Hospice News March 14, 2025
Jim Parker

The Medicare Payment Advisory Commission (MedPAC) has recommended to Congress a freeze on hospice payment increases starting in 2026.

In its annual report to Congress, MedPAC urged policymakers to eliminate hospice base-rate increases for 2026. The commission made a similar recommendation last year.

MedPAC commissioners maintained that hospice payment levels were “favorable,” due to increases in utilization and length of stay, sufficient access to capital, investor interest in the space and margin data.

“Based on the positive indicators of payment adequacy and strong margins, the Commission concludes that current payment rates are sufficient to support the provision of high-quality care without an increase to the payment rates in 2025,” MedPAC indicated in its report. “The Commission recommends that the Congress...

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