cent compared to December 2023 rates. Meanwhile, fee-for-service payments, which reimburse providers for specific medical procedures, will rise by 378 per cent, the statement explained.

Director-General of NHIA,  Dr. Kelechi Ohiri, noted that the adjustments follow an initial temporary increase six months ago, where capitation rose by 60 per cent  and fee-for-service by 40 per cent.

He said that the latest increase is backed by a completed actuarial review, ensuring sustainability and fairness in the healthcare system.

Dr. Ohiri emphasised that the adjustments are designed to motivate healthcare providers to deliver higher-quality services. “With the increase in premiums, we expect improved and sustained quality of care for enrollees. Providers must deliver quality services at no additional cost to patients, and NHIA will ensure strict enforcement,” he stated.