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With effect from 1 January 2026, the maximum daily rate for reimbursement of medical expenses to employees under the Employees' Compensation Ordinance (ECO) and the Pneumoconiosis and Mesothelioma (Compensation) Ordinance (PMCO) will increase.
Current framework
Under the ECO and PMCO, employees who have suffered an injury at work or who suffer from prescribed occupational diseases may claim reimbursement from the employer for their medical expenses up to a maximum daily rate. Currently, the maximum daily rates are:
- Out-patient treatment: HK$300;
- In-patient and out-patient treatment received on the same day: HK$370; and
- In-patient treatment: HK$300
The current maximum daily rates have been in place since February 2018.
The amendments
In the 2025 Policy Address, the Chief Executive of Hong Kong set out to increase these maximum daily rates to enhance employees' rights and benefits. The proposal to increase the maximum daily rates also aim to provide better financial support to families of impacted employees during challenging times.
Therefore, from 1 January 2026, the maximum daily rates will be increased as follows:
- Out-patient treatment: HK$500; and
- In-patient and out-patient treatment received on the same day: HK$700.
There will be no change to the maximum daily rate for in-patient treatment, which will remain at HK$300.
The new maximum daily rates will apply to medical treatment received on or after 1 January 2026.
Key takeaway for employers
Employers should take note of this change and ensure that employees who receive medical treatment from 1 January 2026, and who are eligible for reimbursement under the ECO and PMCO, are provided with reimbursements which conform to the new maximum daily limits. Employers should also liaise with their employees' compensation insurance provider to check whether this update will bring about any changes to their policy terms and processes.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
