Article Summary –
The Trump administration has implemented a six-month moratorium on new Medicare enrollments for hospice and home health agencies to combat nationwide healthcare fraud, affecting even regions like Michigan that weren’t part of the problem. Laura Haynes, CEO of the Michigan HomeCare and Hospice Association, expresses concern about the impact on patients in rural and underserved areas, suggesting a more targeted approach to enforcement instead of a blanket freeze. Existing providers continue to serve patients, but the pause impacts new and expanding practices, which could delay access to essential care in certain communities.
Michigan home care and hospice providers are facing a six-month halt on new Medicare agency enrollments as part of a nationwide effort by the Trump administration to combat healthcare fraud.
Laura Haynes, Michigan HomeCare and Hospice Association CEO, expressed concern over access issues for patients in rural and underserved areas, where provider availability is already limited.
“In Michigan, vast rural regions mean a freeze on new provider entry could delay services for those in need,” Haynes told the Michigan Independent. “This moratorium targets fraud seen elsewhere, not in Michigan, yet our patients bear the consequences of a national policy.”
The Centers for Medicare and Medicaid Services announced a six-month pause on new Medicare enrollments for hospices and home health agencies, aiming to prevent misuse of the Medicare system. During this period, CMS plans to enhance system oversight and expedite the removal of providers suspected of fraud.
CMS stated that existing providers remain operational, but new or changing practices requiring new Medicare enrollment cannot apply during the moratorium.
Administrator Dr. Mehmet Oz highlighted “systemic and deeply troubling fraud in the hospice and home health sectors,” emphasizing the need to protect patients and taxpayer dollars.
The moratorium follows the suspension of payments to around 800 providers in Los Angeles suspected of fraud, costing $1.4 billion in Medicare spending last year. Shortly after the moratorium began, the Department of Justice announced a Michigan nurse and agency owner was convicted of $1.6 million in Medicare fraud.
Haynes criticized the nationwide freeze, suggesting “risk-tiered enforcement” targeting fraud hotspots while allowing compliant regions like Michigan to grow and meet patient needs.
Hospice care provides crucial end-of-life support, including medication, services, and equipment, while connecting families to grief and financial counseling resources. Services can be offered at home, hospitals, hospice centers, or nursing homes.
Home health providers deliver care for the elderly and those with chronic conditions, offering services like physical therapy and treatment for speech or swallowing disorders.
The Research Institute for Home Care reports that about 3% of Medicare beneficiaries in Michigan used home health services in 2023. Additionally, 55% of Medicare decedents in Michigan utilized hospice services, with 22% of these recipients in rural areas.
Haynes stated, “Michigan’s responsible, community-based care track record means our members are as upset by fraud as anyone, as it undermines trust in a crucial sector for Michigan families.”
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