PolicyChanges tracks payer policy changes for medical practices and tells you what to do before they take effect.

Create a free accountPolicy Monitoring is free. No card required.
← Back to list
Indiana Medicaid (IHCP)Medicaid · Reimbursement · Claims & Billing · INMedium impact

BT202598: IHCP announces changes to DRG grouper and inpatient hospital reimbursement rates

Effective date
Aug 1, 2025
Identified
Jun 18, 2026

Summary

The IHCP selected the Solventum All-Patient Refined Diagnosis-Related Group (APR-DRG) grouper, version 42, for inpatient DRG assignments. This change is already effective for inpatient stays with discharge dates on or after Aug. 1, 2025. The DRG base rate for in-state hospitals will be $4,346, and the grouper version 36 remains in place for inpatient stays with discharge dates before Aug. 1, 2025.

Get alerts when payers change rules like this one

We check Indiana Medicaid (IHCP) and other payers every day and email you when a change matches your specialty and state.

Get Indiana Medicaid (IHCP) alertsPolicy Monitoring is free. No card required.

What to do

Action · 5 steps
01Already effective Aug.
021, 2025: Billing procedures for inpatient hospital services have not changed.
03Continue to bill any inpatient stay that is less than 24 hours as an outpatient service, and follow the Inpatient Hospital Services provider reference module for exceptions.
04Claims that group to DRG 757 will pay at the psychiatric level of care rate unless they are billed with ICD-10 diagnosis codes F70 through F79, in which case they pay under the DRG payment methodology.
05Check current applicability of these rates with the IHCP before relying on them.

Codes mentioned

F70F79

Original notice

BT202598: IHCP announces changes to DRG grouper and inpatient hospital reimbursement rates
in.gov · Always check the source before changing claims.
View original ↗

Related policy hubs

Summaries are AI-assisted. Always confirm against the original payer notice.

What is PolicyChanges

One workspace for payer rules, prior auth, coding and compliance

Medical practices use PolicyChanges to catch payer changes before they cause denials. Every change is summarized in plain English, with the codes involved, the date it takes effect and what to do.

Start freePolicy Monitoring is free. No card required.
Get alerts for changes like thisPolicy Monitoring is free. No card required.Create a free account