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Medicare's new home health prospective payment system explained
1Birch & Davis Health Management Corporation, Silver Spring, Maryland, USA.
Abstract:
The new Medicare home health prospective payment system pays fixed, predetermined rates for services provided during episodes of home health care. This article details the construction and principal components of the new payment system and shows how episode payment rates and other amounts that Medicare now pays for home health care are calculated. Suggestions are made for steps that home health agencies can take to respond most effectively to the new system's operational requirements and align themselves with the plan's financial incentives.
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