Question

Drg-based reimbursement necessitated hospitals to do what?

Answer 1

The answer is discharge patients quicker than before. DRG reimbursement system gives hospitals a strong incentive for earlier discharge of patients needing long term care services. However, hospitals that target only longterm care patients for early discharge will not substantially gain under PPS (Prospective Payment System) because these patients represent a small portion of the cases treated in the hospital and a small percentage of reimbursed days.