AMC vs CMC for Medical Equipment: What Each Covers
AMC (annual maintenance contract) usually means a yearly arrangement with a set number of service visits and labour. CMC (comprehensive maintenance contract) usually means broader cover that may also include specified spare parts. The names are not fixed by law or by any standard, so the wording of the contract decides what is actually covered.
If you run a service company for CT, MRI, X-ray or lab equipment, you will sell both kinds of contract. If you run a hospital or imaging centre, you will compare quotes for both. This guide explains the usual difference, what to read in the contract, and what a service company needs to track once the contract is signed.
What is an AMC for medical equipment?
An AMC is a yearly service arrangement for a machine after its warranty ends. In most quotes it covers:
- A fixed number of preventive maintenance (PM) visits in the year
- Engineer labour for those visits
- Often, attendance when the machine breaks down
Spare parts are commonly charged separately under an AMC. That means a CT tube or a coil failure can create a large extra bill that the customer did not plan for.
What is a CMC for medical equipment?
A CMC is the wider version. It usually covers the same visits and labour, and it may include replacement of specified parts. "May" and "specified" matter here. A vendor can define a CMC in its own way, and no CMC covers every part, accessory or consumable without limits.
In Indian hospital tenders you will often see equipment bought with a warranty period followed by a CMC period — one Delhi government hospital equipment list, for example, shows ventilators with 5 years of warranty from installation followed by 5 years of CMC (see Sources).
AMC vs CMC: side-by-side
| Point | AMC (typical) | CMC (typical) |
|---|---|---|
| PM visits | Fixed number per year | Fixed number per year |
| Engineer labour | Included | Included |
| Breakdown calls | Often included, check response time | Often included, check response time |
| Spare parts | Usually billed separately | May include specified parts only |
| Consumables, accessories | Usually excluded | Check the exclusion list |
| Price certainty for the customer | Lower (parts are a variable) | Higher (but check limits) |
| Risk for the service company | Lower parts risk | Higher parts risk, needs cost tracking |
"Typical" means common market practice. Your contract can differ on every row.
What should you check in the contract wording?
The label alone does not settle what is covered. Before you sign or quote, check these:
- Equipment schedule. Serial numbers, accessories and site address should match the asset register.
- Inclusions and exclusions. Parts, consumables, calibration, travel, freight and software or licences should each be stated. If an item is silent, treat it as not confirmed.
- Service commitments. Define when the clock starts, what counts as acknowledgement, attendance and restoration. Response and resolution are different events.
- Evidence. Who provides visit reports, breakdown logs and a final report?
- Open work at renewal. Unresolved repairs and pending documents should have a named responsibility.
- End of support. What happens if the manufacturer stops supplying a required part?
- Costs. Keep fixed fees separate from known extra work.
Is there a standard price for AMC and CMC?
No source we found gives a reliable standard. Some vendors price a contract as a percentage of the equipment value, but that is a vendor practice, not a rule, and one industry guide specifically advises against using a generic percentage as a benchmark. Price from the equipment's age, brand, usage and your own cost history.
How should a service company track AMC and CMC contracts?
Selling the contract is half the job. The other half is delivering it and renewing it. A working setup tracks:
- Contract dates and renewal date per machine, not just per customer
- PM visit calendar created when the contract is signed, so visits do not drift
- Service tickets against the machine, with response and resolution times
- Parts used against the ticket and contract — this is what shows whether a CMC is making or losing money
- Documents: agreement copy, visit reports, sign-offs
For CMC contracts, cost per contract is the number that matters most at renewal time. Without it, renewal talks turn into discount requests. This is the kind of tracking Anant AGI's medical equipment service pack is built around — see what a Business OS actually is for why keeping all of this on one record matters.
FAQ
Is CMC always better than AMC?
No. A CMC gives the customer more cost certainty, but only for the parts the contract lists. An AMC can be fine for newer machines with low failure risk. It depends on the equipment and the exclusions.
Does AMC include spare parts?
Usually not. Spare parts are commonly charged separately under an AMC, but check the contract, since vendors define the terms differently.
What is CAMC?
CAMC is used in many Indian tenders and usually stands for comprehensive annual maintenance contract. Treat it as a CMC-style contract and read the inclusions.
When should a customer sign an AMC or CMC?
Many hospital tenders ask the bidder to sign the maintenance contract before the warranty ends — one Kerala institute's tender asks for it three months before warranty completion (see Sources). Check your own tender terms.
What should a service company track to price a renewal?
Visits made, parts consumed, breakdown calls and engineer time per contract. Price from that history rather than last year's number plus a fixed increase.
Sources
- Nirmitee, "AMC vs CMC medical equipment": nirmitee.io/blog/amc-vs-cmc-medical-equipment (vendor blog; source of the label wording and checklist points)
- Delhi hospital equipment list showing warranty plus CMC periods: lhmc-hosp.gov.in equipment list PDF
- SCTIMST tender: tenders.sctimst.ac.in