CMS Announces Plan to Reprocess IPPS and LTCH Claims for 20% Increase for COVID Discharges

On April 15, 2020, the Centers for Medicare and Medicaid Services (CMS) announced plans for reprocessing Inpatient Prospective Payment System (IPPS) hospitals and Long-Term Care Hospitals (LTCHs) claims to account for payment increases for COVID-19 discharges authorized under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Section 3710 of the CARES Act directs the Secretary to increase the weighting factor of the assigned Diagnosis-Related Group (DRG) by 20% for an individual diagnosed with COVID-19 and discharged during the public health emergency period.

Claims received April 20, 2020, or earlier will be reprocessed. No action is needed. Claims received on or after April 21 will be processed in accordance with the CARES Act.

 

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For more information visit the McDermottPlus Payment Innovation Resource Center or contact Sheila Madhani at 202-204-1459 or smadhani@mcdermottplus.com.