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The Nairobian

Private hospitals demand unpaid claims as health ministry issues closure threats

Health & Science

By David Njaaga | Mar 18, 2025

**Kenya Association of Private Hospitals Chairperson Dr. Eric Musau in this photo taken on Tuesday, March 4, 2025.** [Elvis Ogina, Standard]

The Kenya Association of Private Hospitals (KAPH) has criticised the Ministry of Health for threatening to shut down private healthcare facilities over concerns raised about the Social Health Authority (SHA) scheme, citing millions in unpaid claims.

KAPH Chairperson Dr. Eric Musau said private hospitals remain committed to supporting Universal Health Coverage (UHC) but cannot sustain services without the timely settlement of claims owed under the National Health Insurance Fund (NHIF).

“Many private hospitals are currently owed millions of shillings, with some claims exceeding Sh10 million. These funds are critical for running hospitals, procuring medical supplies, paying staff and delivering essential services,” said Musau in a statement on Tuesday, March 18.

The association noted that instead of addressing financial constraints, Principal Secretary Harry Kimtai has issued threats of closure and license revocation, which KAPH described as undermining the partnership needed to achieve UHC.

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“It is regrettable that rather than resolving these concerns, the ministry has resorted to threats. This unfairly targets facilities that continue to serve Kenyans despite enduring financial strain,” noted Musau.

KAPH called for immediate engagement with the Ministry of Health and SHA leadership to resolve the payment backlog and ensure structured implementation of the scheme.

“Private hospitals cannot sustainably offer services under any government health scheme without timely payments. Demanding continued service without settling claims is untenable,” he added.

The association emphasised that private healthcare providers play a key role in the country’s health system and achieving UHC must be based on mutual respect, fairness and honouring financial obligations.

KAPH urged the government to prioritise clearing outstanding payments to prevent further disruptions in healthcare delivery.