A new model known as the "second-generation (next-generation)" facial recognition card reader has arrived for the devices used every day at reception for online eligibility verification. The current models (first generation), rolled out from 2021, are reaching the end of their maintenance periods one after another, and many clinic directors and office managers have likely begun asking when to replace them and with which model. Based on published information from Japan's Ministry of Health, Labour and Welfare (MHLW), the Comprehensive Portal Site for Medical Institutions, and the manufacturers, this article organizes how the second generation differs from the first, what products are available, and how far the subsidies go.
Disclaimer: This article provides general information based on what was published as of October 13, 2026. Subsidy amounts, application deadlines, product specifications, and prices are subject to change. Before purchasing or applying, always check the latest information on the Comprehensive Portal Site for Medical Institutions and from each manufacturer.
For the policy positioning of the Myna insurance card, see Policy Explainer on the Myna Insurance Card; for setup steps for online eligibility verification, see What Is the Mandate for Online Eligibility Verification?.
Why the "Second Generation" Now
Facial recognition card readers began rolling out in earnest to medical institutions and pharmacies around 2021. Equipment maintenance periods are generally about five years from sale, so first-generation maintenance periods began expiring in sequence from the end of March 2026. After that point, prompt repair or replacement may not be available if a device fails.
In addition, the special treatment of conventional health insurance cards has ended, and the Myna insurance card is used at reception more and more. Because a stoppage of this core reception device has a large impact on operations, the government is encouraging a switch to second-generation devices in line with maintenance expirations, and launched a program to subsidize part of the purchase cost through the FY2025 supplementary budget.
Key Differences from the First Generation
According to MHLW guidance, the second-generation facial recognition card reader incorporates the following main improvements.
| Item | First generation (current models) | Second generation |
|---|---|---|
| Smartphone Myna insurance card | Many models need a separate external general-purpose card reader | Readable by the card reader alone |
| Voice guidance | Limited, depending on model | Voice guidance for operating steps and errors |
| Screen | Layout differs by manufacturer | Unified screen layout with better visibility and usability |
| Facial recognition | Conventional accuracy | Higher accuracy, fewer errors |
| Error recovery | Manual restart or reconnection sometimes required | Automatic reconnection shortens recovery time |
1. Reading the Smartphone Myna Insurance Card with the Unit Alone
This is the biggest difference. From September 2025, the "smartphone Myna insurance card"—a smartphone carrying My Number Card functions—became usable, but many first-generation models required connecting a separate general-purpose card reader to read smartphones. The second generation handles both cards and smartphones with the card reader unit alone. This reduces the equipment at reception and the moments when patients are unsure where to hold their phone.
2. Voice Guidance Reduces Prompting by Reception Staff
A function that announces operating steps and errors by voice—"Please place your card," "Don't forget your card," and so on—has been added. Fewer prompts needed for elderly patients and those unfamiliar with the device makes the biggest difference during busy reception hours.
3. Unified Screens and Better Recognition Accuracy
Screen layouts, which used to vary by manufacturer, have been unified so the operation feels the same at any institution. Improved facial recognition accuracy and automatic reconnection on errors are also expected to reduce the moments when reception stalls because authentication fails.
Second-Generation Products (Three Manufacturers)
As of October 2026, the Comprehensive Portal Site for Medical Institutions lists the following three products as second-generation facial recognition card readers.
| Manufacturer | Product / Model | Key features |
|---|---|---|
| Canon Marketing Japan Inc. | Hi-CARA2 | Integrated keypad and speaker, compact |
| Panasonic Connect Co., Ltd. | Second-generation facial recognition card reader (XC-STFR3J-MN) | Built-in eligibility verification terminal (PC) |
| Ricoh Japan Corporation | Caora 2 | Large 7-inch screen, space-saving |
Canon Marketing Japan "Hi-CARA2"
The successor to the current "Hi-CARA." It integrates a PIN-entry keypad and a voice-guidance speaker into the unit, so no external keypad is needed. The unit can be operated while tilted or detached, making it easy to accommodate children, wheelchair users, and tall users.
- Screen: 5-inch LCD (with privacy filter) and a large LED that shows status in three colors
- Dimensions: W98 × D225 × H268 mm
- Reads: My Number Card and smartphone My Number Card (iPhone / Android)
- Can coexist with the current Hi-CARA; up to four units can connect to one verification terminal with no additional license fee
- Warranty: 5-year warranty against natural failure (advance send-back replacement)
Panasonic Connect "XC-STFR3J-MN"
Released on August 24, 2026. Its biggest feature is that the eligibility verification terminal (Windows PC), previously prepared separately, is built into the unit, which Panasonic Connect describes as an "industry first." It connects to the receipt computer over LAN, which helps save space around reception.
