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.

Initiatives

Calls grow for Drug Patent reform

In a recent blog post, the Pharmaceutical Care Management Association (PCMA) highlighted increased attention to pharmaceutical companies’ abuse of drug patents. Last month, the Supreme Court unanimously ruled in favor of a generic drugmaker in a “skinny labeling” case, a victory for patients. Skinny labels allow generic and biosimilar competitors to launch products for non-patented indications, helping accelerate […]
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August 11, 2026

EGWP marketplace medicaid Medicare

perspectives

AHIP calls for Bipartisan reform to address health care cost drivers

On July 23, AHIP President and CEO Mike Tuffin wrote an opinion piece in The New York Times saying, “common-sense bipartisan reforms are needed to promote competition in care delivery and prescription drugs, protect consumers from providers and drugmakers’ anticompetitive practices and transition away from the perverse incentives of fee-for-service medicine.” Tuffin notes that health […]
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August 11, 2026

EGWP marketplace medicaid Medicare

Solutions

PCMA urges preserving patient access and flexibility in new fertility benefits rule

PCMA recently submitted comments to HHS, DOL, and the Treasury (the Departments) in response to the proposed rule establishing a new category of limited excepted benefits for fertility services. PCMA supports the Departments’ goal of expanding access to fertility care while encouraging employer innovation but urged several targeted refinements to ensure the framework is operationally […]
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August 11, 2026

marketplace medicaid

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