Reminder: Medicare Outpatient Observation Notice (MOON) form required

Effective March 8, 2017, Medicare Fee For Service and Medicare Advantage require that hospitals provide standardized written notice, the Medicare Outpatient Observation Notice (MOON), to any beneficiary who is receiving observation services as an outpatient for more than 24 hours.

The MOON explains to beneficiaries that the services they are receiving are outpatient benefits, not inpatient, and therefore patient liabilities and benefits will be billed as such, which may be different than anticipated. The standard MOON form and its delivery are mandated by the Federal Notice of Observation Treatment and Implication for Care Eligibility Act (NOTICE Act), passed on August 6, 2015.

Timeframe for notice delivery

Hospitals, including critical access hospitals, must deliver the notice to the patient no later than 36 hours after observation services are initiated or sooner if the individual is transferred, discharged, or admitted.

More information

Go to the Beneficiary Notices Initiative (BNI) page on CMS.gov to learn more. The MOON form and accompanying form instructions are available in "Downloads."