Medicare proposes to stop paying for remote monitoring done by outside vendors
CMS's proposed CY 2027 Medicare Physician Fee Schedule, released July 14, 2026, would pay for remote physiologic monitoring (RPM) and remote therapeutic monitoring (RTM) only when the clinical staff doing the work are employed by the billing practice, not by a contracted vendor. It would also limit the services to established patients, require a separately billed initiating visit before monitoring starts, and revalue the device codes. CMS is also considering bundling the codes into four new G-codes. The same rule carries forward telehealth flexibilities through 2027 and proposes a roughly 1.7% cut to the main conversion factor. Comments were due September 14; if finalized, most provisions take effect January 1, 2027.
Why it's notable: Many practices run RPM through third-party vendors, so the proposal could force them to bring monitoring in-house or drop it. It follows an OIG finding that about 43% of 2022 Medicare RPM patients did not get all three required components.