The National Treasury has been blamed for the Teachers Service Commission’s decision to award a medical insurance contract to Minet. CEO Nancy Macharia revealed to the education committee on Tuesday, February 14, that despite teachers’ requests to be registered under the National Health Insurance Fund, the Treasury instructed the commission to advertise for the tender instead. Macharia added that the decision was intended to deter TSC from requesting additional funds for medical coverage. She explained that the Attorney General had given his approval for the move, and TSC had also conducted a proper survey.
According to Macharia, the Ksh14.9 billion paid to the insurance provider was intended to cover only one year, and the renewal would be determined by the contract’s performance and funding availability. She stated that TSC did not pay the full amount for the three years to allow for a review of the services provided.
The CEO explained that the three-year contract was designed to save time and resources that would be required for another draft. She also stated that the system had been in place for a long time, and changes had not been made to the policies, explaining why teachers were not allocated the same amount in their cover.
Macharia revealed that the new contract had addressed complaints from some teachers about the cover, which had not been addressed previously. She also noted that the Attorney General would not have approved the contract if it was detrimental and that TSC had the option to terminate the contract if necessary.
However, the move faced opposition from a group of teachers who filed a petition in December 2022 seeking to stop the contract between TSC and the medical insurance firm. They claimed that many teachers were being forced to pay for their treatment while the insurance firm was being paid billions of dollars to provide services. The petition was subsequently dismissed by TSC.