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Private hospitals biggest NHIF beneficiaries

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Private hospitals biggest NHIF beneficiaries
Health Cabinet Secretary, Susan Nakhumicha before Parliament's Health Committee./Courtesy

According to Susan Nakhumicha, the Health Cabinet Secretary, private hospitals in Kenya are the largest recipients of funding from the National Health Insurance Fund.

Approximately 60% of NHIF funds, according to Nakhumicha, go to private establishments. Small private facilities perform more surgery than all public hospitals combined.

“How come over 60% of NHIF contributions go to private facilities? The fact that we discovered the facility that needed to be paid the most was one that we had halted is startling given the considerable delays from Exchequer in our payments,”  the CS explains.

“in all honesty,I am still not sure that you would have smaller private facilities performing more operations than Kenyatta, Moi, or KU hospitals.” she continued

The CS has also defended her decision to suspend a number of NHIF employees and shut down a number of medical facilities. “I have heard that people are worried about my choice and its effect on the public. Before making the decision, I met with the CEO of KMPDC and the chair of NHIF early in the morning. During our discussion, we looked at several solutions to the problem rather than simply suspending the facilities chair, she said.

“I knew there would be an effect, so I gave them 24 hours to remove the patients. Therefore, they should have shifted patients to other hospitals during that time. One of the facilities even ventured to respond in writing to the attendant.

Following the current NHIF incident, the Health CS also declared that NHIF employees will have to submit to a lifestyle audit to justify their wealth and earnings.

“to make sure every staff member can explain their asset portfolio in consistency with their wages, we are going to start an elaborate lifestyle audit of all NHIF staff.” the CS instructed.

This followed claims made in a weekend exposé that hospitals had been defrauding Kenyans by inflating NHIF-paid bills.

“I want to say how deeply disappointed and outraged I am at the staff in my Ministry who may be associated with this ruthless syndicate.”

Additionally, the CS directed the Pharmacy and Poisons Board and the Kenya Medical Practitioners and Dentists Council to launch investigations into certain facilities right away.

The Standard

Author

Milton Nyakundi

Milton Nyakundi is a veteran multimedia journalist with over 20 years of experience across broadcast, digital, and print media, who relocated to the United States in 2022 and is now the Senior International Correspondent for Kurunzi News based in Washington, DC, USA. He has previously worked with the Kenya Broadcasting Corporation (KBC), among other high-profile roles with Kenya's first privately-owned media outlet - Kenya Television Network. His experience also include prominent roles as Media Consultant for Football Kenya Federation (FKF), and StarTimes Kenya. His career spans high‑stakes political reporting covering legislative and constitutional issues, elections, governance, and accountability across Kenya, Africa, and global arenas. He also boasts extensive sports journalism experience, covering local and international sports events, including leagues, tournaments and sports governance. He is well-known for his investigative depth, editorial leadership, and evidence-driven journalism that guides his consistent delivery of public‑interest storytelling across platforms.

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