Hospitals sometimes do Physician office conversions to Hospital Facilities to get paid a higher rate:
Medical systems sometimes convert physician offices to hospital facilities. When they do that they have to file certain paperwork and meet the requirements set forth by Medicare, Department of Health, and Agency for Health Care Administration, and obtain permits and licenses. Some hospitals convert physician offices to hospital space only to bill at higher rates. That is fraudulent billing causing insurance companies, Medicare and Medicaid to pay more than what should have been paid. Healthcare employers and healthcare whistleblowers should be on the lookout for misclassification of building space.