Private Hospitals Suspend Services to SHA Over Billions in Debt

Private hospitals have suspended services to the Social Health Authority (SHA) over billions of shillings in unpaid claims and mounting debt.

The Rural & Urban Private Hospitals Association of Kenya (RUPHA), through its chairman Dr. Brian Lishenga, announced the suspension today after the lapse of a two-week notice issued on September 5.
“SHA is unable to meet its obligations, and hospitals cannot continue to accumulate debt while patients suffer,” said Dr. Lishenga.

RUPHA, which represents more than 700 private hospitals across the country, said the government owes facilities Kshs 43 billion, with another Kshs 24 billion under review. The association accused the Ministry of Health of breaching contracts by rejecting Kshs 10.6 billion worth of claims last month without following due procedure.

With SHA collecting Kshs 5.4–6 billion monthly against claims of Kshs 8.8 billion, RUPHA warned the financing gap is widening by at least Kshs 2.4 billion every month, forcing hospitals to turn patients away or demand out-of-pocket payments.

The hospitals are demanding immediate payment of small claims, reversal of mass rejections, settlement of arrears before migration of teachers’ and police medical schemes, and the creation of an independent tribunal to resolve disputes.

“If private hospitals collapse, Universal Health Coverage will collapse with them,” the association warned.