FEATURED ARTICLE

Doctors and insurers clash on reduction of medical fees

Share
Health Canbinet Secretary Sicily Kariuki
Share

The health sector in the country is set for choppy waters after insurance companies and doctors failed to agree on the proposed reduction of medical fees.

Insurance companies that provide healthcare cover have threatened to increase the premiums if the fees charged by doctors in medical institutions were not revised.

A premium is the regular installments for an insurance policy by an individual or an organization. Once paid the insurance is mandated to provide coverage to the people.

According to the insurers, the sector is bleeding from the high cost of healthcare coverage which can be afforded by only three percent of Kenyans outside the National Hospital Insurance Fund (NHIF).

A report by the Association of Kenya Insurer says that out of 37 insurance companies only 19 provide medical cover in the country with the number of people buying the indemnity reducing.

“We might soon have to increase our rates of medical covers as the doctor fees in its current form will put the insurance out of reach for many Kenyans,” said Ms Jemimah Mbugua of Resolution Insurance.

READ: HOW TO CONTROL YOUR BLOOD PRESSURE WITHOUT MEDICATION

The insurance industry is reported to record the first decline since 2013 with about Sh38.4 billion premium covers bought in 2017 compared to Sh38.8 billion in 2016.

“Why are doctors separating medical fees whenever they perform a double surgery on the same patient at the same time? We are making losses due to the unreasonably high bills,” said Ms Mbugua.

Yesterday, the Consumer Federation of Kenya (Cofek) organized a public consultation on the mater but the doctors declined to attend the meeting despite presence from the Kenya Medical Practitioners and Dentists’ Board (KMPDU).

This is due to the fact that the doctors are opposing the review of medical fees as proposed by the insurer and some members of the parliament.

The National Assembly last year requested the board to review the doctor’s fees gazetted in the 2016 professional fees guideline as the government has the authority to set fees in public hospitals.

However, the doctors have argued that the minimum doctor’s fees should not be slashed rather they should reduce the maximum fees by 20 percent.

SEE ALSO: CANNABIS AFFECTS SPERMS AND FERTILITY, NEW STUDY SAYS

Changing the doctor’s minimum fee, which comprises 10-20 percent of the total hospital charges, will affect the benefit they are currently enjoying.

The Cabinet Secretary of Health Sicily Kariuki is set to hear the proposal from the medics this Friday.

Written by
Brenda Gamonde

Brenda Gamonde is reporter with Business Today. Email: [email protected]

4 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

PAST ARTICLES AND INSIGHTS

Related Articles
First Assurance Managing Director Stephen Lokonyo, during a media briefing in Nairobi
FEATURED ARTICLE

The New Reality Of Insurance In Kenya

For decades, the standard insurance product in Kenya has been characterized by...

The Central Bank of Kenya (CBK) headquarters in Nairobi.
BUSINESS

CBK Raises KSh 63.3 Billion for Budgetary Support at July Treasury Bonds Auction

CBK (Central Bank of Kenya) accepted bids worth KSh 63.3 billion at...

AXYS Investment Bank
STOCKS

AXYS Investment Bank Partners with UK Firm to Offer Offshore Products

AXYS Investment bank has partnered with UK-based Janus Henderson Group, which has...

Jubilee Health Insurance CEO Njeri Jomo(seated left) and Bolttech Africa General Manager Bente Krogmann during the partnership signing deal as other officials look on.
BUSINESS

Jubilee Health Partners with Bolttech to Expand Access to Health Insurance Cover

Jubilee Health Insurance has partnered with global insurtech firm Bolttech to roll...