Medicare can cover medically necessary rehabilitation, but coverage depends on the setting and service. An inpatient rehabilitation hospital, a skilled nursing facility and an outpatient therapy office do not use one common day limit or cost schedule.

Start with the recommended setting
| Setting | Main distinction |
|---|---|
| Inpatient rehabilitation facility, IRF | Intensive rehabilitation with medical supervision and coordinated care; hospital benefit rules apply. |
| Skilled nursing facility, SNF | Daily skilled care with specific eligibility requirements and a limited Part A benefit. |
| Outpatient therapy | Eligible physical, occupational or speech-language services generally use Part B. |
| Home health | Requires qualifying skilled need, homebound status and an eligible agency. |
Twenty days and 100 days refer to SNF rules
Original Medicare’s SNF benefit can cover up to 100 days per benefit period if all conditions remain met. The first 20 days and days 21–100 have different cost rules. This is not a promise of 100 days and is not the maximum for every form of rehabilitation.
An IRF uses inpatient hospital benefit periods and costs. Outpatient physical, occupational and speech-language therapy do not have a fixed annual Medicare payment cap for medically necessary covered services. Each still requires appropriate certification and documentation.
Medical need matters beyond short-term improvement
Skilled therapy can sometimes be needed to maintain function or slow decline. Lack of improvement alone does not explain every coverage decision. Ask the care team to identify the skilled service, applicable benefit and reason for any proposed end of coverage.
Cardiac and pulmonary rehabilitation are structured programs with their own eligibility criteria. They are different from ordinary exercise classes or an unrestricted gym membership. A clinician should determine which service is appropriate; this guide does not select a treatment program.
Prepare before a transfer or appointment
- Confirm the exact facility type and Medicare certification or plan network.
- Ask about qualifying hospital status if an SNF is proposed.
- Get authorization and a written estimate where required.
- Separate facility, professional and optional charges.
- Ask what home support will be needed after discharge.
Medicare Advantage costs and authorization can differ. If covered services are ending sooner than you believe appropriate, promptly read the notice and fast-appeal instructions. Do not wait until the last bill arrives.
Related coverage questions
- Medicare Part B Physical Therapy: Coverage and Costs
- Medicare Part B Rehabilitation: Outpatient Therapy Coverage