Healthcare needs fewer firefighters and more strategists
Originally published by KBC Digital — Read the original article →
One thing you learn working in health insurance is that a medical crisis rarely begins when a patient walks into a hospital. In many cases, the warning signs have been there for days, weeks or years. They show up in routine check-ups, in conditions that go undiagnosed and in illnesses that are not properly managed until they become serious. By the time the bill arrives, the options are often more complicated and expensive.
Kenya needs to consider this as healthcare costs continue to rise. Figures from the Insurance Regulatory Authority (IRA) show that medical claims increased from Sh26.69 billion in 2021 to Sh52.61 billion in 2025. Medical insurance now accounts for 41 per cent of the general insurance market. The pressure is unlikely to ease soon. Aon’s 2026 Global Medical Trend Rates Report projects a 13.5 per cent increase in Kenya’s medical costs this year, against a global average of 9.8 per cent and general inflation of 4.9 per cent.
Employers are already facing higher bills. Published company reports show that NCBA’s staff medical expenses rose from Sh632.36 million to Sh727.76 million in the latest reporting period. The Co-operative Bank’s expenses also increased, from Sh849.92 million to Sh962.12 million. These are substantial sums. Behind them are decisions that many businesses would rather not have to make: whether to increase the medical benefits budget, ask employees to contribute more or reconsider the cover available to staff.