MedicaidReimbursementMedium impact
BT202079: IHCP revises Hospital Assessment Fee adjustment factors for outpatient and inpatient rates
Indiana Medicaid (IHCP)·IN·Provider Bulletin
Effective date
Aug 1, 2020
We identified it
Jun 19, 2026
Summary
Indiana Health Coverage Programs (IHCP) is increasing Hospital Assessment Fee (HAF) adjustment factors effective August 1, 2020. Inpatient DRG base rates increase from 2.7 to 3.2, and outpatient rates increase from 2.9 to 3.5, resulting in higher reimbursement for eligible hospitals.
Action Required
By August 1, 2020: Billing team must verify that billing system automatically applies the new HAF adjustment factors (3.2 for inpatient DRG, 3.5 for outpatient) to claims with dates of service on or after August 1, 2020. Confirm outpatient laboratory services and pharmacy/DME codes linked to revenue codes 636 and 274 are excluded from HAF increases. Use discharge date for inpatient claims to determine correct adjustment factor.