Outpatient observation allows your doctor to assess your condition and decide if you need to be admitted to the hospital as an inpatient, or if you can be safely discharged. This decision is based on clinical guidelines about your illness and the services needed for your care. The services you receive while in outpatient observation are outpatient, and is not considered a hospitalization or an inpatient admission into the hospital.
Medicare and other insurance companies consider Observation an outpatient service. Your insurance company will be billed for all the outpatient services you receive. You and your secondary insurance will be responsible for your outpatient deductible and co-insurance. As of January 16, all patients are asked to read and sign the Outpatient Observation form. Please read the form to learn about Outpatient Observation. More information can be found at medicare.gov/Publications or contact your insurance company. A pamphlet entitled "Your Medicare Rights and Protections" is also available upon request.