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Medicare Outpatient Observation Notice (MOON) Requirements

Mar 8

Written by:
Wednesday, March 08, 2017 9:32 AM  RssIcon

The Medicare Outpatient Observation Notice (MOON) requirements went into effect February 20.The following information and resources will help hospitals ensure they are meeting the requirements correctly.

On August 6, 2015, Congress enacted the Notice of Observation Treatment and Implication for Care Eligibility Act (NOTICE Act) which requires hospitals, including critical access hospitals (CAHs), to provide written and oral explanation to individuals who receive observation services as outpatients for more than 24 hours. The process for delivery of this notice, the Medicare Outpatient Observation Notice (MOON), was addressed in rulemaking, and the resulting regulations are located at 42 CFR Part 489.20(y).

The MOON must be delivered to beneficiaries in Original Medicare (fee-for-service) and Medicare Advantage enrollees who receive observation services as outpatients for more than 24 hours. The hospital or CAH must provide the MOON no later than 36 hours after observation services as an outpatient begin.

Instructions on the MOON notice and delivery requirements are found in the CMS MLN Matters publication # MM9935.

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