A client's spouse is concerned about the cost of hospitalization. The nurse says, "Since your spouse is on Medicare, the hospital will be paid according to the DRG." What does the nurse mean by this statement?

Question

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DRG stands for Diagnosis Related Group and is a payment method used by Medicare to pay hospitals for inpatient services. Each DRG is assigned a set amount of payment based on the diagnosis and is not based on the actual cost of the treatments provided. Therefore, the nurse means that Medicare will pay based on a set amount for the specific condition for which the client was hospitalized.

A Client's Spouse Is Concerned About the Cost of Hospitalization