RT Journal
A1 Kangovi S, Grande D
T1 HOspital readmissions and measures of quality—reply
JF JAMA
JO JAMA
YR 2012
FD January 25
VO 307
IS 4
SP 361
OP 362
DO 10.1001/jama.2012.12
UL http://dx.doi.org/10.1001/jama.2012.12
AB 
Although observation services are hospital-based, they are classified by payers as outpatient services. Consequently, they are not counted toward a hospital's readmission rate. Therefore, we agree with Dardick and Stein and have emphasized the need to monitor changes in observation service use as readmission penalties are implemented. Penalties could serve as incentives for hospitals to increase the use of observation status as a way to provide patients with hospital-based acute care without readmitting them.