Despite the use of the word "insurance" in the English translation, Kela is funded directly from taxation, not from insurance premiums. Coverage under the scheme is given to all permanent residents of Finland. Kansaneläkelaitos is literally translated as "Institution for National Pension", reflecting its original function as a source for national retirement allowance.
In May 2008, a Kela e-service apparently disclosed confidential medical insurance information to the wrong client, and subsequently took that service offline.