Q&A: Units that do not furnish billable clinical services

February 12, 2018
Medicare Web

Q. What are some examples of hospital departments that do not furnish clinical services and would not be considered provider-based?

A. A hospital unit must provide billable clinical services in order to be considered a provider-based department. Therefore, administrative departments or units of the hospital that do not furnish billable clinical services are not considered to be provider-based departments. These include, for example:

  • Laundry
  • Medical records
  • Materials management
  • Compliance
  • Nursing administration
  • Volunteers
  • Biomedical engineering
  • Patient financial services
  • Public relations
  • Central supply
  • Transport services
  • Utilization management
  • Performance improvement
  • Dietary
  • Admitting
  • Security
  • Pharmacy

For more information, see Provider-Based Entities: A Guide to Regulatory and Billing Compliance, Second Edition.

Need expert advice? Email your questions for consideration in the Revenue Cycle Daily Advisor. Note: We do not guarantee that all questions will be answered.