The workers have been denied services at hospitals under cover of AAR Insurance whose Sh1.06 billion-a-year contract ended on December 31 and was not renewed.
Sources at City Hall link the delay in getting a medical provider to a split in the executive with some pushing for a new insurer and others keen on AAR.
City Hall was last year locked in a court suit amid accusation of favouring AAR, which has been the provider of medical insurance since 2015.
More than 12,000 City Hall workers have no medical insurance after Nairobi failed to tap an insurer to provide the cover for the period starting January 1.
The workers have been denied services at hospitals under cover of AAR Insurance whose Sh1.06 billion-a-year contract ended on December 31 and was not renewed.
Sources at City Hall link the delay in getting a medical provider to a split in the executive with some pushing for a new insurer and others keen on AAR.
“AAR did not suspend the NCC medical cover. It was a one-year contract running from January 1, 2018 to December 31, 2018. The cover has therefore expired,” Mercy Ndegwa, the AAR chief operations Officer said in an e-mail response to the Business Daily.
“The County Government advertised an open tender for medical insurance services for the county staff for 2019-2020. We submitted our bid and are awaiting the tender outcome.”
City Hall was last year locked in a court suit amid accusation of favouring AAR, which has been the provider of medical insurance since 2015.
A section of MCAs accused City Hall of cancelling an earlier tender awarded to Britam on technicality.
The tendering fight was dismissed in court after justice Hedwig Ong'udi said the High Court had no jurisdiction to hear and determine the case.
City Hall on Friday claimed the AAR contact was on and workers could access treatment.
County Secretary Pauline Kahiga said the cover is valid.
“The cover for all our staff is valid,” Ms Kahiga told Business Daily without giving details.
The workers union has protested over the lack of insurance cover. “Beginning January 1, Nairobi County staff have been operating without medical cover exposing them to risks of contradicting preventable occupational diseases and setting the stage for drug resistance on lifetime diseases,” Benson Oriaro, the secretary general said in a letter to Mike Sonko, the governor.
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