CGHS Big Relief: Rs 10 Lakh Immediate Medical Expense Approved Without Prior Permission

CGHS Scheme Update: Great news for central government employees and pensioners! The Ministry of Health and Family Welfare has raised the maximum limit for medical reimbursements under the Central Government Health Scheme (CGHS). Now, heads of ministries and departments can settle medical bills up to Rs 10 lakh without needing approval from the Integrated Finance Division (IFD). This is an increase from the previous limit of Rs 5 lakh. The new changes have effectively doubled it.

Limits raised in other cases as well

Additionally, the limit has been increased in situations where no discount is offered and payment is made solely at the prescribed CGHS rate. Previously, this limit was Rs 2 lakh, but it has now been raised to Rs 5 lakh. The government is optimistic that this decision will expedite the processing of medical bills, minimize paperwork, and provide timely assistance to employees and pensioners.

What did the government say?

In a memorandum released on February 16, 2026, the Ministry of Health announced that after a thorough review, it was decided to increase the maximum limit for medical reimbursement from Rs 5 lakh to Rs 10 lakh. However, the Ministry also made it clear that this facility will only be available under the specified terms and conditions.

Two key conditions apply to the approval of medical claims up to Rs 10 lakh. No exemptions will be granted from CGHS or CS(MA) regulations. Claims will only be approved if all regulations are strictly adhered to. No relaxations will be permitted. Payments will be made solely according to the established CGHS and CS(MA) rates. Medical bills will be reimbursed strictly according to the prescribed rate list, and no amounts exceeding these rates will be approved.

The current treatment limit for CGHS beneficiaries was between two and five lakh rupees. This change occurred ten years ago. This limit has now been increased to five to ten lakh rupees. Although beneficiaries will have to bear the cost of treatment outright, the department will reimburse the amount promptly. CGHS staff would not directly approve files containing such expenses. Previously, the file had to be sent to the IFD, which often caused delays in receiving approval. Medical bills and other documents were checked to ensure they were in order. If any errors were discovered, it would take time to correct them.