Model 1: Retrospective Acute Care Hospital Stay Only

Payment type: Retrospective

In Model 1, the episode of care includes all hospital services provided to a beneficiary during an acute inpatient hospital stay, where physicians are partners in improving care.

The episode of care would be defined as the inpatient stay in the general acute care hospital. Medicare will pay the hospital a discounted amount based on the payment rates established under the Inpatient Prospective Payment System (IPPS). Medicare will pay physicians separately for their services under the Medicare Physician Fee Schedule. Physician payments would not be discounted. Hospitals and physicians will be permitted to share gains arising from better coordination of care.

How to Apply

Additional Information on the Bundled Payments for Care Improvement Initiative