Health Law & Business News

Rural Hospitals to Get Bigger Medicare Payments in New Rule (1)

Aug. 2, 2019, 8:44 PMUpdated: Aug. 2, 2019, 10:12 PM

Rural hospitals in low-wage areas will see larger reimbursements from Medicare next year under a new hospital inpatient payment rule announced Aug. 2 by the Centers for Medicare & Medicaid Services.

The rule calls for Medicare payments for inpatient hospital services to increase by about $3.8 billion or 3% in 2020.

The original proposal would have steered more than $200 million in Medicare payments away from urban hospitals to pay for the higher reimbursement rate for rural facilities, according to an analysis by a leading health-care law firm.

But after strong opposition from the American Hospital Association and from hospital...

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