Image compression plays a vital role in today’s era. The primary objective of the compression algorithm is to enhance the quality of compressed images while preserving the diagnostic integrity essential for medical analysis. The proposed technique first compresses the images using the JPEG algorithm, followed by a deblocking process to mitigate artifacts introduced during compression. However, to check the performance of the proposed technique is evaluated on a diverse set of medical images, including CT, MRI, ultrasound, and X-ray images, with varying bit rates. Consequently, there are three types of compression algorithms, such as lossless, lossy, and hybrid. In order to, the algorithm was assessed using metrics such as peak signal-to-noise ratio including blocking effects (PSNR-B) and Mean Structural Similarity Index (MSSI). Results indicate that the proposed method consistently outperforms existing methods, particularly that of exiting methods across all types of images and bit rates. The proposed algorithm generates higher PSNR-B and MSSIM values, indicating superior image quality and structural similarity.