By 2008, Medicare won't pay for hospital errors

In a move that should rock the industry, Medicare has announced it will stop paying for some hospital mistakes as of next year. Right now, Medicare pays for more than 60 percent of hospital acquired infections (HAIs), but this is no longer acceptable, agency leaders have said. 

The new rules state the agency will stop paying for preventable complications, leaving hospitals left holding the bag for these fees. For example, CMS has banned payment for some HAIs, second surgeries to retrieve objects left behind or transfusions for patients who've been given the wrong blood type. It will also mean the agency won't pay extra for patients who have, for example, gotten injured by a fall in the hospital or develop bed sores.

To learn more about the new Medicare policy:
- read this Newark Star Ledger article [1]

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Study: Wrong-site surgeries, close calls are common. Report [3]