tci General Surgery Coding Alert - 2014 Issue 7

OIG: Revise 'Two Midnight' Rule for Inpatient Stay

Observation may increase under current regulation. Less than a year after CMS enacted the “Two Midnight” rule, the Office of Inspector General (OIG) is questioning the policy. Background: Last October, Medicare ruled that surgical procedures, diagnostic tests, and other treatments are “generally appropriate for inpatient hospital admission and payment under Medicare Part A when (1) the physician expects the beneficiary to require a stay that crosses at least two midnights and (2) admits the beneficiary to the hospital based upon that expectation.” In testimony to Congress on May 20, Regional Inspector General Jodi D. Nudelman said...

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