The Nairobi Hospital has suspended its newly announced price review after eight major insurance companies halted services, citing a spike in treatment costs announced by the hospital.
In a statement issued on Monday, August 11, the hospital said the decision followed a request from its insurance partners.
“Following a productive strategic meeting held today with key insurance providers, The Nairobi Hospital has agreed to suspend the implementation of its recently announced price review, effective immediately,” the hospital said.
“This decision, made in good faith, responds to requests from our valued insurance partners to allow for further consultation and collaborative dialogue.”
Nairobi Hospital Suspends Implementation of New Price Review
The hospital said the meeting was attended by senior representatives of leading medical insurance providers, including Old Mutual, CIC, Britam Health, AAR, First Assurance, Heritage, Kenindia, Kenya Alliance, G.A. Madison, Fidelity and Minet.
The open and constructive discussions addressed concerns over the proposed pricing structure, ensuring alignment with the hospital’s shared commitment to patient-centered care.
“The Nairobi Hospital remains dedicated to fostering strong partnerships with all stakeholders while upholding its mission to deliver accessible, high-quality healthcare to the community,” the statement added.
“We look forward to continued engagement with our insurance partners to ensure sustainable solutions that prioritize the well-being of our patients.”
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The eight companies that suspended their services are Madison Insurance, First Assurance, Minet, Old Mutual, Britam, AAR, CIC, and Pacis Insurance.
Eight Insurance Companies Suspend Services from Nairobi Hospital
AAR Insurance noted that the recent cost hike raises concerns about the long-term affordability of healthcare for its members.
“With our customers’ best interests at heart, we engaged The Nairobi Hospital in open and constructive discussions, aiming to agree on a more sustainable, volume-based model that would safeguard both quality and affordability,” the statement read in part.
“Despite a sincere effort from both parties, we were unable to reach mutually acceptable terms this as a result, AAR Insurance member access to The Nairobi Hospital will be temporarily suspended effective Monday, 11 August 2025.”
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CIC Group, on the other hand, announced that it would suspend the services from Tuesday, August 12.
“We have been engaging The Nairobi Hospital on the cost of care at their facility. As you may be aware and may have picked from the reports (specifically average cost report) that we share with you, the provider has significantly revised their prices,” the statement read in part.
“We consider their rates not only unsustainable, but those that cannot be remedied, not even with a premium revision. As our intention is to safeguard the sustainability of the policies we administer and the operations of our organization, we have been engaging the provider on the revision but have regrettably not been able to reach a mutually agreeable position.”
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