Why would a hospital consider conversion to a CAH?
back to index The main goal of the program is to improve the financial viability and stability for the hospital. If the hospital is in need of improved financial status to assure success and viability, and if conversion appears to be a logical move based on the criteria, then the hospital should strongly consider conversion. A proper financial feasibility study will identify all of the benefits and issues for a hospital as well as help guide the hospital to a proper decision. The main benefit of converting to a critical access hospital is the opportunity for higher Medicare reimbursement. Currently, hospitals receive inpatient reimbursement for inpatient and outpatient hospital expenses on a cost basis, which for most small, rural hospitals should be far higher.