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Medicare hospital reimbursement set for 2.5% increase in 2022
August 20, 2021 - 9:03 am

CMS has finalized an approximate $2.3 billion increase in hospital payments next year, including a 2.5 percent bump for hospital reimbursement rates under Medicare’s Inpatient Prospective Payment System (IPPS).

Just released, the IPPS final rule for fiscal year (FY) 2022 will increase hospital reimbursement rates starting October 1, 2021, alongside payments to hospitals diagnosing and treat COVID-19.

The final rule authorizes additional payments for diagnostics and therapies for COVID-19 during the public health emergency (PHE), which is expected to last through this year. CMS stated that the additional payments are meant to “mitigate potential financial disincentives for hospitals to provide new COVID-19 treatments and to minimize any potential payment disruption immediately following the end of the PHE.”

Source: Revcycle Intelligence

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