CMS TEAM Model & Its Impact On Surgical Episode Reimbursement

Persivia Inc18 Jul, 2025Health

The CMS TEAM Model fundamentally alters how Medicare pays for surgical care, replacing traditional fee-for-service with episode-based bundled payments starting January 1, 2026. This mandatory program affects 741 hospitals across 76 metropolitan areas, bundling all surgical costs into single payments that cover 30 days post-discharge. Hospitals face financial risk as they become accountable for both costs and quality outcomes during these episodes.