CMS has proposed to make telehealth concessions implemented during the COVID-19 pandemic permanent.

Telehealth experienced the real push for adoption and implementation in 2019 when CMS approved payments to physicians for virtual check-ins. During the coronavirus pandemic, CMS enacted rule on March 30, offering relaxations to facilitate the expansion of telehealth. Now, CMS has proposed a rule to permanently expand telehealth coverage, although the providers will still not be reimbursed. The original law was aimed at facilitating home health providers to use connected health platforms to provide more and easily accessible services.

Since the outbreak of the pandemic, CMS has played a lead role in expanding payment for telehealth services and has implemented various flexibilities to make care accessible for all Medicare beneficiaries. The most noteworthy fact here remains that the outreach of telehealth services increased manifold during mid-March to early-July period, whereby over 10.1 million beneficiaries availed the service. Before the pandemic, however, there were only 14,000 Medicare telehealth beneficiaries per week.

According to the latest press release by CMS, the new proposed rule is a part of the Fostering Innovation and Rethinking Rural Health strategic initiative. This initiative aims at modernizing Medicare through private sector innovation. CMS notes that although telehealth may not necessarily be as effective as an in-person visit, the use of technology may result in changes to the frequencies and types of in-person visits, as mentioned in their care plans. Hence, the new proposed rule will allow HHAs to continue reporting telecommunication costs as allowable administrative expenses on the home health agency cost report, even post-pandemic. As a result, the healthcare industry is expecting a revolution in terms of unprecedented expansion of telemedicine soon.

The notice continues, “These proposed changes are one of the first flexibilities provided during the COVID-19 PHE that CMS is proposing to make a permanent part of the Medicare program.” Moreover, “These proposals would ensure patient access to the latest technology and give home health agencies predictability that they can continue to use telecommunications technology as part of patient care beyond the PHE.”

Alongside the telehealth provisions, CMS has also proposed increasing Medicare payments to home health agencies by 2.6 percent, which will add an approximate of $540 million to the coffers. However, health advocates contend that this proposal will not reimburse them for telehealth services, which is primarily why the National Association of Home Care and Hospice is lobbying against the decision.

The original rule had added 135 new services that can be paid for when delivered via telehealth. The new proposed law will allow some of these services to be continued to be provided through televists, eventually expanding the overall access to telemedicine.