Positive Changes Ahead for Telehealth in Medicare’s 2026 Fee Schedule

The 2026 draft Medicare Physician Fee Schedule (PFS) is out, and it brings a welcome message: virtual care is here to stay.

According to Legal Reader’s analysis, the Centers for Medicare & Medicaid Services (CMS) is proposing several updates designed to expand telehealth and remote monitoring access while making the system a bit easier to navigate. But as with any major policy update, the fine print matters — and that’s where your billing team comes in.

THighlights of the 2026 Draft Fee Schedule

1. More support for virtual diabetes care
CMS is proposing to extend telehealth flexibilities for the Medicare Diabetes Prevention Program (MDPP) through 2029, removing in-person delivery requirements for online providers. This gives virtual care teams long-term stability to keep serving patients remotely.

2. New remote monitoring codes
Providers could soon bill for shorter data collection windows — as few as 2–15 days within a 30-day period — for Remote Patient Monitoring (RPM) and Remote Therapeutic Monitoring (RTM). These codes recognize the growing importance of short-term monitoring in chronic disease management.

3. Simpler telehealth service approvals
CMS wants to streamline how services get added to the Medicare Telehealth List, eliminating the confusing “temporary vs. permanent” distinction that’s caused administrative headaches for years.

4. Looser supervision rules
Under the proposal, “direct supervision” could be satisfied via real-time audio and video — a big win for providers supervising care across multiple locations.

5. Digital mental health care takes another step forward
New billing options for Digital Mental Health Treatment (DMHT) would include digital therapeutics for conditions like ADHD. Importantly, the provider who bills for the DMHT service wouldn’t need to be the diagnosing clinician — expanding access and flexibility for behavioral health practices.

A Few Gaps to Watch

While this draft includes many positives, it does not extend the ability for providers to use their practice address (instead of home address) for telehealth enrollment and billing. That’s a privacy and security concern for many clinicians, and advocacy groups are urging CMS to revisit it before finalizing the rule.

What This Means for Your Practice

CMS is clearly signaling that virtual and digital care will remain integral to the healthcare system — but the billing process is becoming increasingly nuanced.

Here’s how these updates may affect your operations:

  • You may need to update modifiers and place-of-service codes for remote monitoring and virtual visits.

  • New telehealth supervision and documentation rules will require education and workflow changes.

  • Practices adopting digital therapeutics should review coverage and coding guidance early to avoid denials.

    How Allied Practice Management Solutions Can Help

    At Allied Practice Management Solutions, our billing experts stay on top of every CMS update so you don’t have to. We:

    • Review new CPT and HCPCS codes as soon as they’re released

    • Ensure compliant billing for telehealth, RPM, and DMHT services

    • Monitor payer responses and reimbursement changes in real time

    • Keep your revenue cycle running smoothly through every regulatory shift

    The healthcare landscape is evolving fast — and we make sure your billing keeps up.

    📞 Contact us today at info@alliedpracticemgmt.com or visit www.alliedpracticemgmt.com to learn how we can help your practice stay compliant and maximize reimbursement in 2026 and beyond.

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Medicare Just Rolled Back Telehealth Flexibilities — Here’s What It Means for You