CMS Issues 2.6% Update For Long-Term Care Hospital Payments

Main Category: Health Insurance / Medical Insurance
Also Included In: Public Health;  Caregivers / Homecare;  Seniors / Aging
Article Date: 24 Jan 2008 - 10:00 PDT

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CMS on Tuesday issued a proposed 2.6% payment rate change in 2009 for long-term care hospitals, CQ HealthBeat reports. The payment rate change will apply to about 400 long-term care hospitals, which treat "medically complex cases," such as patients with severe head trauma, those who must be on respirators and those who require extensive rehabilitation, CQ HealthBeat reports. The revised payment rate and related policies would apply to services provided to people discharged from such hospitals on or after July 1.

The payment rate update represents a 3.5% increase in the hospital market basket, or the cost of goods and services used to provide inpatient care, reduced by 0.9% to offset coding changes from 2006, according to CQ HealthBeat. CMS last year proposed a 0.71% increase in 2008 Medicare payments for long-term care hospitals (Carey, CQ HealthBeat, 1/22).

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