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Provider Manual

Inappropriate Discharge and Readmission

Last Updated on May 09, 2024

Security Health Plan reviews inpatient admissions that have been identified as a readmission within 30 days for the same or similar diagnosis to the same facility, or another facility that:

  • Operates under the same facility agreement;
  • Has the same tax identification number; or
  • Is under common ownership.

For hospitals that are reimbursed using inpatient  Diagnostic Related Groups (DRG) methodology and for provider organizations providing professional services during the inpatient readmission, if Security Health Plan deems a readmission as inappropriate or preventable, the authorization for the readmission will be denied. A denied authorization will result in claim denials.

A 30-day readmission will be considered  inappropriate or preventable under the following circumstances:

  1. Readmission up to 30 days from discharge to the same facility for the same or related condition, illness, or injury
  2. The same or closely related condition or procedure as the prior discharge
  3. An infection or complication of care within 30 days of discharge
  4. A condition or procedure indicative of a failed surgical intervention
  5. An acute decompensation of a coexisting chronic disease
  6. A complication or issues caused by a premature discharge from the same facility

Exceptions:

  1. Readmissions that are planned for repetitive or staged treatments such as chemotherapy or surgical procedures
  2. Readmissions associated with specific complex conditions such as oncology, burns, cystic fibrosis or sickle cell anemia
  3. Readmissions where the initial admission had a discharge status ”left against medical advice”
  4. Obstetrical readmissions
  5. Transplant services, including organ and tissue transplantation from a live or cadaveric donor
  6. Readmissions for mental health or substance use disorders

For additional information see the following:

  • All-cause Readmission Payment Policy Review for Circumvention of Prospective Payment System Medical Policy under the Provider/Medical Policies section of the Security Health Plan website - Medical Policies | Security Health Plan
  • Claims Processing Policies and Procedures – Reimbursement for Inappropriate Discharge and Readmission section in the Provider Manual.