Proposed 2027 Medicare Cuts Threaten Seniors’ Access to Care Amid Growing Physician Shortage

FOR IMMEDIATE RELEASE 

Proposed 2027 Medicare Cuts Threaten Seniors’ Access to Care Amid Growing Physician Shortage

BETHESDA, Md. – October 14, 2026 – The Centers for Advanced Orthopaedics (CAO) today called on Congress to protect seniors' access to timely, local orthopaedic care as Medicare prepares to cut physician payments again on January 1, 2027.

The Centers for Medicare & Medicaid Services (CMS) has proposed a 1.68% cut to Medicare physician payments for 2027. For some of the procedures seniors need most, the cut goes much deeper. According to The OrthoForum, a national organization of physician-led orthopaedic practices, the proposed rule would reduce physician payment for total hip and knee replacement surgery by approximately 20%.

Cuts Come as U.S. Faces Growing Physician Shortage

For older adults, a hip or knee replacement can be what allows them to walk without pain, stay active and continue living independently. Yet the proposed Medicare cuts come at a time when the nation is already facing a growing shortage of physicians and the cost of providing care continues to rise.

The Association of American Medical Colleges projects that the United States could face a shortage of up to 86,000 physicians by 2036, driven in part by a growing and aging population and a significant portion of the physician workforce approaching retirement age. At the same time, the American Medical Association reports that physician practice costs rose 59% between 2001 and 2025, while Medicare physician payment fell 33% after adjusting for inflation.

Further reducing Medicare reimbursement as demand for physicians grows risks placing even greater strain on medical practices and the physician workforce. For seniors, that could ultimately mean fewer physicians available to treat Medicare patients, longer waits for appointments and fewer options for receiving care close to home.

“Our patients count on us to be there when they need care, and we are going to continue fighting for them,” said Dr. Nicholas Grosso, President of CAO. “The country is already facing a growing physician shortage at the same time more Americans are reaching Medicare age and need care. Cutting physician reimbursement further risks making that access challenge even worse. Seniors deserve timely access to the physicians and care they need, close to home, and that is why we are asking Congress to act now.”

CAO Calls on Congress and Patients to Take Action

A bipartisan solution is already before Congress. The Patients First Act (H.R. 9693) would permanently tie Medicare physician payment updates to inflation, addressing the recurring cycle of payment cuts and temporary congressional fixes and helping protect seniors’ continued access to physician care.

CAO is dedicated to advocating for the patients we are proud to serve and encourages patients, families and physicians to make their voices heard by contacting their federal representatives.

Resources are available through The OrthoForum, including:

• Patient outreach campaign: Quickly contact your federal representatives and urge them to protect patients’ access to care by addressing Medicare physician payment cuts
• Sample letter to Congress: Download a ready-to-use template that can be personalized and sent to members of Congress
• Find and contact your representative: Identify your local member of Congress, then call the U.S. Capitol Switchboard at 202-224-3121 to be connected directly to their office and share your views on H.R. 9693

About The Centers for Advanced Orthopaedics   

The Centers for Advanced Orthopaedics (CAO) is one of the largest providers of orthopaedic care in the country. The organization was formed in 2013 to provide patients with the same personalized service and superior care they have come to expect from a private practice, while benefitting from the efficiencies, resources, accessibility and broader insurance options of one of the country’s largest orthopaedic practices. CAO is evolving to offer patients the full spectrum of musculoskeletal care. Through empowering the private practice model, CAO delivers the most efficient, compassionate, and highest-quality care to the communities it serves.