CMS Innovation Center’s direction in 2026: 5 things to know

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CMS has become more aggressive with its rollout of new payment and care delivery models.

To provide healthcare leaders with an outlook for 2026, research firm ATI Advisory compiled observations from 2025 to gain a sense of CMS’ plans for its Innovation Center. 

Here are five things to know:

1. Innovation Center activity accelerated in 2025 after cancelling or ending several models prematurely in the first quarter. 

2. CMS has begun to lean into mandatory participation by requiring hospitals and ASCs to use either the Transforming Episode Accountability Model or Ambulatory Specialty Model, respectively. 

3. Under the Advancing Chronic Care with Effective, Scalable Solutions model, manufacturers and technology-enabled care organizations can get Medicare reimbursement, shaking up the role of health plans.

4. Lifestyle-oriented, “whole-person” care is also coming to the forefront, with the Enhancing Lifestyle and Evaluating Value-based Approaches Through Evidence model aligning with Make America Healthy Again goals.

5. Other unconventional players — such as functional medicine clinics, device manufacturers, community-based organizations and technology companies — are being roped into Innovation Center models. The MAHA ELEVATE model is one example of bringing new parties into the conversation, considering the model’s focus on stress management, social connection and emotional well-being.

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