The National health insurance fund (NHIF) has suspended the provision of comprehensive medical cover to employees of the defunct Nairobi Metropolitan Services (NMS) over a Sh1.2 billion debt.
The staff are currently working at the Nairobi county.
Through a letter from the Ministry of public service to the county, the Insurance Fund suspended the service with effect January 23.
“The purpose of this letter is to bring to your attention the NHIF notice of suspension of the cover for the staff working under your jurisdiction for necessary action,” reads the letter addressed to the Nairobi County secretary.
It is signed by principal secretary Amos Gathecha.
The Ministry regrets that despite a notice to the county asking it to honor the deal by settling the amount such has been forthcoming.
“It is noted that the said premiums have not been paid to date yet the staff of the former NMS have continued to access the scheme benefits,” it reads.
It adds, “In this regard, NHIF is unable to continue offering services to the staff of former NMS who are currently working under your jurisdiction.”
The funds, according to the PS, were to be channelled to the Ministry for onward transmission to the insurance fund.
NMS handed over its functions and responsibilities to the Nairobi County governor on September 30 last year.
The key functions included Health, Transport and Planning.
NMS Director General Lt. Mohammed Badi said it was a remarkable two-year journey that saw change in Nairobi and he was grateful for being part of it.
“I would like to thank Governor Sakaja for helping us guide NMS to what we have achieved today… It has been a rigorous and remarkable 2 years culminating to this very moment as we officially handover the transferred functions back to the county government,” he said.
During the ceremony, Sakaja said all staff that were transferred to NMS will be absorbed back into the county.
“There is no former NMS staff or former county gov’t staff, you are all staff of the Nairobi County gov’t and you will work together as equals. We will have space for everybody,” he said.