- Price: ¥379,500 (tax included, product sales site price)
- Dedicated external keypad (VT-QXZ2468ZA): ¥18,700 (tax included, sold separately)
- A rear indicator lets reception staff see the type of error
- Voice guidance via speaker and a refreshed, easier-to-read screen UI
- Note: an external monitor, keyboard, and mouse are needed for setup, and in environments without remote access from the receipt computer, an external monitor may also be needed during operation
Ricoh Japan "Caora 2"
Developed by PFU, it went on sale from Ricoh Japan on October 1, 2026. It succeeds the current "Caora" (sold by Fujitsu Japan).
- Screen: enlarged from 5 inches to a 7-inch touch panel with large text and buttons; privacy filter as standard
- Dimensions: W130 × D185 × H301 mm (footprint about 37% smaller than the current Caora)
- Reading: just place the My Number Card; the smartphone reading area is placed broadly at the bottom
- Voice guide and screen read-aloud function; sound alert for a forgotten card
- Can be mixed with the current Caora for up to four units in total, with no additional license
- Maintenance: 5-year advance send-back maintenance
For every product, price, maintenance terms, and compatibility with existing receipt computers and verification terminals depend on each institution's environment. The surest approach is to consult early with the manufacturer of your current model and your receipt computer vendor.
Subsidy Overview
Medical institutions and pharmacies introducing a second-generation facial recognition card reader can receive a subsidy funded by the FY2025 supplementary budget. Applications opened on June 30, 2026.
| Item | Subsidy rate | Cap |
|---|---|---|
| Facial recognition card reader unit | 1/2 of the sales price (tax included) | ¥121,000 |
| Eligibility verification terminal | 1/3 of the sales price (tax included) | ¥50,000 (only together with a card reader) |
| Card reader with integrated terminal | Sum of the two above | ¥146,000 |
| External keypad | 1/2 of the sales price (tax included) | ¥11,000 |
Key points to keep in mind:
- Number of units: a guideline of up to three units for hospitals and one for clinics and pharmacies
- Application deadline: installation, payment, and application reportedly need to be completed by February 1, 2027
- Reimbursement after purchase: after purchasing and paying, apply via the Comprehensive Portal Site with the receipt and itemized statement
- Ineligible costs: installation and configuration fees and receipt computer modification costs are not covered
The subsidy covers only part of the purchase cost, not all of it. Always confirm the details on units, deadlines, and required documents in the latest guidance on the portal site.
Points for Deciding When to Replace
1. Check the Maintenance Expiration of Your Current Model
First, check the maintenance expiration of the facial recognition card reader you use now. Expiration dates for each product can be found on the portal site and in manufacturer guidance. If it is approaching, it is safer to switch on a plan—keeping the subsidy deadline in view—rather than scrambling after a failure.
2. Consider Reception Layout and Number of Units
Choose based on your reception: a compact model or a terminal-integrated model if the counter is narrow; a large screen and clear voice guidance if your patients skew older. If you run multiple units, check whether the new model can coexist with current ones, which makes a phased switch easier.
3. Confirm Integration with Your Receipt Computer and EMR
Eligibility and medication information retrieved by the card reader only streamlines reception and care once it is linked with the receipt computer and EMR. When switching models, align in advance with your vendor on whether the verification terminal needs replacing, network settings need changing, or the receipt computer needs updates.
How AI Karte Fits In
The AI-native EMR "AI Karte," developed by Pottech, links with online eligibility verification and is designed so retrieved eligibility and medication information can be referenced within the clinical flow. With its integrated receipt computer, eligibility checks, documentation, and claims are handled on one data foundation. Feel free to consult us about revisiting your reception flow alongside a card reader switch.
Conclusion
The second-generation facial recognition card reader focuses on improvements that keep reception from stalling and patients from getting confused—standalone support for the smartphone Myna insurance card, voice guidance, and better recognition accuracy. As first-generation maintenance periods expire in sequence, we recommend considering a model that suits your clinic early, with the subsidy deadline in mind.
Through providing AI Karte, Pottech aims to be the ideal business partner for clinics—improving the working environment for physicians, nurses, and medical clerical staff, and supporting clinics in fully realizing what they want to achieve.
For more details, please feel free to contact us.
References
- Product Introduction: Second-Generation (Next) Facial Recognition Card Readers (Comprehensive Portal Site for Medical Institutions)
- On Introducing Online Eligibility Verification (for Medical Institutions, Pharmacies, and System Vendors) (MHLW)
- Facial Recognition Card Reader Hi-CARA2 (Canon Marketing Japan)
- New Facial Recognition Card Reader Model (Panasonic Connect)
- Facial Recognition Card Reader "Caora 2" (PFU)