Medicare to cover 8 free COVID-19 tests per month in policy reversal

The federal government on Thursday reversed course and will now allow Americans on Medicare to get eight free at-home COVID-19 tests per month starting in the spring.

President Joe Biden in January issued guidance requiring private health insurers to cover eight monthly tests or reimburse their customers who buy them over the counter.

The administration initially said the nation's 61 million Medicare recipients weren't eligible to to have their over-the-counter purchases reimbursed. Instead, they would be required to get at-home tests from more than 20,000 free testing sites nationwide or receive Medicare coverage for free PCR or rapid antigen tests ordered by a healthcare provider.

The Centers for Medicare & Medicaid Services said Americans on Medicare will be able to obtain up to eight over-the-counter tests per month for free at eligible pharmacies and other retailers. The agency will directly pay the participating retailers for the distributed tests.

"There are a number of issues that have made it difficult to cover and pay for over-the-counter COVID-19 tests," the CMS said. "However, given the importance of expanding access to testing, CMS has identified a pathway that will expand access to free over-the-counter testing for Medicare beneficiaries."

The CMS didn't announce a specific date when the new initiative will begin, but in the meantime, each U.S. household can request four free at-home COVID-19 tests for at-home delivery from covidtests.gov.

Americans who have private insurance may already obtain eight free tests per month or be reimbursed for them through their insurance provider.