MedicaidCoverageMedium impact
Payment of Medically Necessary Ancillaries on an Administrative Day
Maryland Medicaid·MD·Hospital
Effective date
Jul 1, 2024
We identified it
Jun 20, 2026
Summary
Maryland Medicaid now allows payment for medically necessary ancillary services provided on administrative hospital days. This change enables billing for certain diagnostic tests, therapies, and other ancillary services even when the patient's stay is classified as administrative rather than medically necessary.
Action Required
Billing team should review the full Maryland Medicaid transmittal document to understand specific criteria for billing ancillary services on administrative days. Update billing protocols to capture eligible ancillary services for Maryland Medicaid patients during administrative hospital stays. Verify documentation requirements for medical necessity of ancillary services.