The latter made the switch from Juventus on a six-month spell after cutting short his initial loan agreement with AC Milan.
However, Maurizio Sarri is not expected to chase Higuain’s signature for a permanent transfer next summer with Alvaro Morata, Olivier Giroud and Michy Batshuayi also predicted to leave.
This could open up the doors for Icardi’s entry into the Stamford Bridge whose release clause is reported to be worth £95.3m.
The report also states that Inter have given up on signing the 25-year-old to a contract extension due to his obscene wage demands.
Icardi is asking for a yearly paycheque of £6.49m which the Nerazzurri is not willing to meet.
Handing him a new deal could give Inter the option to add a higher release clause but that could also discourage interested parties.
His contract is set to run till the summer of 2021 and Luciano Spaletti might start entertaining offers in order to get the maximum amount out of the Argentine’s sale.
Icardi is a prime attacking talent who’s exclusion from the Argentina squad in the 2018 FIFA World Cup shocked many. He has struck the back of the net 14 times in 25 appearances for Inter this season.