CMS preliminary Medicare laboratory rate reset sends Labcorp, Quest down after hours

 

• Investing.com reported the CMS release at 4:35 p.m. ET.
• CMS found Medicare laboratory payments approximately 16% above private-payer rates.
• Preliminary data implies roughly 16% lower average rates across affected codes.
• Annual payment reductions are capped at 15% per test through 2029.
• CMS estimates the reimbursement realignment will save taxpayers $1 billion annually.
• Quest Diagnostics also fell after hours, confirming a laboratory-sector reimbursement shock.
• Labcorp closed regular trading nearly flat, localizing the reaction after hours.
• The 5.29% decline exceeded Labcorp’s 2.4%-2.6% typical daily trading range.

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