How 'Good' Incentives Hurt PatientsHospitals found a way to avoid penalties for readmissions.

From the show

When Rewards Backfire

Well-intentioned policies can have dangerous, unintended consequences. To avoid financial penalties for readmitting patients within 30 days, some hospitals started getting creative with their billing. Instead of being readmitted, patients might be held for 'observation' or treated only in the ER. This loophole helps the hospital's finances but can harm patients by denying them proper care and leaving them with unexpected costs. It's a clear case of gaming the system at the patient's expense.