CMS released a new Medicare Outpatient Observation Notice to educate Medicare beneficiaries on outpatient status and what it means to cost-sharing requirements and skilled nursing facility eligibility, The National Law Review reports.
Here's what you should know.
1. MOON implements the Notice of Observation Treatment and Implication for Care Eligibility Act. The NOTICE act requires hospitals to notify Medicare beneficiaries when they're under observation as an outpatient for more than 24 hours.
2. The NOTICE act attempts to eliminate any surprises Medicare beneficiaries would face after receiving large out-of-pocket expenses for hospitals stays where they received outpatient observation, but weren't admitted. Additionally, time spent under observation doesn't count towards SNF coverage.
3. Patients must receive the notice no later than 36 hours after the beneficiary begins observation.
4. The notice must also be orally explained, and the form must be signed.
5. The MOON goes into effect on March 8, 2017.