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Easier Access to Post-Hospital Care via Medicare

New rules will make it easier for Medicare beneficiaries to access skilled nursing facility services. Time spent under observation in a hospital will now count towards the required three-day inpatient stay, helping more patients receive necessary benefits without additional hurdles. These changes will take effect from January 1, 2026.
Key points
Hospital outpatient observation services will count towards the three-day inpatient hospital stay requirement for Medicare skilled nursing facility coverage.
Individuals receiving observation services will be considered inpatients for Medicare eligibility purposes.
The changes apply to services received on or after January 1, 2026, with a 90-day window for administrative appeals for past services.
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Status: Introduced
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Additional Information
Print number: 119_HR_3954
Sponsor: Rep. Courtney, Joe [D-CT-2]
Process start date: 2025-06-12