The Centers for Medicare & Medicaid Services (CMS) issued a final rule Friday to modernize and improve several Medicare programs, including Medicare Advantage (MA), but it does not include new restrictions on MA plans’ use of artificial intelligence.

The rule for contract year 2026, effective June 3, introduces changes to prescription drug coverage, the Medicare Prescription Payment Plan, dual eligible special needs plans (D-SNPs), and Star Ratings, among other areas, including the Medicare Drug Price Negotiation Program. It also codifies existing guidance for MA and Part D.

However, CMS decided not to finalize certain provisions from the proposed rule, including those related to health equity analysis, AI guardrails, and the coverage of anti-obesity medications (AOMs) under Part D and Medicaid.

“CMS is not finalizing certain provisions from the proposed rule at this time. CMS may address these proposals in future rulemaking, as appropriate,” the federal agency noted in a fact sheet.

Specifically addressing boundaries for future AI use, the agency said, “CMS, however, does want to acknowledge the broad interest in regulation of AI and will continue to consider the extent to which it may be appropriate to engage in future rulemaking in this area.”

The proposed rule issued in December of last year introduced new safeguards for AI use in MA plans to prevent algorithmic biases. It also proposed requiring detailed analyses on prior authorizations.

To be clear, CMS did not single out the scrutiny of AI use in making post-acute care coverage decisions in the proposed rule. Instead, CMS had suggested AI guardrails for MA plans aimed at preventing bias and to “promote equitable access to care and culturally competent care for all enrollees.”