Home Health & Hospice Week

Industry Notes:

CMS Reminds Hospitals Why They Don't Want Early PAC Discharges

If you’re wondering why hospital discharges to home may seem sluggish, a recent message from Medicare to hospitals may be to blame.

“In a recent report, the Office of Inspector General ... found Medicare improperly paid inpatient claims subject to the transfer policy,” the Centers for Medicare & Medicaid Services says in the message. “Many hospitals didn’t properly code inpatient claims as a discharge to home when patients resumed home health services within 3 days of discharge.”

Reminder: When hospitals discharge to home health early, Medicare prorates the hospital’s DRG payment for the patient.

Details about the transfer payment policy and billing are at www.cms.gov/files/document/se21001.pdf.

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