Policy Changes

Policy Changes

Telehealth Under Medicare Faces Major Cuts

Telehealth Under Medicare Faces Major Cuts

Telehealth Under Medicare Faces Major Cuts

Mar 7, 2025

|

3

min read

The Medicare telehealth landscape is on the brink of significant changes. With the expiration of CMS (Centers for Medicare & Medicaid Services) waivers set for March 31, 2025, the future of telehealth services is uncertain. As policymakers navigate this shift, the impact on both urban and rural populations could be substantial.

What’s Happening with Medicare Telehealth?

The waivers introduced during the COVID-19 pandemic allowed for expanded telehealth access, which has become essential for millions of Medicare recipients. As these waivers come to an end, telehealth services will be scaled back, particularly in urban areas, with the most significant effect on rural communities.

Key Implications:

  • End of Waivers: As of March 31, 2025, CMS waivers that have enabled broad telehealth access will expire, reducing flexibility.

  • Urban and Rural Impact: While urban home visits will be limited, rural areas could face even more severe restrictions, with experts predicting a 40% reduction in access.

  • Telehealth Use in 2023: Over 7 million Medicare beneficiaries accessed telehealth services last year. Of these, 65% noted the convenience as a key benefit, underscoring telehealth’s importance in modern healthcare.

The ‘Telehealth Cliff’ Threatens Access to Care

A looming issue is the so-called “telehealth cliff.” This term refers to the potential steep decline in telehealth access, particularly for rural populations, as a result of the new regulations. Experts are sounding the alarm about the negative impact on patient care, especially in the management of chronic conditions like Chronic Obstructive Pulmonary Disease (COPD).

  • Chronic Care and Telehealth Benefits: Studies show that telehealth has helped patients with COPD reduce ER visits by 30%. These savings in both cost and time are critical, particularly for individuals who have difficulty traveling to healthcare facilities.

  • Rural Communities at Risk: A “rural-only” rule, if enforced, could disproportionately affect patients in underserved regions, limiting their access to the telehealth services that many have relied on in recent years.

Advocacy and the March 14 Deadline

Both the American Speech-Language-Hearing Association (ASHA) and the American Medical Association (AMA) are urging Congress to act before March 14, 2025, to preserve telehealth flexibility. These organizations have emphasized the importance of telehealth in addressing chronic care needs, citing evidence that telehealth is an effective tool in preventing unnecessary hospital visits and improving patient outcomes.

What’s at Stake?

  • Access to Care: Without telehealth, millions of Medicare users, especially those in rural areas, could face barriers to timely and efficient care.

  • Cost and Efficiency: Losing telehealth could result in higher healthcare costs due to more frequent in-person visits and potential delays in treatment.

What You Can Do

As changes to Medicare telehealth policies loom, it is essential for healthcare providers, organizations, and patients to stay informed. Understanding the potential impacts on access to care will be key to navigating the future healthcare landscape.

At Mobius Healthcare Solutions, we are committed to providing our clients with the latest industry updates. Contact us today to learn how these changes could affect your practice or healthcare delivery and to discuss strategies for adapting to these upcoming challenges.

By staying ahead of these policy shifts, healthcare providers can continue offering high-quality care to their patients, even amidst uncertain regulatory changes. Contact us to stay ahead!

Subscribe To Our Newsletter

Subscribe To Our Newsletter

Subscribe To Our Newsletter

Get the latest insights delivered directly to your inbox!

Share It On: