CMS Imposes Nationwide Moratorium on New Home Health and Hospice Medicare Enrollments

Federal officials say the six-month freeze is intended to combat fraud and strengthen provider oversight nationwide.

The Trump administration on Wednesday imposed a six-month nationwide moratorium on new Medicare enrollments for home health agencies and hospices, an extraordinary federal action officials say is aimed at curbing fraud and abuse within the healthcare system.

The order from the Centers for Medicare & Medicaid Services (CMS) takes effect immediately and applies to new Medicare providers nationwide, though existing agencies will continue operating without interruption.

“There has been growing concern for some time about fraud in certain markets, but it’s important that enforcement efforts distinguish between bad actors and the overwhelming majority of providers delivering high-quality, essential care,” Krilovich said.

Federal officials said the moratorium will allow CMS to intensify investigations, expand provider screening, and accelerate enforcement efforts targeting suspected fraudulent operators.

“We’ve seen systemic and deeply troubling fraud in the hospice and home health space, with bad actors exploiting some of our most vulnerable Medicare patients and stealing money from the American taxpayer,” said CMS Administrator Mehmet Oz in a  CMS press release .

In Massachusetts, industry leaders largely supported stronger oversight efforts but raised concerns about the breadth of the federal response.

The Home Care Alliance of Massachusetts said it supports efforts to remove bad actors from the system, while cautioning that a nationwide freeze could also affect legitimate provider expansion, ownership transitions, and patient access in some communities.

The move follows a series of high-profile federal enforcement actions tied to alleged fraud in the hospice and home health sectors, particularly in California, where regulators recently suspended hundreds of providers and enrollment activities.

CMS said the moratorium is scheduled to remain in effect for six months, though the agency retains authority to extend it if necessary.