CMS Finalizes Physician Payment Rule

December 10, 2024

EGWP Medicare

On Nov. 1, CMS finalized new policies in the calendar year (CY) 2025 Medicare Physician Fee Schedule (PFS) final rule to strengthen primary care and expand access to preventive services. The rule was largely finalized as proposed. CMS finalized a 2.93% cut to physician payment, larger than the 2.8% cut projected in July.

The agency also moved forward with establishing new coding and payment proposals, including an advanced primary care management bundle, cardiovascular risk assessment and care management services, caregiver training, and an add-on code for hospital inpatient or observation care associated with a confirmed or suspected infectious disease.

CMS also finalized several proposals related to telehealth coverage, including permanently allowing audio-only telehealth services in situations where a patient is either incapable of or does not consent to the use of video technology at home.

Related to behavioral health, CMS will permanently allow opioid treatment providers to conduct periodic assessments and patient intake via telehealth so long as this activity is permissible under Substance Abuse and Mental Health Services Administration (SAMHSA) and Drug Enforcement Administration (DEA) regulations. The agency also increases payment to behavioral health providers by creating separate coding and payment for safety planning interventions for those at risk of suicide and updates the payment rate for opioid treatment programs to include time spent at intake conducting screening for health-related social needs.

legislation

Virginia and Hawaii Introduce PDAB Legislation

The Virginia Senate introduced a bill to establish a Prescription Drug Affordability Board (PDAB) to review drugs with a wholesale acquisition cost (WAC) of $60,000 or more per year or a WAC increase of $3,000 or more in any 12-month period. For drugs deemed to cause an affordability challenge, the legislation authorizes the PDAB to […]
read more >

February 12, 2026

EGWP marketplace medicaid Medicare

Solutions

AHIP Shares Update on Plan Progress to Simplify Prior Authorization

AHIP shared progress on the voluntary, multi-year commitments made by AHIP, BCBSA, and leading health plans (including Cigna Healthcare) to streamline and simplify prior authorization. Health plans serving nearly 270 million Americans are participating in this initiative. The 2026 commitments took effect on Jan. 1 and include: reducing the scope of claims subject to prior […]
read more >

February 12, 2026

EGWP marketplace medicaid Medicare

legislation

DOL Issues Proposed Rule on Improving Transparency into PBM Fees

Pursuant to President Trump’s Executive Order “Lowering Drug Prices by Once Again Putting Americans First,” the Department of Labor’s (DOL’s) Employee Benefits Security Administration (EBSA) issued a proposed rule that would require providers of PBM services and affiliated entities of brokerage and consulting services to disclose direct and indirect compensation to their self-funded ERISA fiduciary […]
read more >

February 12, 2026

EGWP marketplace medicaid Medicare

You may also like