…Urges Oyo civil servants, political functionaries, others to enroll via online portal
The Executive Secretary of the Oyo State Health Insurance Agency (OYSHIA), Dr. Sola Akande, has disclosed that deductions made for health insurance premiums can provide additional tax relief for enrollees.
Dr. Akande explained that health insurance premiums are tax-deductible, meaning they are excluded from taxable income, thereby reducing the overall tax burden on individuals.
He made this known during a media chat with MOUTHPIECE NGR on Wednesday, noting that when insurance premiums are deducted before tax computation, individuals effectively pay less tax.
“To illustrate, if a civil servant earns ₦100 and ₦5 is deducted for health insurance, tax is calculated on ₦95, not ₦100. In some cases, this reduction can significantly lower tax liability,” he said.
According to him, the applicability of health insurance tax deductions depends on employment status and the structure of the insurance plan. “Self-employed individuals can deduct premiums paid for themselves, their spouses, and dependents. For salaried employees, premiums paid under approved schemes may be deducted at source, thereby reducing taxable income,” he added.
Dr. Akande stressed that beyond tax relief, health insurance remains one of the most effective tools for protecting households from catastrophic healthcare spending, especially in the face of rising medical costs.
He explained that for civil servants in particular, the structure of the scheme allows them to retain more value from their earnings while accessing healthcare services that would ordinarily cost hundreds of thousands, and in some cases millions, of naira if paid out-of-pocket.
He further stated that OYSHIA has deliberately designed affordable and inclusive health insurance packages for different population groups across the state, noting that the Agency partners with sectors, institutions, schools, market associations, farmers, artisans, and projects such as RAAMP, which serves rural communities within its corridors.
Dr. Akande emphasized that all OYSHIA deductions, benefits, and service delivery processes operate within approved regulatory and financial frameworks, ensuring transparency, accountability, and sustainability in the management of the scheme.
He disclosed that students in Oyo State can access healthcare services in accredited facilities for as low as ₦3,500 annually.
Providing details of other plans, he said:
“An individual health insurance plan costs ₦18,250 per year and covers one person for basic healthcare services. Family plans are also available: a family of four pays ₦47,250 per annum, while a family of six pays ₦60,750 per annum.”
“These packages are designed to reduce out-of-pocket medical expenses and improve health outcomes for farmers, traders, artisans, and residents across the state,” he added.
Reaffirming OYSHIA’s commitment to sustainable healthcare financing and quality service delivery, Dr. Akande urged Oyo State civil servants, political functionaries, and residents to enroll themselves and their dependents via the OYSHIA online portal, describing health insurance as a critical safeguard against medical uncertainties.
