Big News for Central Government Employees, CGHS and ECHS will Provide Significant Benefits

Pensioners’ Medical Facilities 2026: The government has issued new guidelines for Central Government Health Scheme (CGHS) beneficiaries and empanelled hospitals. The Ministry of Defence has also announced the implementation of new CGHS rates for Ex-Servicemen Contributory Health Scheme (ECHS) empanelled hospitals, effective December 15, 2025. These changes will remain in effect until 2026. These changes are expected to remain in effect. These changes are intended to simplify the reimbursement process, ensure better healthcare for pensioners and government employees, and ensure hospitals operate in accordance with updated standards.

Learn about the changes?

For information, from December 15, 2025, all existing agreements with empanelled private hospitals will be cancelled. This means that hospitals will be required to submit a new digital application to continue providing services under CGHS/ECHS. These hospitals will be required to sign the new Memorandum of Agreement (MoA) within 90 days of implementation. Before December 15th, hospitals will be required to submit an undertaking confirming their agreement to the new rates and terms. If the hospital fails to submit the undertaking, it will be automatically de-empanelled.

For information, there has been a long-standing demand for reforms in CGHS rates. Many hospitals stated that the old reimbursement rates were not in line with rising medical costs. Beneficiaries wanted clear billing, advance knowledge of estimated expenses, and accountability for hospital service delivery.

What will hospitals have to do now?

Hospitals will be required to log in to the empanelment portal, submit documents, and accept the new terms and conditions. Signing the new agreement within 90 days is mandatory. Failure to do so will result in de-empanelment, potentially cutting off service benefits for millions of CGHS and ECHS beneficiaries.

What will CGHS beneficiaries benefit from?

Beneficiaries are expected to experience improved access to updated treatment packages, cashless treatment, and simplified reimbursement procedures. CGHS 2025 has implemented several reforms. Among the benefits are expanded cashless treatment for pensioners. More procedures and cardiac/oncology-related treatments are now covered by the cashless facility. Paperless authorisation and online referral systems have been strengthened. Additionally, panel hospitals are now threatened with stricter penalties and blacklisting for refusing services.