July 17, 2025

The Center for Medicare and Medicaid Services (CMS) proposed Medicare coverage for renal denervation, a newly FDA approved procedure used to treat resistant hypertension. This has potential to benefit millions of patients and offer companies like Medtronic and Recor Medical major growth opportunities.

The Trump administration’s proposed 2026 Medicare physician payment rule raises the base pay rate by 2.5% and introduces dual conversion factors based on provider participation in alternative payment models (APMs). The proposed update to the conversion factor is three times as large for doctors in qualifying APMs than those not participating in the arrangements: 0.75% versus 0.25%.

Among the most contentious provisions in the sweeping “One Big Beautiful Bill” signed earlier this month is a $1 trillion cut to federal Medicaid funding. The study warns these cuts could lead to 1.6 million people annually delaying care due to cost, and nearly 1.9 million instances of medication nonadherence—contributing to a rise in preventable hospitalizations and excess deaths by 2034. If Medicaid coverage losses exceed current projections, the consequences could be even more dire.

CMS leadership describes the proposed rule as a continuation of efforts to modernize Medicare—promoting site-neutral payments, streamlining hospital billing, and increasing price transparency for patients. Notably, CMS also proposes phasing out the “inpatient only” list, which restricts certain surgical procedures to hospital settings. This shift could reduce costs and expand care options across outpatient settings.

Elevance Health is the latest insurer to sound the alarm on elevated costs in the Affordable Care Act's marketplaces. CEO Gail Boudreaux said the company will adjust its outlook for the year and focus on the areas within their control.