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Mission hospitals issue ultimatum

AGC Tenwek Hospital Board Chairman Robert Langat, Christian Health Association of Kenya Chairman Charles Asilutwa, Mission for Essential Drugs and Supplies Commercial Services head Titus Munene and Catholic Diocese of Nakuru Bishop Cleophas Oseso at Ufungamano House, Nairobi.

Photo credit: Francis Nderitu | Nairobi

Faith-based hospitals have issued a 14-day ultimatum to the government to settle their Sh10 billion debt or demand that patients pay cash for services.

The government’s outstanding debt to these hospitals includes Sh6.8 billion National Health Insurance Fund (NHIF) arrears, Sh2.2 billion in unpaid Social Health Authority (SHA) claims, and Sh1 billion under the Medical Assistance and Loans for Livelihoods (MALL) programme, which has not been settled since July last year.

Healthcare providers say that if the funds are not released, thousands of patients – many relying on subsidised services at faith-based hospitals – would be made to pay out-of-pocket, further deepening the country’s healthcare crisis.

“We (faith-based leaders) have reached a painful decision since we cannot afford to take in more debt after numerous engagements with the Ministry of Health, the SHA and some government leaders,” the managers said in a joint statement.

“Most of our hospitals are owed claims exceeding Sh10 million. This means we are the lot that will have to wait for three months for the verification committee to be constituted. We are financially constrained while waiting.”

The service providers said they have reached their “saturation point” and are experiencing an unprecedented crisis.

The leaders said the government is not listening to faith-based hospitals and that Kenyans who visit their centres around the country would be made to pay out-of-pocket if the dispute is not resolved within 14 days.

On Wednesday evening, President William Ruto said the government would pay pending claims, starting with those that are below Sh10 million – comprising about 91 percent of the hospitals.

He said nine percent of the hospitals, whose claims are above 10 million, would have to wait for at least 90 days until a team formed verifies their claims.

Faith-based healthcare providers say they cannot wait that long as the existing debts have paralysed services.

“This is grossly inadequate to faith-based hospitals. The ones left unpaid handle the more complicated diseases, specialised surgeries and critical patients,” the statement said, adding that these life-saving services are costly.

The leaders said most of their organisations fall under the nine percent hospitals whose claims would need to be verified by the committee but added that they cannot wait for three months as announced by the President.

Since the rollout of SHA in October 2024, only half of the claims raised by faith-based hospitals have been settled.

The hospital managers and owners are now demanding payment of all pending SHA claims by March 21.

They say the pending claims have exceeded the 90-day period as stipulated in the Social Health Insurance Act, 2023.

Historical NHIF debts, delayed SHA payment claims, as well as teachers and National Police Service insurance debts under the Medical Administrator Kenya Ltd (MAKL) have plagued the ambitious effort to have every Kenyan access affordable healthcare.

Dr Robert Lang’at, the AGC Tenwek Hospital Board Chairman, told journalists that while faith-based hospitals are offering about half of health services in the country, it is the first time they have had a crisis of such magnitude.

Dr Lang’at added that services at the hospital risk imminent closure.

“The Church is not at war with the government. Does anyone in government have any doubt on the veracity of the claims of the faith-based hospitals? If so, why is it taking months to end the crisis? Why is our system that bureaucratic?” he asked.

Norman Wambua, the vice-chairman of the Kenya Conference of Catholic Bishops (KCCB), said it is painful to turn away patients.

“It is like a mother abandoning her child. We are not able to absorb any more debts,” Bishop Wambua said.

“Creditors are at our doors asking for their money, our workers are there demanding theirs. It has become painful. The government is not willing to pay for whatever reasons. If the government has no money, let it inform us. Let the government call a spade a spade and ask Kenyans to pay out-of-pocket.”

The faith-based hospital bosses also asked the government to reduce claims processing stages.

There are about 10 steps the hospitals have to go through to get their claims, delaying services, Bishop Wambua told the press conference.

According to the joint statement, the hospitals are not able to get help from SHA regional offices.

“They seem not to have been trained or empowered to make decisions. They always refer questions and support requests to the system developer who appears to be outside of SHA, unreachable and with all authority,” it added.

The hospitals say the SHA needs to provide a transparent dashboard for invoice tracking that can be downloaded for review.

The consortium wants the National Assembly and Senate to make adequate provision for the Primary Health Care and Emergency, Critical and Chronic Illness Funds.

“Primary Healthcare has virtually collapsed in Levels Two, Three and some Level Four hospitals due to lack of capitation. The Quarter of January to March 2025 has not been paid while payment is expected to be upfront,” the statement added.

hshikanda@ke.nationmedia.com