Observation Status

A patient's hospital observation status is whether the hospital considers them an "inpatient" or "outpatient". Someone is an inpatient starting the day they're formally admitted to the hospital with a doctor's order. The day before they're discharged is their last inpatient day. They're an outpatient if they're getting emergency department services, observation services, outpatient surgery, lab tests, or X-rays, and the doctor hasn't written an order to admit them to the hospital as an inpatient. Medicare Part A (Hospital Insurance) covers inpatient hospital services. Medicare Part B covers outpatient hospital services.