42 CFR §424.126

1. (a)Conditions for payment. Medicare pays the hospital if it—
   1. (1)Has in effect an election that—
      1. (i)Meets the requirements set forth in § 424.104; and
      2. (ii)Reflects the hospital's intent to claim for all covered services furnished during a calendar year.
   2. (2)Claims payment in accordance with §§ 424.32 and 413.74 of this chapter; and
   3. (3)Submits evidence requested by CMS to establish that the services meet the requirements of this subpart.
2. (b)Amount of payment. Payment is made (in accordance with § 413.74 of this chapter) on the basis of 100 percent of the hospital's customary charges, subject to the applicable deductible and coinsurance provisions set forth elsewhere in this chapter.