What is the Medicare Two-Midnight Rule and its impact on inpatient admissions?

• A. If admission is expected to last at least two midnights, inpatient payment; if not, may be treated as observation, affecting eligibility and payment.
• B. In all cases, if admitted, the stay is inpatient regardless of length.
• C. The rule only affects when preauthorization is required.
• D. The rule determines eligibility for Part B vs Part C.

Answer: (B)