For how long does CMS require hospitals to retain all patient records?

The correct answer is based on the Centers for Medicare & Medicaid Services (CMS) requirements for hospitals, which stipulate that patient records must be retained for a minimum timeframe to ensure compliance with regulatory standards and facilitate audits if necessary.

CMS mandates that hospitals retain all patient records for at least 5 years following the submission of the closed cost reports. This duration allows for adequate review and auditing of financial and clinical data associated with those cost reports. It is essential for hospitals to retain these records to support the claims made during that timeframe, ensuring that they can substantiate their reimbursement requests and comply with applicable laws and regulations.

This requirement reflects a balance between the need for operational efficiency and the necessity of maintaining comprehensive records to protect against potential future audits or investigations regarding billing practices or clinical care provided. Retaining records beyond this timeframe may be beneficial for other reasons, but CMS specifically highlights this 5-year period in its guidelines.