Dec 15th, 2025

Changes Coming to the Online Home Care Industry in Connecticut for 2026

Changes Coming to the Online Home Care Industry in Connecticut for 2026

As the online home care industry continues to evolve, blending digital platforms, telehealth, and remote monitoring with traditional in-home services, Connecticut faces several key updates in 2026. These changes, driven by federal and state initiatives, aim to improve access, affordability, and safety while addressing workforce shortages and technological integration. This article explores the major shifts expected to impact providers, patients, and caregivers.

Federal Payment Adjustments for Home Health Services

The Centers for Medicare & Medicaid Services (CMS) has finalized its 2026 Home Health Prospective Payment System (HH PPS) rule, introducing a net payment increase for home health agencies. This includes a 2.4 percent payment update, amounting to a $405 million boost, offset by a 0.9 percent permanent adjustment resulting in a $150 million decrease.

These adjustments reflect efforts to align payments with care delivery costs, potentially benefiting online platforms that facilitate remote monitoring and virtual visits in home care settings. However, earlier proposals suggested deeper cuts, highlighting ongoing financial pressures on the industry.

Telehealth Flexibilities Facing a Cliff

One of the most significant changes for online home care in 2026 involves Medicare telehealth policies. Current flexibilities, allowing patients to receive non-behavioral health telehealth services from their homes, are extended only through January 30, 2026.

After this date, without further congressional action, restrictions may revert to pre-pandemic rules, limiting telehealth to rural areas or specific facilities. Audio-only services will also end for certain care types. In Connecticut, Medicaid continues to reimburse live video, store-and-forward, remote patient monitoring, and audio-only telehealth, with homes permitted as originating sites, but federal changes could disrupt integrated online home care models.

Workforce Development and Digital Registries

To bolster the home care workforce, Connecticut is promoting careers in health care through new initiatives effective in 2026. The Department of Public Health will launch a virtual education pilot program for nurse's aides and emergency medical technicians, alongside grants for recruiting athletic trainers.

These efforts build on the 2025 online registry for home care providers, managed by the Department of Social Services, which verifies skills, background checks, and facilitates emergency communications, continuing to enhance digital oversight in the industry.

Enhancements to Health Information Exchange

Connecticut's statewide health information exchange, Connie, will see updates supporting online home care. Starting in 2026, a study on granular patient opt-out options for data sharing will be completed by September 30, potentially improving privacy in digital health records. Connie must also notify patients of data breaches and comply with strict disclosure rules, fostering secure online collaboration among home care providers.

Insurance Reforms and Prescription Drug Pricing

Health insurance changes in 2026 will indirectly aid online home care by improving affordability. Insurers must cover biomarker testing and prohibit step therapy for conditions like multiple sclerosis, while electronic notices for policies can be delivered with consent, streamlining digital communications.

Price caps on certain prescription drugs and new reporting requirements for pharmacy benefits managers aim to control costs, benefiting elderly patients relying on home care services.

Accessibility and Safety Measures

Health care facilities, including those supporting home care transitions, must equip at least one exam room with accessible tables and scales by January 1, 2026, enhancing care for disabled or elderly individuals. Workplace violence reporting for home health agencies, effective from 2025, continues to prioritize safety in online-coordinated care environments.

Outlook for the Industry

These 2026 changes signal a push toward more integrated, tech-driven home care in Connecticut, though challenges like the telehealth policy cliff loom. Providers should prepare for payment shifts, leverage digital tools like registries and exchanges, and advocate for workforce support to meet growing demand.

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