Work news for central employees, know what has changed in the rules

New Delhi. There is relief news for central employees and pensioners. The problem of going through the long administrative process for reimbursement of medical bills after treatment is now going to be reduced to a great extent. The financial limit for approval of medical claims has been increased through an office memorandum issued on 16 February 2026, which will make the payment process faster and simpler.

Local level approval up to Rs 10 lakh

Under the new system, Heads of Departments (HODs) of ministries and departments will now be able to approve medical claims up to Rs 10 lakh without the advice of IFD. Earlier this limit was Rs 5 lakh. This means that now claims amounting more than Rs 5 lakh will not need to be sent to a higher level, provided they conform to the prescribed rules. This change will reduce the long cycle of files and employees will not have to wait for months for payment.

Two conditions are very important

However, the government has also set two clear conditions along with this increased limit:

1 .The claim should not have sought any relaxation in the rules of CGHS) or CS(MA).

2.The amount of reimbursement should be strictly as per the rates prescribed by CGHS/CS(MA).

If the hospital bill exceeds the government rates and additional payment is demanded, the case will remain under consideration at the same high level as before. But if it is within the prescribed rates, the approval process will be faster.

Settlement limit also increased

The government has also significantly increased the settlement limit. In cases where no exemption is sought and payment is as per CGHS rates, the settlement limit has been increased from Rs 2 lakh to Rs 5 lakh. This will reduce the delay in settlement of huge bills.

Relief on ambulance expenses also

Ambulance expenses can also be reimbursed. Ambulance charges within the city will be allowed only if the doctor certifies in writing that taking the patient by any other means was risky to his life or health.

Value employees?

These amendments will provide financial and mental relief to central employees and pensioners. The delay in payment of huge amounts in cases of serious illnesses can now be significantly reduced. Decentralization of powers at the administrative level is expected to increase both transparency and efficiency.