G. Observation and evaluation
Effective with services furnished on or after 5-17-78, observation and evaluation of a patient's condition is a skilled nursing service. The observation and evaluation services, including the frequency of the visits and any subsequent changes in the frequency, must be ordered by a physician. These services are considered reasonable and necessary when the possibility exists that significant changes (which may require institutionalization or changes in the treatment plan) may occur in the patient's condition.