1. Short title This Act may be cited as the Coverage Parity for Medicare Patients Act of 2023 . 2. Establishing a demonstration program relating to medical necessity determinations under the Medicare program Section 1862 of the Social Security Act ( 42 U.S.C. 1395y ) is amended by adding at the end the following new subsection: (p) Demonstration program relating to medical necessity determinations (1) In general Not later than January 1, 2026, the Secretary shall establish a demonstration program (in this subsection referred to as the program ) under which an item or service furnished to an individual entitled to benefits under part A or enrolled under part B is deemed to be reasonable and necessary for purposes of subsection (a)(1) if such item or service meets the criteria specified in paragraph (3). (2) Selection of participating areas The Secretary shall select no fewer than 5 States (or, at the option of the Secretary, no fewer than 3 Medicare administrative contractor jurisdictions relating to the administration of parts A and B (as specified by the Secretary)) in which to carry out the program. (3) Specified criteria (A) In general For purposes of paragraph (1), the criteria specified in this paragraph are, with respect to an item or service furnished to an individual in a State or jurisdiction (as applicable) selected by the Secretary under paragraph (2), the following: (i) Such item or service so furnished would be covered under a significant number of group health plans and group or individual health insurance coverage offered in such State or jurisdiction if so furnished to a similarly situated individual enrolled under such plan or coverage (as applicable). (ii) The item or service is safe and effective. (iii) The item or service— (I) is not experimental or investigational