Proposed Medicare Rule Threatens Remote Monitoring for Rural Patients

CMS has issued a proposed rule that would cease Medicare reimbursements for remote patient monitoring when the service is administered by health-technology vendors rather than the clinician’s own facility. The move responds to 2024-25 Office of Inspector General reports citing fraud, insufficient data collection, and lack of direct clinician involvement. Critics, including the Peterson Center on Healthcare and the Alliance for Connected Care, argue the policy would disproportionately affect rural seniors who rely on vendor-run programs for daily health tracking and coaching.

While the rule targets traditional Medicare, experts fear similar restrictions could spread to Medicare Advantage, Medicaid and private insurers. Some large insurers such as Humana and Blue Cross Blue Shield support the change, but over 230 health-tech firms and advocacy groups have signed a letter opposing it. The proposal also includes a cut to reimbursement rates, conflicting with the Trump administration’s Rural Health Transformation Program that funds tech solutions for remote care.