MedicaidReimbursementMedium impact
BT202261: IHCP revises Hospital Assessment Fee adjustment factors for outpatient and inpatient rates
Indiana Medicaid (IHCP)·IN·Provider Bulletin
Effective date
Aug 1, 2022
We identified it
Jun 19, 2026
Summary
Indiana Health Coverage Programs (IHCP) has revised Hospital Assessment Fee (HAF) adjustment factors effective August 1, 2022, increasing reimbursement rates for hospitals. Inpatient DRG base rates increased from 3.1 to 3.5, psychiatric care from 3.0 to 3.2, and outpatient rates from 3.6 to 3.9.
Action Required
By August 1, 2022: Hospital billing teams must update their systems to reflect new HAF adjustment factors for claims processing. Verify that inpatient claims use discharge date to determine appropriate adjustment factor (3.5 for DRG base rate, 3.2 for psychiatric LOC). Update outpatient billing to apply 3.9 adjustment factor. Note that outpatient lab services linked to revenue codes 636 and 274 are exempt from HAF adjustments.