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Home » News » Government dumps NHIF, hands Sh9 billion police insurance to CIC

Government dumps NHIF, hands Sh9 billion police insurance to CIC

Last updated: January 2, 2023 5:50 am
Jessicah Mwambia 3 years ago
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The National Hospital Insurance Fund (NHIF) has lost a Sh9 billion bid to offer medical cover for police and prisons officers.
It lost the bid to extend its services to the agencies.
The officers will from January 1, 2023, will get medical cover from a consortium of three private medical insurance providers that outbid he national health insurer, NHIF.
Those affected say they fear the transition will affect service delivery.
The consortium comprising of CIC General Insurance Limited, Old Mutual General Insurance Kenya Limited and Britam General Insurance Company (K) Limited will be the comprehensive health insurance provider for all police and prisons officers.
CIC General Insurance Limited will be the leader of the consortium.
National Police Service (NPS)
Documents show the tender bid by NHIF to extend its contract with the police was rejected as the health insurer quoted a higher amount compared to its competition in the bid.
A letter from the police to NHIF dated December 16, 2022 said that the health insurer had quoted Sh9.3 billion during the tendering process.
“We regret to inform you that your bid was unsuccessful for the reasons that it was not the lowest technically responsive bid in the financial evaluation,” the letter by the NPS Principal Administrative Secretary and Accounting officer Bernice Lemedeket read in part.
The consortium led by CIC General Insurance Limited had quoted Sh8.6 billion.
NHIF has since discontinued the health cover for all police officers.
“The contract for provision of comprehensive medical cover to members of the National Police Service and Kenya Prisons Service will be expiring on Saturday, December 31, 2022 since the client will be transitioning to another medical insurance cover provider. We should therefore ensure that NHIF’s liability for beneficiaries of the scheme in regard to enhanced medical scheme ends at midnight, 31? December 2022 after which all beneficiaries of the scheme should be transitioned to the National Health Scheme,” internal NHIF correspondence read in part.
Chief Executive Office, Dr Peter Kamunyo directed that the transition be effected in the NHIF system and database effective December 30, 2022, in a bid to ensure smooth transition.
NHIF is working to ensure beneficiaries, especially those in hospitals, are not inconvenienced during the transition.
“ Directorates of Beneficiary & Provider Management and ICT should liaise and ensure the transition takes place smoothly and efficiently by having the system programed appropriately for an automatic transition. We should all liaise and consult as necessary to ensure beneficiaries on ongoing treatment are not inconvenienced,” the internal memo read.
The transition is also expected to affect beneficiaries undergoing treatment overseas as well as those in need of emergency evacuation services with the NHIF leadership advising its staff to notify health service providers and beneficiaries who are undergoing treatment, on the changes.
The office of the Inspector General of Police has notified officers of the changes in communique to regional and unit commanders across the country asking them to register with the new insurer.
Officers will be able to register on their cell phones using mobile USSD code 20205#.
In the communication dated December 30, 2022, the IG’s office has noted that beneficiaries currently admitted in health facilities should expect a seamless automatic transition.
“Members or dependants currently admitted in care providers have been taken care off by being covered by NHIF up to midnight of December 31, 2022 and CIC Group from 00.01 AM on January 1, 2023,” the communication read.
Police officers under the scheme will be allowed to register one spouse and up to five children aged up to 21 years or not exceeding 25 years if they are still under formal education.
Ends

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