Private Health Facilities Association Urges Clients to Bring Cash Amidst Unsettled Debts by Health Insurance Companies

The Private Health Facilities Association of Ghana has issued a directive urging clients of health insurance companies with outstanding debts to be prepared to make cash payments for healthcare services when seeking treatment at their facilities, effective from January 24.

Citing the adverse impact of unpaid debts from private health insurance companies on their operations, the Association, in a press release dated January 24 and co-signed by Frank Torblu, General Secretary, and Richard Samuel Boakye Donkor, Vice President, has set a deadline of February 14. Beyond this date, they plan to adopt a more assertive approach to recover the debts.

The release stated, “We hereby wish to state unreservedly that the insurance companies that have not met their claims payment obligations to service providers should do so within three weeks from now commencing 24th January, 2024, to 14th February, 2024.” During this period, clients are advised to bring money for their services.

In a concerning revelation, they disclosed, “At the time of coming to the press, we had an average value of One Hundred and Fifty-Two Million, Three Hundred and Seventy-Eight Thousand, Five Hundred Ghana Cedis. (GHC152,378,500.00) as the outstanding liability,” emphasizing that this figure represents only a fraction of the total debt owed to service providers.

Expressing dismay, the Association highlighted the evasive tactics employed by some insurance companies, instructing their clients to avoid accessing healthcare from certain facilities due to their purported inability to provide necessary care. The Association raised concerns about the potential collapse of private health insurance companies, leading to significant bad debt on the books of their members. They stressed the urgency of addressing this situation to prevent further financial strain on service providers.*