Medicare Claims Processing Manual (Pub. 100-04), Ch. 3 § 30.1.4
Costs of Ambulance Services
30.1.4 - Costs of Ambulance Services
(Rev. 1, 10-01-03)
Effective for services furnished on or after December 21, 2000, payment for ambulance
services furnished by a CAH or by an entity that is owned and operated by a CAH is, under
certain circumstances, the reasonable cost of the CAH or the entity in furnishing those
services. Payment is made on this basis only if the CAH or the entity is the only provider or
supplier of ambulance services located within a 35-mile drive of the CAH or the entity.
Reasonable cost will be determined without regard to any per-trip limits or fee schedule that
would otherwise apply.
The distance between the CAH or entity and the other provider or supplier of ambulance
services will be determined as the shortest distance in miles measured over improved roads
between the CAH or the entity and the site at which the vehicles of the nearest provider or
supplier of ambulance services are garaged. An improved road is any road that is maintained
by a local, State, or Federal government entity and is available for use by the general public.
An improved road includes the paved surface up to the front entrance of the CAH and the
front entrance of the garage.