The most important aspect of the 1983 changes to Medicare that introduced diagno

Question

The most important aspect of the 1983 changes to Medicare that introduced diagnosis-related groups (DRGs) was

defining 483 categories of illness for treatment.

switching from retrospective to prospective payment for hospitals.

setting up maximum hospital stays for certain procedures.

requiring physicians to seek second opinions before certain surgical procedures are approved.

all of these were important changes to Medicare.

defining 483 categories of illness for treatment.

switching from retrospective to prospective payment for hospitals.

setting up maximum hospital stays for certain procedures.

requiring physicians to seek second opinions before certain surgical procedures are approved.

all of these were important changes to Medicare.

Explanation / Answer

n 1983 Congress adopted the most significant change in the Medicare program since its inception in 1965. Along with measures to ensure the solvency of the Social Security System into the next century, Congress approved a system of prospective payment for hospital inpatient services, whereby hospitals are paid a fixed sum per case according to a schedule of diagnosis related groups (DRGs)

HENCE

B. switching from retrospective to prospective payment for hospitals

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