Icon featuring an exclamation point inside a triangle, signifiying an urgent alert Icon featuring an exclamation point inside a circle, signifiying an important alert

Read more: Members to be notified of recent data breach.

Select language

News

Update to Readmissions Policy

Mar 27, 2026, 22:07 PM

Effective April 1, 2026, CareOregon is reinstating a policy review process for hospital readmissions within 30 days. This change is being reinstated in an effort to reduce preventable hospital readmissions and is in alignment with the Hospital Readmissions Reduction Program established under the Affordable Care Act (ACA).

What is changing?

Readmissions within 30 days that occur at hospitals within the same hospital system, operating under the same contract or sharing the same tax identification number, will be evaluated as related to the initial admission. These changes apply to Columbia Pacific CCO, Jackson Care Connect, Health Share of Oregon, and CareOregon Advantage. 

Why are we making this change?

The ACA requires Centers for Medicare and Medicaid Services (CMS) to reduce payments to Inpatient Prospective Payment System (IPPS) hospitals with excess readmissions, a mandate that has been in effect since October 1, 2012. Consistent with CMS’s approach—and with Oregon Health Authority (OHA) regulations —CareOregon’s efforts focus on improving quality of care, ensuring safe discharge planning, and aligning reimbursement with clinically appropriate and medically necessary care.

We intend to promote safe and effective discharge planning for CareOregon members and to ensure that payments reflect requirements outlined by CMS and OHA. CareOregon may deny payment for readmissions determined to be clinically inappropriate or preventable based on the following criteria.

30 day readmissions included in review

The following types of readmissions are subject to preventability review:

  • Resulted from a prior premature discharge from the same hospital or hospital system
  • Resulted from a failure to have proper and adequate discharge planning including failure to have proper coordination between the inpatient and outpatient health care teams; and/or
  • Resulted from the circumvention of the contracted rate by the hospital or hospital system
  • Readmissions with questionable medical necessity

30 day readmissions excluded from review

The following types of readmissions are not subject to preventability review:

  • Transfers from out-of-network to in-network facilities
  • Transfers for services not available at the originating facility
  • Planned, repetitive, or staged treatments (e.g., chemotherapy, staged surgeries)
  • Readmissions related to malignancies, burns, or cystic fibrosis
  • Admissions to Skilled Nursing Facilities (SNF), Long-Term Acute Care (LTAC), or Inpatient Rehabilitation Facilities (IRF)
  • Readmissions following an Against Medical Advice (AMA) discharge
  • Obstetrical readmissions
  • Readmissions occurring 31 or more days after the prior discharge
  • Infants age ≤ 1 year

CareOregon is committed to collaborating with our hospital partners to improve care transition and ensure clinically appropriate utilization of inpatient services.

You can find additional information in the coding guide on our website.

 If you have any questions or need further clarification, please do not hesitate to contact CareOregon Provider Relations. 

Provider Relations:

Website feedback

close icon

Help us improve our website

Having trouble finding what you’re looking for? Want to tell us about your website experience? Take our feedback survey and let us know!