What is the difference between an observation and inpatient category on my bill?
Your physician determines whether you will be categorized as observation or inpatient. Insurance plans pay differently for each category. The hospital must abide by the physician order and bill accordingly. Your status can change based on your clinical conditions and results from diagnostic tests (according to the physician’s order) to inpatient usually within 24 hours if an inpatient stay if necessary.
Based on your condition and certain criteria, your physician determines whether you will be admitted as an observation patient or as an inpatient. Your stay may be categorized as observation even if you spent the night at the hospital. The hospital must abide by the physician order and bill the insurance accordingly.
