Feds grant 1-year extension for Maryland's all-payer hospital model: 5 things to know

Federal officials agreed to extend Maryland's all-payer hospital model through next year, according to The Washington Post.

Here are five things to know.

1. The all-payer hospital model, which began Jan. 1, 2014, aims to reduce Maryland's annual Medicare spending, while also increasing quality and improving health outcomes.

2. Through the program, hospitals follow regulations as far as the amount they can charge for services, and in turn the federal government covers a greater portion of Medicare costs compared to other states, The Washington Post reported.

3. The program was set to expire Dec. 31, 2018, but will be extended through 2019.

4. The one-year extension will give Maryland time to finalize and gain approval for a new, similar Medicare all-payer per capita savings model that would encompass care inside the hospital as well as from outpatient service providers such as physicians, skilled nurses and rehabilitation centers, according to The Washington Post.

5. The federal government required that Maryland save $330 million annually in Medicare costs. Officials said expanding the program will help Maryland achieve this, according to the report.

Read the full report here.

 

More articles on healthcare finance:
Idaho long-term care hospital to close, lay off 135 employees
Colorado hospitals now required to post prices: 3 things to know
6 recent hospital, health system outlook and credit rating actions

© Copyright ASC COMMUNICATIONS 2021. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.