The host passed away from kidney failure at his Encino home Thursday surrounded by his loved ones, according to a statement posted by his publicist.

The family's been saying goodbye to Peter over the past few days, and he was able to speak with them right up until he passed.

Marshall began his career as a radio disc jockey in the armed forces ... before teaming up with fellow comedian Tommy Noonan in 1949. The comedy duo performed at various nightclubs, and even landed appearances on variety programs like "The Ed Sullivan Show."

Peter landed his most well-known gig in the mid-1960s... receiving the offer to host "Hollywood Squares" -- a humorous tic-tac-toe-like game featuring nine celebs and two contestants. He held the job from 1966 to 1981 and hosted more than 6,000 episodes.

PM won four Daytime Emmys for 'HS' ... but, the desire to act never left him, and he departed the show in '81 to pursue Broadway roles.

During the 1980s, he performed the lead role in "La Cage Aux Folles" -- playing Georges in more than 800 performances in between NYC and the National Tour.

Other stage credits under Marshall's belt ... "Bye Bye Birdie," "Anything Goes," "The Music Man," "and "42nd Street." He also boasts more screen credits, including "Annie," "The Bold and the Beautiful," "The Love Boat," "CHiPs," and "Fantasy Island" just to name a few.

Peter retired back in 2021 after battling COVID ... and, we're told people close to him were concerned he was going to pass away. He pulled through, but health issues persisted over the last few years -- though he did not die from complications due to the disease.

Marshall's survived by his wife, Laurie, daughters Suzanne and Jaime, son Pete and numerous grandchildren and great-grandchildren.

He was 98.