Patient Billing

Amount Generally Billed (AGB) Calculation

Gibson Area Hospital & Health Services (GAHHS) uses the “look-back” method to calculate the “amount generally billed’ (AGB) as required by federal law. The AGB is the maximum amount we will collect from a patient who is eligible for financial assistance under our Financial Assistance policy. The AGB percentage is based on all claims allowed by Medicare and private health insurers over a 12-month period, divided by the associated gross charges for those claims.

For the period of October 1, 2016 through September 30, 2017, GAHHS billed $155,422,931.00 in gross charges to Medicare and to private health insurers, of which $78,377,743.00 in claims were allowed.  This makes the AGB 49.6%.

Calculation: $78,377,743.00 divided by $155,422,931.00 equals 49.6%


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