Medicare physician payment updates

The statements to members below track ongoing advocacy efforts to address Medicare physician payment by the Academy’s Ad Hoc Task Force on Sustaining Physician Practices for Senior Citizen Care.

July 23, 2025

Academy announces new task force on Medicare physician payments

I am announcing the formation of a new ad hoc task force to consider and execute new and creative strategies to address the Medicare payment crisis. We have engaged the services of Larry Bucshon, MD, with Holland & Knight, a top Washington, D.C., lobbying firm. Dr. Bucshon retired from Congress last year where he was a champion for Medicare physician payment reform.

Since making Medicare payment reform our sole federal legislative priority, the AADA has remained laser-focused on this issue. My predecessor, Seemal Desai, MD, FAAD, testified before Congress, and I have personally and repeatedly visited the Capitol to meet with legislators in both parties to press this issue.

Our goal is to stop these annual cuts and for Congress to pass legislation that guarantees an annual update based on inflation. This year we saw a small first step with the passage of a 2.5% increase in Medicare payment in 2026. As a result CMS proposed an increase of 3.32% for most physicians in 2026.

Is it enough? No.

But are we done fighting? Absolutely not!

It will take sustained effort by past, present, and future AADA leaders and engagement from all members to get this done!

The new Ad Hoc Task Force on Sustaining Physician Practices for Senior Citizen Care includes current, former, and incoming leadership of the AADA and will tap into resources with deep and diverse expertise to inform our work.

At this point everything is on the table, including possible legal remedies, creative ways to motivate public opinion, and novel strategies to marshal our grassroots power.

Look for regular updates from me and the task force on this issue and our actions to achieve our reform goals. Our patients and our practices depend on our success and our commitment remains unwavering!

Sincerely,
Susan Taylor, MD, FAAD
President | American Academy of Dermatology Association