TSC sued over teachers’ migration from MINET insurance to SHA

The Teachers Service Commission (TSC) has been taken to court for allegedly breaching constitutional and legal requirements in its move to migrate teachers from MINET insurance to the Social Health Authority (SHA).

Two petitioners argue that the shift could compromise the welfare of over 400,000 teachers, exposing them to risks such as lapses in cover, denial of treatment and loss of contractual rights previously guaranteed under MINET.

Peter Kodhek Amunga and Martha Omollo filed the petition at the Kisumu Employment and Labour Court against TSC, SHA, the Ministry of Health, the National Treasury and the Attorney General. They argue that TSC’s directive to discontinue the long-standing MINET scheme, a licensed private insurance provider, in favour of SHA, a statutory fund created under the Social Health Insurance Act, fundamentally alters teachers’ terms and conditions of service without proper stakeholder consultation.

“The impugned move exposes teachers to serious risks, including lapse of cover, denial of treatment, lack of emergency evacuation guarantees, and loss of contractual rights previously enjoyed under the MINET insurance scheme,” reads the petition.

According to the petitioners, the Constitution demands transparency, accountability, fair labour practices, public participation and adherence to legal procurement processes. They insist that adequate engagement with teachers, unions and other relevant stakeholders should have preceded the decision, given its potential impact on employees’ rights and welfare.

Amunga and Omollo also argue that SHA is not an insurance provider and therefore lacks the legal and structural capacity to replace a contractual, indemnity-based medical cover. They further assert that the Social Health Insurance Act does not compel TSC or any public employer to migrate staff from private insurance to the SHA fund.

“SHA is established as a fund, not an insurance provider. The Act does not oblige TSC to migrate teachers from a private insurance scheme to SHA. Section 27 requires progressive and actuarially sound implementation, which has not been demonstrated,” reads the petition.

The petitioners are seeking several declarations and court orders. They want the court to declare TSC’s migration decision unconstitutional, invalid, and therefore null and void. They also request a declaration that SHA cannot lawfully substitute the comprehensive medical cover previously provided under negotiated employment terms.

In terms of remedies, they are seeking an order of certiorari to quash the migration directive, an order of mandamus compelling reinstatement of the teachers’ medical insurance or a lawful, competitive, participatory procurement process and an order of prohibition restraining respondents from enforcing the migration or deducting salaries toward SHA without legal compliance.

They also seek access to all records, reports, procurement documents, actuarial assessments, and policy papers behind the contested decision, citing concerns over governance, labour rights, and the rule of law.

Despite the court challenge, the government plans to proceed with the migration. Teachers can expect a smoother healthcare system under SHA, with the rollout scheduled for December 1, 2025.

Head of Public Service Felix Koskei said preparations for the transition are advancing steadily.

“We have reviewed the state of preparedness, and I am satisfied that the transition is progressing well,” Koskei said after a strategic meeting with TSC and SHA officials.

“Measures to strengthen institutional coordination have been put in place to guarantee a smooth implementation of the planned transfer.”

The government says the move is intended to simplify access to medical benefits, reduce overlapping administrative processes, and improve overall service delivery for teachers and their families. All teachers currently enrolled in MINET will automatically move to SHA, which is expected to cover over 400,000 teachers and their dependents.

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SHA chief executive Mercy Mwangangi said the scheme will continue expanding its benefits over time. Teachers will also be enrolled in the public officers’ medical cover, providing additional support once SHA benefits are exhausted. This dual coverage ensures uninterrupted services for the teacher, spouse and up to five children.

The expanded benefits include inpatient and outpatient care, maternity services, dental and optical treatment, radiology, chronic illness management, drug and substance abuse support, overseas medical treatment and evacuation, annual health check-ups and organ donor tests.

The centralisation of teachers’ healthcare under the SHA is part of ongoing health financing reforms aimed at streamlining service delivery, widening access and ensuring long-term sustainability and improved coverage for teachers and their families.