New law requires notice about hospital “observation stays”
(Harrisburg) — A new law will require hospitals in Pennsylvania to tell patients whether they are just being observed instead of admitted as an inpatient.
The bill, signed by Governor Corbett this week, aims to bring some transparency to health care.
Under “observation status”, hospitals can keep a patient overnightwithout actually calling them an inpatient.
Hospitals often use the time to watch a patient’s condition, or run tests to determine if an admission is appropriate.
Such stays can mean higher out of pocket costs for patients, because private insurance and Medicare often require more cost-sharing than during an admission.
Paula Bussard with the Hospital and Healthsystem Association of Pennsylvania says nearly 70 percent of hospitals are already going farther than the law.
“Both written pieces, brochures, or a handout, and then would have a care manager explain a number of facets,” she says.
Bussard doesn’t anticipate hospitals will have any problems complying with the law.
“Tell them what observation status is, what it’s implications might be on their coverage, and that certainly their care is being directed by a physician,” says Boosard.
A federal report found an 88 percent increase in observation stays for Medicare patients between 2006 and 2012.
The requirement takes effect April 20th, 2015.
This article appeared originally on WITF.org.
