FG Doubles Health Insurance Rates, Launches One-Hour Patient Referral Code

The Federal Government of Nigeria has doubled the health insurance capitation fee from N750 to N1,450 per enrollee, with further increases in fee-for-service rates by 380%, aiming to enhance the quality and accessibility of healthcare. Additionally, a new one-hour patient referral authorization code has been introduced to reduce delays in moving patients between primary and specialist care. These reforms align with President Bola Tinubu’s Renewed Hope Agenda and Nigeria’s target to achieve universal health coverage by 2030.

Health Insurance Payment Increase

Ali Pate, coordinating minister of health and social welfare, announced that the capitation payment—fixed monthly fees paid to healthcare providers for each registered patient—has been increased to better equip providers to offer consistent and quality care. Fee-for-service rates have also been raised significantly to reflect current medical costs. The ministry highlighted that over 2.4 million Nigerians were newly enrolled in health insurance in 2024, increasing total coverage to about 20 million people, with a goal of expanding to 44 million by 2030.

Workforce Expansion and Training

Since 2023, nearly 120,000 health workers have been trained, while federal health institutions recruited an additional 2,500 frontline workers—doctors, nurses, midwives, and community health workers—and 4,000 more personnel have joined tertiary hospitals to address workforce shortages. The ongoing focus is to reduce the heavy reliance on out-of-pocket health expenditures, which still account for about 70% of Nigeria’s health spending.

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One-Hour Referral Authorization Code

To improve patient care efficiency, the government introduced a one-hour referral authorization code that allows rapid confirmation for patient transfer from primary to specialist care, drastically cutting previous delays. Minister Pate also directed the National Health Insurance Authority (NHIA) to commence covert “mystery shopping” exercises to monitor healthcare facilities, ensuring timely and dignified treatment for enrollees.

Reforms Supporting Confidence

The reforms under the Basic Health Care Provision Fund and NHIA are restoring public trust in health insurance systems, encouraging broader adoption. Coverage has expanded markedly, evidenced by increased hospital visits—over 46 million by the second quarter of 2025 compared to fewer than 10 million in 2023.