Petoskey, MI 49770 · CMS Certification Number 230105. What Medicare pays this hospital for knee, hip and shoulder replacement, what it lists, how it compares, and what a surgery center nearby is paid.
| Operation | Inpatient paid | List price | List ÷ paid | Outpatient allowed |
|---|---|---|---|---|
| Hip or knee replacement | $15,586 | $39,017 | 2.5× | $12,229 |
| Shoulder replacement | — | — | — | $17,461 |
| Hip replacement after a fracture (DRG 522) | $17,459 | $42,491 | 2.4× | — |
Complications after hip or knee replacement: 4.3% (no different from the national rate). Readmissions: 5.3%. Overall Care Compare rating: 3 of 5 stars. Nonprofit · Acute · 243 beds
Michigan requires a certificate of need for new surgery centers.
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In 2024 Medicare paid McLaren Northern Michigan an average of $15,586 per inpatient hip or knee replacement stay (MS-DRG 470, 12 stays) and $12,229 per outpatient case (APC 5115, 95 cases).
The hospital's average list (chargemaster) price for an inpatient hip or knee replacement was $39,017, 2.5× what Medicare paid. Almost nobody pays the list price; it matters for uninsured bills and percent-of-charge contracts.
Yes for Medicare facility payments. Northern Michigan Surgical Suites, LLC, an orthopedic surgery center 10.0 mi away, is paid about $8,278 by Medicare for a knee replacement (CPT 27447), $7,308 less than an inpatient stay at McLaren Northern Michigan. Not every patient is a surgery-center candidate.
Medicare paid McLaren Northern Michigan less than 70% of the 37 Michigan hospitals that report inpatient hip or knee replacement.