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By Omu Fidelis
A wave of outrage has trailed the decision to remove Nigerian pensioners from the National Health Insurance Scheme (NHIS), as the Nigeria Union of Pensioners Contributory Pension Scheme Sector (NUPCPS) describes the policy as “unfair, inhumane, and economically short-sighted.”
Speaking during a two-day sensitisation workshop on the workings of the Contributory Pension Scheme (CPS) in Lagos, the National Secretary of NUPCPS, Mr. John Bisan, lamented that many retirees are being denied healthcare access at the time they need it most.
“I cannot serve my country for 35 years, give my youthful and productive age to service, only to be told after retirement that I am no longer entitled to healthcare,” Bisan said. “This is the period we need healthcare the most.”
He further noted that the policy has exposed many senior citizens to life-threatening conditions like hypertension, diabetes, and heart diseases—ailments that require continuous medical attention and financial stability.
The Economic Implication: A Strain on National Productivity
The removal of pensioners from NHIS goes beyond a social welfare issue—it has direct economic consequences. In a country where the majority of retirees depend solely on modest monthly pensions, the lack of affordable healthcare could lead to increased mortality rates and a loss of institutional experience that could otherwise be leveraged for mentoring and consulting roles in both public and private sectors.
Furthermore, when elderly citizens cannot afford healthcare, they often rely on their working-age children for financial support, reducing household disposable income and limiting savings and investments. This has a ripple effect on the overall economy, dampening consumer spending and slowing economic recovery in post-retirement-dependent households.
Global Comparison: Lessons from Developed Economies
In advanced economies like the United Kingdom and the United States, access to healthcare for retirees is considered a fundamental right, not a privilege. Systems such as the NHS (National Health Service) and Medicare ensure that retirees live with dignity while contributing indirectly to the economy through consumer activities, volunteerism, and knowledge transfer.
Nigeria’s deviation from this approach risks widening its social inequality gap and undermining confidence in both the pension and healthcare systems—two key pillars of social protection that influence investor perception and national economic ratings.
PenCom’s Response: Hope for Low-Income Retirees
Reacting to the concerns, the Director-General of the National Pension Commission (PenCom), Ms. Omolola Oloworaran, represented by Mr. Mutiu Muslim, announced that the Commission has launched a free healthcare access initiative for low-income retirees under the Contributory Pension Scheme.
According to her, “Healthcare access is a key component of social protection. The Commission is committed to ensuring that retirees, especially those in the low-income category, have access to basic healthcare services.”
While the initiative is a step in the right direction, stakeholders argue that it must be scaled nationwide and integrated with NHIS for long-term sustainability.
Policy Outlook: Why the Government Must Reconsider
The exclusion of retirees from NHIS contradicts Nigeria’s broader economic goal of achieving inclusive growth and social protection coverage under the Sustainable Development Goals (SDGs).
From a business perspective, investing in the health of retirees is not just a moral obligation but a strategic economic policy. Healthier retirees reduce pressure on public hospitals, create opportunities in the private health insurance sector, and contribute to economic stability through intergenerational wealth transfer.
Restoring NHIS access for pensioners could also boost public trust in Nigeria’s pension and healthcare institutions, encouraging greater participation in contributory schemes and expanding the nation’s financial inclusion base.
Conclusion
The ongoing debate about NHIS exclusion highlights a deeper issue—Nigeria’s need to build a sustainable social security framework that balances fiscal responsibility with human dignity. Pensioners are not just dependents; they are stakeholders whose wellbeing reflects the nation’s value system.
As other economies integrate their aging population into health and economic policies, Nigeria must move beyond rhetoric and adopt retiree-focused healthcare reforms that align with its development aspirations.
