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The Juventus striker should be loaned until the end of the season with the possibility of extending the agreement by another 12 months.
Higuain was ruled out of the AC Milan squad for Monday's game against Genoa and Gennaro Gattuso criticized him for his decision to start halfway through his season-long loan from Juve.
And it is understood that Chelsea is waiting for the Argentine to arrive in the capital on Tuesday to complete the formalities of his move.
Gattuso said: "I accept his decision, he surely could have done more and maybe we could help him to integrate better.
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"I want to be honest with you all, we had a bad training session today because of all these rumors, we talked after the training session and I did not consider it ready. for this match. "
But all parties agreed to let Higuain cancel his loan in Milan and start one in Chelsea.
Maurizio Sarri desperately needs a spark after criticizing his players for their mental approach against Arsenal.
Sarri was so furious that he chose to speak in Italian through an interpreter after the match to make sure he was conveying his message well.
But Higuain will improve his mood and should offer him a better option than unfortunate Alvaro Morata.
Morata has been struggling during this period and has been ruled out of group matches in recent weeks while he seems ready to join Atletico Madrid.
But the pressure is strong for Sarri after calling his players Saturday night.
His comments were similar to those of Antonio Conte during the last season when he started to fly to the bag.
Sarri has now decided to criticize his players. Players like Conte, Jose Mourinho and Andre Villas-Boas have all been fired by Chelsea in the past.
And former Chelsea striker Tony Cascarino thinks Sarri's job is now in jeopardy and that he could be fired if the Higuain contract did not work.
"I do not think the system fits everyone in Chelsea and that's why I think players do not buy the same way that he wants to play," he said. he told talkSPORT.
"Because he's very determined to play only that way.
"But unless he has the time – and Chelsea is not a club that will be patient – I think Higuain will be his last throw.
"He has to come in and work. No, you do not have many chances
"And I said that Chelsea fans will know what I'm saying. I went to games and I watched them.
"We had this joke with (the reporter) Dan Levene yesterday and he said that the bars around Stamford Bridge are very busy.
"Chelsea fans know it's getting ready. Look at their goal back in recent weeks. They do not look like a camp that will create.
"So, the last throw of the dice is Higuain, because otherwise I do not think it will last until the end of the season.
"And if he arrives at the end of the season, he will not enter next season."
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