News Headlines Article

Providers back bill notifying Medicare patients about observation stays
Modern Healthcare

Healthcare providers are expressing support for legislation overwhelmingly approved by Congress requiring hospitals to notify Medicare patients when they are receiving observation care but have not been admitted.The bill is a partial response to the problem of beneficiaries facing sticker shock when they go to a skilled nursing or rehab facility after leaving the hospital and finding that Medicare won’t cover the tab. That’s because to qualify for skilled-nursing facility coverage, beneficiaries must first spend three consecutive midnights as an admitted patient in a hospital; observation days don’t count.