PSC cancels tender advert for medical cover, retains Liaison

Parliamentary Service Commission chairman Justin Muturi. He said they have retained Liaison Healthcare Ltd as their medical cover provider. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • Mr Muturi said that the commission had reached an agreement with Liaison to have the issues raised by the MPs addressed to improve its services.

The Parliamentary Service Commission beat a hasty retreat on its move to cancel the contract with MPs’ current medical insurance provider, after advertising the recruitment of a new provider.

Before it rescinded its decision, the insurance cover for the 416 MPs and Senators, plus their two speakers, hung in the balance after the current provider, Liaison Healthcare Ltd, threatened dire consequences if its contract was terminated.

But even as the MPs retain Liaison, which they accuse of poor service and inefficiency, the Nation reliably learnt that National Assembly Speaker and PSC chairman Justin Muturi, who was abroad on official duty, has asked the commission to meet in his absence and find an amicable solution.

INEFFICIENT

PSC vice-chairperson and Taveta MP Naomi Shaban chaired the meeting.

“The commission realised that the decision to get a new provider on board early this year was risky as it would have left the members exposed,” Mr Muturi told the Nation.

At a Speaker’s kamukunji (informal sitting) last November, MPs passed a resolution to reject the current provider, accusing it of being inefficient.

They complained that some of them had been forced to pay their hospital bills and those of their family members, despite being entitled to a medical cover provided by the State.

The MPs’ complaints led to a resolution to terminate Liaison’s contract midway, with a rider that the PSC would not be held financially responsible should the provider not heed its decision and “purport to continue rendering the service”.

Thereafter, the PSC advertised tenders in the dailies.

RESOLUTION

But on Saturday, Mr Muturi said that the commission had reached an agreement with Liaison to have the issues raised by the MPs addressed to improve its services.

“The MPs were concerned that the government was not getting value for the cover, but the insurance provider has given an assurance to have the complaints addressed,” he said.

Liaison was contracted on February 26, 2018 to provide cover for the MPs for two years.

The company wrote to PSC Secretary and Senate Clerk Jeremiah Nyegenye reminding the commission that it had to respect the court order preventing it from terminating the contract on November 22, 2018.