Establishing the impact of performance insurance fund

Abstract

Performance contracting is a key obligation that the management strives to achieve its key indicators; however there are always challenges in an environment where there are factors unfavorable to its accomplishment. This study therefore sorts to contribute to knowledge by generating and documenting information on the impact of performance contracting on service delivery at the National Hospital Insurance Fund. The specific objectives of the study were to establish the customers’ perceptions on the impact of performance contracts on member registration; claims processing; decentralization of services and challenges affecting optimum service delivery and employee satisfaction at NHIF. The study used both quantitative and qualitative data collection methods. The target populations of this study were customers who visit the NHIF head office between 5th and 9th of every month. This was used to get an average of customers who visited the branch between January up to March 2014. Purposive extreme sampling method was used to identify the period for research. Extreme case sampling was also used together with quota sampling method to divide the population from which the sample was derived. Nairobi area was selected through extreme case sampling due to the rich information that it has in relation to the research. Quota sampling method was used to stratify the area into geographical regions to establish the area with the highest population for the administration of this study. Systematic random sampling was used to systematically pick one (1) customer from every five (5) customers served across the counter. The researcher used extreme case sampling to pick key informants for purposes of verifying and validation data from the respondents. xi This study concluded that, to recoup the specific benefits to performance contracting, NHIF has progressively disseminated its services through having more branches and satellite offices across the country. Information has been provided by NHIF through manuals, note book guides. The modes of communication adopted by the management which ensures adequate feedback and decentralization of services as the main lubricant to implementation of various services confirms that NHIF has managed to clearly give direction to effective delivery of services. Finally, NHIF needs more financial resources, less political interference and enhanced departmental cohesiveness in order to achieve its targets of providing excellent services. This study recommends that NHIF management should employ more financial resources to help enhance service delivery through the Government allocation of more funds. Communication networks should be strengthened so that the members of the public are in a position to continuously have updates on the new developments at NHIF. NHIF management needs to fast track on payment of claims which take a while longer to process. Finally, to maintain synergy among the workers, there is need for regular Interdepartmental meetings and team building.