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Payer Watch
Payer Watch

The telehealth cliff

Medicare will soon require an in-person visit for new behavioral-health telehealth patients. Start them before December 31, 2027 and they stay exempt for good.

Behavioral-health telehealth: the road to the 2028 cliff grandfather window COVID rules lift video limits Mar 2020 Congress extends, bill after bill 2022 to 2025 CAA 2026 sets the end date Feb 3, 2026 last day to grandfather Dec 31, 2027 in-person rule starts Jan 1, 2028
Sources: PYA analysis of the CAA 2026 telehealth provisions; CMS Telehealth FAQ (Feb 26, 2026).

Since March 2020, you have been able to see a new behavioral-health (BH) patient over video without ever meeting them in person. Medicare waived the old location rules during the COVID emergency, and then Congress kept the waiver alive, bill after bill, often at the last minute inside a government-shutdown fight.

The latest extension, the Consolidated Appropriations Act of 2026 (the year-end federal spending law, signed February 3), set the end date. Starting January 1, 2028, a new BH telehealth patient will need an in-person visit within the six months before their first video session, and once a year after.

Here is the part worth acting on. A patient who begins BH telehealth on or before December 31, 2027 counts as established and is exempt from the in-person rule. That is a grandfather window, and it is closing. Every eligible patient you start on telehealth before the cliff is a patient you never have to bring into an office.

Two things stay permanent either way: Medicare's removal of the old location limits for BH, and audio-only BH visits when a patient cannot do video. The cliff is only the in-person requirement, and only for patients who start after it.

The move is simple. Onboard your eligible patients onto telehealth now, while starting them still locks in the exemption.

Run telehealth, notes, and billing on one system, so a rule change is a setting, not a scramble.

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Sources
PYA, "Medicare Extends Telehealth Coverage Through 2027": pyapc.com
CMS Telehealth FAQ, updated February 26, 2026: cms.gov