Which type of hospital receives reimbursement under the Inpatient Rehabilitation Prospective Payment System?

Rehabilitation hospitals are specifically designed to provide therapeutic care for patients recovering from serious illnesses or injuries that impair their functional abilities. Under the Inpatient Rehabilitation Prospective Payment System (IRPPS), these facilities receive reimbursement based on a fixed payment system that accounts for the specific needs of rehabilitation patients. The IRPPS emphasizes the recovery of functional abilities, and hospitals that are classified as rehabilitation hospitals have the infrastructure and expertise tailored to meet these rehabilitation needs.

In contrast, cancer hospitals, psychiatric hospitals, and long-term care hospitals operate under different reimbursement methodologies that reflect the unique services they provide. For instance, cancer hospitals focus on the treatment of cancer patients, utilizing payment systems that factor in the complexities of oncology care. Psychiatric hospitals specialize in mental health and operate under payment structures that cater to psychiatric services. Long-term care hospitals provide extended medical care for patients with chronic conditions requiring a longer stay, and they are reimbursed under different prospective payment systems. By distinguishing the specific characteristics of rehabilitation hospitals, it becomes clear why they fall under the IRPPS for reimbursement.