- The Centers for Medicare & Medicaid Services has announced a six-month enrollment pause for home health agencies and hospices.
- Home care providers who are already enrolled in Medicare are generally unaffected by this enrollment freeze.
- Insurance requirements for home care businesses are not affected by this change.
On May 13, 2026, the Centers for Medicare & Medicaid Services (CMS) announced a six-month pause in new enrollments for home health agencies (HHAs) and hospices. This temporary enrollment freeze is tied to the wider anti-fraud crackdown within the federal government.
This guide covers how this announcement may impact the home health care industry and new HHAs.
Who is affected by the Medicare enrollment moratorium?
The moratorium on Medicare enrollment applies to new home health agencies and hospices, as well as certain changes in majority ownership of home care businesses. This is a nation-wide pause on enrollment impacting all 50 states, the District of Columbia, and U.S. territories.
HHAs, hospices, and other home care providers who are currently enrolled in Medicare program are not affected. Existing providers and suppliers who are already enrolled in the program can generally:
- Continue to participate in the Medicare program
- Submit claims for covered services
- Make certain changes to their enrollment information
How does this moratorium affect new home care providers?
Though temporary, this halting of Medicare enrollments will greatly impact new home health agencies, hospices, suppliers, and other care providers.
People aged 65 or older, those living with a disability, and patients with End-Stage Renal Disease make up the majority of clients using HHA and hospices services. These groups are also more likely to rely on Medicare to pay for home care assistance.
New HHAs and hospice care providers may find it difficult to build their business without the ability to accept Medicare payments. Though patients can submit claims through private health insurance or pay out of pocket, many may prefer to seek care with established services who are able to submit claims to Medicare.
Can I start a home health agency in 2026?
Yes, you can still start a home health agency in 2026. However, you will be unable to enroll in the Medicare program until the home health agency Medicare enrollment pause has ended.
Once enrollment has resumed, there may be new rules or restrictions on who can join the program, but details on potential changes have yet to be announced.
New home health agencies and hospice care providers who are established in the next six months can accept other forms of payment, such as through health insurance claims or directly from patients and/or their families.
Does the moratorium affect business insurance requirements?
No, the CMS home health agency moratorium does not affect insurance requirements for home health agencies. Non-medical home care, independent caregivers, nurses, and associated care businesses may still need insurance to operate in the United States.
Home care agency insurance requirements are typically set by state or territory governments. Certain types of coverage may be mandatory, regardless of whether you are enrolled in Medicare or not. You may also be required to have minimum coverage levels under a service contract or lease agreement.
What types of home care agency insurance do I need?
Common types of insurance that HHAs may need include:
- General Liability – Protects businesses against the risk of customer injury and property damage. It may be required to receive a home health agency license and/or to lease commercial space for your agency.
- Professional Liability – Also known as E&O insurance, it protects businesses against claims of negligence, misrepresentation or mistake, as well as document or paperwork errors. This type of coverage may be required to become licensed.
- Workers’ Compensation – Provides protection for employers if an employee suffers a work-related illness or injury. It is mandatory in most states (often before you hire your first employee) and can cover full-time, part-time, and short-term employees.
Always check the home health agency insurance requirements in your state to ensure your agency remains compliant.
BizInsure can help HHAs and home care businesses compare coverage in minutes, including non-medical home care insurance packages that combines General Liability, Professional Liability, and Cyber Liability insurance.
What types of providers are affected?
Home health agencies and hospices seeking initial Medicare enrollment are affected.
Are existing home health agencies affected?
No, existing home health agencies and hospices that are already enrolled in Medicare are not affected.
However, if you run an existing HHA or hospice and have not yet enrolled in Medicare, you will be unable to join until the moratorium ends.
Is the moratorium nationwide, or are some states exempted?
Yes, the enrollment moratorium is nationwide. All US states, territories, and the District of Columbia are affected by this announcement. There are currently no exemptions for specific states or regions.
How long will the moratorium last?
This Medicare enrollment moratorium has been implemented for the next six months, starting from May 13, 2026. However, it could be extended for additional six-month periods as necessary.
As with any insurance, coverage will be subject to the terms, conditions and exclusions contained in the policy wording. This information is general only and should not be relied upon as advice. The number of quotes provided varies between products, occupations and other underwriting factors determined by the insurers. Always check with your local licensing board when getting or renewing your home health agency license to ensure you are meeting their current licensing requirements.
