Federal SB4641 would count outpatient observation services as inpatient hospital stays for Medicare coverage.

Federal SB4641, the "Improving Access to Medicare Coverage Act of 2026," amends title XVIII of the Social Security Act to count a period of receipt of outpatient observation services in a hospital toward satisfying the 3-day inpatient hospital requirement for coverage of skilled nursing facility services under Medicare. This change applies to outpatient observation services beginning on or after January 1, 2026, and to periods of post-hospital extended care services completed before the enactment of this Act if an administrative appeal is made within 90 days of the Act's enactment.

Federal SB4641 would count outpatient observation services as inpatient hospital stays for Medicare coverage.

Federal SB4641, the "Improving Access to Medicare Coverage Act of 2026," amends title XVIII of the Social Security Act to count a period of receipt of outpatient observation services in a hospital toward satisfying the 3-day inpatient hospital requirement for coverage of skilled nursing facility services under Medicare. This change applies to outpatient observation services beginning on or after January 1, 2026, and to periods of post-hospital extended care services completed before the enactment of this Act if an administrative appeal is made within 90 days of the Act's enactment.