Medicare Benefit Policy Manual (Pub. 100-02), Ch. 6 § 10
Medical and Other Health Services Furnished to Inpatients of
10 - Medical and Other Health Services Furnished to Inpatients of
Participating Hospitals
(Rev. 182, Issued: 03-21-14, Effective: 10-01-13, Implementation: 04-21-14)
Payment may be made under Part B for physician services and for the nonphysician
medical and other health services as provided in this section when furnished by a
participating hospital (either directly or under arrangements) to an inpatient of the
hospital, but only if payment for these services cannot be made under Part A. This policy
applies to all hospitals and critical access hospitals (CAHs) participating in Medicare,
including those paid under a prospective payment system or alternative payment
methodology such as State cost control systems, and to emergency hospital services
furnished by nonparticipating hospitals. In this section, the term “hospital” includes all
hospitals and CAHs, regardless of payment methodology, unless otherwise specified.
For services to be covered under Part A or Part B, a hospital must furnish nonphysician
services to its inpatients directly or under arrangements (see chapter 16, §170 of this
manual, “Inpatient Hospital or SNF Services Not Delivered Directly or Under
Arrangement by the Provider”). A nonphysician service is one which does not meet the
criteria defining physicians’ services specifically provided for in regulation at 42 CFR
415.102. Services "incident to" physicians’ services (except for the services of nurse
anesthetists employed by anesthesiologists) are nonphysician services for purposes of this
provision.