Medicare Finalizes Changes to Medicare Home Health Program

On November 28, the Centers for Medicare & Medicaid Services (CMS) issued the Calendar Year (CY) 2026 Home Health Prospective Payment System (HH PPS) Rate Update final rule, which updates the Medicare payment policies and rates for home health agencies (HHAs).

CMS estimates the Medicare payments to HHAs in CY 2026 would decrease in the aggregate by an estimated1.3.1 percent. Also, CMS finalized the policies to remove the COVID-19 Vaccine measure, exemption process for prior authorization for certain Durable Medical Equipment, Prosthetic Devices, Prosthetics, Orthotics and Supplies (DMEPOS) accreditation and improvement to the DMEPOS competitive bidding program to give beneficiaries access to current and supported technology.

The rule is effective January 1, 2026.