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Nairobi Hospital drops price hike after dialogue with insurers

The increase was just five per cent, says the hospital director of medical services Samuel Odede.

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by JOHN MUCHANGI

Health15 August 2025 - 17:07
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In Summary


    Samuel Odede, Director of Medical Services and Research at the Nairobi Hospital.

    The Nairobi Hospital has rescinded a recent adjustment to its service charges, following protests from several medical insurers who suspended services at the premier facility over what they termed as rising costs.

    The hospital’s Director of Medical Services and Research, Samuel Odede, on Friday said the institution had dropped the increase, which he said averaged five per cent.

    He attributed the earlier increase to rising costs of medical products.

    “In view of the prevailing economic circumstances where the costs of both imported and local medical products have risen, TNH marginally reviewed upwards the prices of certain medical products and services by an average of five per cent. This was done after a comprehensive analysis of rising costs in pharmaceuticals, equipment and other essential supplies, benchmarked against peer institutions. Even with these adjustments, our tariffs remained competitive within the market,” he said.

    The move to increase charges, however, triggered pushback from some of the hospital’s key insurance partners. Several medical insurers issued advisories to their clients on August 8, notifying them of a suspension of services at the facility. This raised concerns among patients, doctors, and the broader public.

    “We are aware that the recent communications on media platforms by some medical insurers on service suspension at The Nairobi Hospital have created anxiety among all stakeholders, doctors and patients alike,” Odede told journalists.

    The hospital said it made efforts to explain the rationale for the price review to insurers. But despite “continued dialogue with stakeholders including insurances for the sustainability of the hospital,” some companies reacted by suspending cover at the facility.

    Faced with the fallout, the hospital’s senior management convened with representatives of the insurers on August 11 to revisit the matter.

    “Despite having engaged key insurance partners on the rationale and context for the adjustments, some insurance partners reacted to the implementation by suspending services at The Nairobi Hospital, as advised in advisories issued to their clients on August 8, 2025. In response, the Senior Management Team of The Nairobi Hospital met with insurance representatives on August 11, 2025, to revisit the factors behind the adjustments and negotiate a way forward,” he said.

    The talks, described as constructive, resulted in a decision by the hospital to reverse the new charges.

    “Mutual goodwill prevailed in a constructive dialogue, and the hospital rescinded the tariff adjustments to allow for further dialogue. Patients would continue accessing services at the previous rates,” Odede said.

    The hospital emphasised that despite the recent standoff, its primary commitment remains the welfare of patients.

    “The hospital wishes to reassure all its patients that the rates remain as were prior to adjustments. We are ready to work with our insurance partners to ensure flawless service to our patients. The Nairobi Hospital wishes to assure the public that we continue to provide care to all patients at the rates and we remain committed to delivering the highest standard of care,” Odede said.

    The hospital also urged patients to seek clarity directly from their insurers regarding coverage and any possible disruptions to their care.

    “For patients covered by medical insurance, access to services remains subject to approval from their respective providers. We encourage patients to contact their insurers directly to confirm coverage and seek clarification on any disruption they are experiencing to their care,” the management advised.

    Founded 71 years ago, The Nairobi Hospital describes itself as the largest stand-alone private hospital in Eastern, Southern and Central Africa. In its statement, the hospital underscored its importance to the region’s health system and stressed that it will continue engaging insurers in order to safeguard patient access to care.

    “The Nairobi Hospital remains committed to constructive dialogue with our insurance partners while prioritising patients and ensuring that they receive timely and quality care,” Odede concluded.

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