Medicare will pay psychiatric hospitals more if they treat patients in rural areas or train new doctors

Medicare proposes to increase payments to psychiatric hospitals and units. This means hospitals in rural areas and those that train residents will get more money for the same services.

For years, psychiatric facilities in rural areas have struggled to stay open, and training new doctors is expensive. This change makes it more financially viable to operate in underserved areas and to invest in medical education. It could help address the shortage of mental health professionals and facilities outside of major cities.