Home Health Providers May Get Payment Increase

Medicare home health providers would get a 2.4%, or $420 million, CY 2027 payment increase under a proposed rule released by the Center for Medicare and Medicaid Services (CMS) in late June 2026. Liza Berger of McKnights Home Care reported that this proposal follows a CY 2026 final rule that cut payments by 1.3%. CMS proposes a 3% temporary adjustment but no permanent PDGM-related cut for the first time since CY 2022. Providers welcomed the increase but objected to the temporary adjustment. The National Alliance for Care at Home said the increase offers relief but urged CMS to stop temporary adjustments based on flawed methodology and data.

The rule would also let eligible patients receive skilled palliative services under existing Medicare home health benefits.