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Court bars MPs from changing health insurance provider

Parliament is now entangled in a new legal battle with Liaison Health Care Limited after the insurer obtained orders barring the House from engaging the services of another health cover provider.
The orders were given almost two weeks after the Parliamentary Service Commission (PSC) cancelled the contract and advertised for a new health provider.
In a letter addressed to the PSC secretary and Senate clerk Jeremiah Nyegenye, Liaison Healthcare Limited, through its legal counsel Triple OK Law, told PSC to take cognizant of the orders issued on Monday by Justice Grace Nzioka staying the termination notice dated November 22 until all matters are resolved.
According to the provider, the ruling meant that the initial contract dated February 26 this year remains in force and thus no other tender for provision of healthcare insurance can be processed.
Sources in PSC revealed that the commission will not proceed with the opening of the tenders until all matters have been resolved.
MPs rejected the current health insurance two weeks ago on grounds that it was ineffective and did not cover their extra wives.
The medical scheme provides for Sh10 million inpatient cover per family, Sh300,000 for outpatient cover, Sh150,000 for maternity and Sh75,000 for dental care.
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