Private Hospitals now Turn to Cash Payments for SHA Patients Over Delayed Claims

Private hospitals in Kenya have stopped accepting Social Health Authority (SHA) cards for treatment. From now on, patients will be required to pay in cash before receiving services.

The decision was announced by the Rural & Urban Private Hospitals Association of Kenya (RUPHA) in a notice released on Sunday. The association said the new rule, effective Monday, September 22, comes after long delays in payments from SHA, which have left hospitals struggling to keep operations running.

According to RUPHA, hospitals cannot continue providing care on credit when they have not been reimbursed for months. The group explained that the situation has created serious financial pressure, making it difficult to pay staff, stock medicine, or cover other daily costs of running health facilities.

“Effective today, all healthcare services (unless otherwise stated) at this facility for Social Health Authority (SHA) beneficiaries will be provided on a cash basis,” the notice stated. It added: “We regret the inconvenience this may cause and assure you that this action is driven by our commitment to ensure that hospitals remain open, essential supplies and equipment are available, and our staff can continue to serve you with the highest standards of care.”

The SHA, launched in October 2024 to replace the National Health Insurance Fund (NHIF), was meant to expand healthcare access across Kenya. But providers say late claim settlements have become a persistent problem.

The standoff now raises fears that SHA patients may be locked out of private care if they cannot pay cash. Health experts warn this could undermine the government’s plan for universal health coverage.