Globally, a health insurance scheme is set to ensure universal health coverage is accessible and affordable for all to ensure sustainable development. The National Health Insurance Scheme (NHIS) is not an exception. The increased quest for healthcare means an increased demand for healthcare complemented by healthcare utilization which is induced by reduction in catastrophic out of pocket payments on health. Empirical evidence using nonlinear econometric models revealed that demand for healthcare with endogenity of health insurance policy affects catastrophic health expenses. It is in view of this that the study seeks to identify factors responsible in explaining the extent and level of financial protection provided to users in Kano state, Nigeria amidst the NHIS policy since inception. The study collected data from a sample of 391 users and Logistic regression model was used to estimate out of pocket payments or NHIS to measure extent of financial protection provided to users. Findings from the study revealed that; socio-demographic, economic, individual specific and health specific factors determine the extent of financial protection among enrollees; aging population, the female and the severely ill are negatively affected by the policy; the enrollment criteria has left enrollees with healthcare burden that is settled out of pocket, in the same vein accredited public hospitals are ill-equipped which derives enrollees to accredited private hospitals and incur exorbitant healthcare costs. The model fit statistics have shown that the models fit the data set well. The study recommends that special consideration should be given to the old age, there should be a health insurance package for retirees and there should be closed monitoring and evaluation of the accredited centers (public and private) to ensure achievement of the desired goal of accessing healthcare at affordable cost among others.