A Win for Virtual Care: Telehealth Flexibilities Remain in Place (For Now)

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The short-term spending bill President Donald Trump signed into law last month included the extension of several telehealth waivers by entering a new termination date of Sept. 30 into the existing law. These waivers, called “flexibilities” by Congress, were first created in response to the COVID-19 public health emergency to allow Medicare beneficiaries to receive care by telehealth, mitigating the risk of the virus spreading. These flexibilities have been temporarily extended since the end of the federal emergency in 2023. Absent these changes, Medicare generally would not pay for medical treatment received via telehealth except in very limited circumstances.

The key “flexibilities,” extended via Section 2207 of the bill, include:

  • Geographic Flexibility. Telehealth services can continue to take place from a wide range of locations, subject to any state law requirements, that generally meet the patients where they are located.
  • Broadened Provider Eligibility. Physical therapists, occupational therapists, speech-language pathologists and audiologists can continue to provide care via telehealth and receive payment from Medicare.
  • Delay of In-Person Requirements for Mental Health Care. Medicare will pay for mental health services furnished on or after April 1, regardless of whether the practitioner has furnished the service in person within the six months prior to the telehealth service.
  • Audio-Only Services. Medicare will continue to reimburse for audio-only telehealth services.

Unless Congress intervenes by Oct. 1, the pre-COVID statutory limitations on Medicare telehealth services will be reinstated. Those pre-COVID-19 rules only permitted Medicare coverage of telehealth services in specific situations – for example, if a patient was in a health-professional-shortage area or a county outside of a metropolitan statistical area and only under the more stringent synchronous (audio and video) telehealth standard.

Until lawmakers permanently extend the flexibilities listed above, uncertainty will remain regarding their long-term future of these flexibilities. The Miles and Stockbridge Health Care group will continue to monitor developments in Congress related to telehealth.

Opinions and conclusions in this post are solely those of the author unless otherwise indicated. The information contained in this blog is general in nature and is not offered and cannot be considered as legal advice for any particular situation. The author has provided the links referenced above for information purposes only and by doing so, does not adopt or incorporate the contents. Any federal tax advice provided in this communication is not intended or written by the author to be used, and cannot be used by the recipient, for the purpose of avoiding penalties which may be imposed on the recipient by the IRS. Please contact the author if you would like to receive written advice in a format which complies with IRS rules and may be relied upon to avoid penalties.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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