- Private hospitals under RUPHA will stop treating SHA patients on credit starting today.
- The decision follows huge unpaid debts from the defunct NHIF and the new SHA.
- Ksh76 billion is owed to the sector, with RUPHA warning hospitals may shut down by December.
- Patients are now required to pay in cash unless otherwise stated.
- Kenyans covered by the Social Health Authority (SHA) will now have to pay cash when visiting private hospitals.
The Rural and Urban Private Hospitals Association of Kenya (RUPHA) issued the directive effective today, saying unpaid claims from the SHA had left private hospitals struggling to survive.
“Please be advised that, effective today, all healthcare services (unless otherwise stated) at this facility for Social Health Authority (SHA) beneficiaries will be provided on a cash basis,” RUPHA said in its statement.
RUPHA said the move was necessary to keep hospitals open, ensure supplies remain available, and enable staff to continue serving patients.
The association linked the crisis to unsettled bills from the defunct NHIF and the new SHA, which it says have left the sector on its knees.
Earlier this month, RUPHA gave the Ministry of Health 14 days to clear part of the debts.
“RUPHA hereby issues a 14-day go-slow notice effective today for the Social Health Authority (SHA) to address the following: Immediate settlement of NHIF liabilities in line with the Presidential Directive of 5th March 2025 and payment of at least 50% of the Ksh43B outstanding SHA liabilities within 14 days,” it stated.
RUPHA Chairperson Brian Lishenga said private hospitals are staring at collapse if the government does not act fast.
“We are Sh76 billion in debt as a sector, Ksh33 billion NHIF debt, and Ksh43 billion SHA liability. The health sector cannot continue bearing this burden. What we are saying is that if the NHIF debt is not paid immediately, it is very likely that by December, either you will not have private hospitals or the entire system will revert to 100 per cent,” Lishenga said.
He also warned that hospitals may be forced to switch completely to cash payments if the government delays further.
The new directive has left many Kenyans uncertain about access to affordable healthcare. Analysts warn that the standoff between private hospitals and the government could lock out thousands of patients relying on the SHA.
RUPHA maintains that while the decision is painful, it is the only way to prevent a total collapse of private healthcare services.
