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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Concentration of Net Operating Revenues by Payor

Our Net operating revenues disaggregated by payor source and segment are as follows (in millions):

	Inpatient Rehabilitation												Home Health and Hospice												Consolidated
	Year Ended December 31,												Year Ended December 31,												Year Ended December 31,
	2018				2017				2016				2018				2017				2016				2018				2017				2016
Medicare	$	2,451.7			$	2,313.6			$	2,187.8			$	794.5			$	662.9			$	565.9			$	3,246.2			$	2,976.5			$	2,753.7
Medicare Advantage	306.5				261.0				226.9				88.6				74.8				59.0				395.1				335.8				285.9
Managed care	343.3				335.6				325.4				33.2				29.1				26.2				376.5				364.7				351.6
Medicaid	101.3				93.2				84.5				11.6				4.3				25.8				112.9				97.5				110.3
Other third-party payors	49.0				49.9				50.3				—				—				—				49.0				49.9				50.3
Workers’ compensation	27.4				27.5				29.6				1.5				0.1				0.1				28.9				27.6				29.7
Patients	18.7				18.4				17.9				0.8				0.7				0.5				19.5				19.1				18.4
Other income	48.3				42.1				42.0				0.9				0.7				0.7				49.2				42.8				42.7
Total	$	3,346.2			$	3,141.3			$	2,964.4			$	931.1			$	772.6			$	678.2			$	4,277.3			$	3,913.9			$	3,642.6

Concentration of Net Operating Revenues and Net Patient Service Accounts Receivable by Payor and Payor Class

The concentration of patient service accounts receivable by payor class, as a percentage of total patient service accounts receivable, is as follows:

	As of December 31,
	2018			2017
Medicare	73.2	%		75.1	%
Managed care and other discount plans, including Medicare Advantage	19.3	%		17.4	%
Medicaid	2.8	%		2.4	%
Other third-party payors	2.7	%		2.9	%
Workers' compensation	1.1	%		1.3	%
Patients	0.9	%		0.9	%
Total	100.0	%		100.0	%

Useful Lives of Property and Equipment

Useful lives are generally as follows:

	Years
Buildings	10 to 30
Leasehold improvements	2 to 15
Vehicles	5
Furniture, fixtures, and equipment	3 to 10
Assets under capital lease obligations:
Real estate	15 to 25
Vehicles	3
Equipment	3 to 5

Property and equipment consists of the following (in millions):

	As of December 31,
	2018				2017
Land	$	142.4			$	125.4
Buildings	1,875.2				1,712.4
Leasehold improvements	147.5				138.1
Vehicles	24.6				16.2
Furniture, fixtures, and equipment	441.6				461.5
	2,631.3				2,453.6
Less: Accumulated depreciation and amortization	(1,147.0		)		(1,097.8		)
	1,484.3				1,355.8
Construction in progress	150.5				161.3
Property and equipment, net	$	1,634.8			$	1,517.1

Estimated Useful Lives and Amortization Basis of Other Finite-lived Intangible Assets

The range of estimated useful lives and the amortization basis for our intangible assets, excluding goodwill, are generally as follows:

	Estimated Useful Life and Amortization Basis
Certificates of need	10 to 30 years using straight-line basis
Licenses	10 to 20 years using straight-line basis
Noncompete agreements	1 to 18 years using straight-line basis
Trade names:
Encompass	indefinite-lived asset
All other	1 to 20 years using straight-line basis
Internal-use software	3 to 7 years using straight-line basis
Market access assets	20 years using accelerated basis

The following table provides information regarding our other intangible assets (in millions):

	Gross Carrying Amount				Accumulated Amortization				Net
Certificates of need:
2018	$	148.3			$	(28.2	)		$	120.1
2017	113.7				(19.5		)		94.2
Licenses:
2018	$	169.1			$	(82.2	)		$	86.9
2017	146.0				(71.6		)		74.4
Noncompete agreements:
2018	$	65.6			$	(58.6	)		$	7.0
2017	63.5				(55.4		)		8.1
Trade name - Encompass:
2018	$	135.2			$	—			$	135.2
2017	135.2				—				135.2
Trade names - all other:
2018	$	38.9			$	(19.4	)		$	19.5
2017	35.1				(16.4		)		18.7
Internal-use software:
2018	$	161.3			$	(89.3	)		$	72.0
2017	201.6				(132.3		)		69.3
Market access assets:
2018	$	13.2			$	(10.5	)		$	2.7
2017	13.2				(10.0		)		3.2
Total intangible assets:
2018	$	731.6			$	(288.2	)		$	443.4
2017	708.3				(305.2		)		403.1

Estimated Basis of Other Indefinite-lived Intangible Assets

The range of estimated useful lives and the amortization basis for our intangible assets, excluding goodwill, are generally as follows:

	Estimated Useful Life and Amortization Basis
Certificates of need	10 to 30 years using straight-line basis
Licenses	10 to 20 years using straight-line basis
Noncompete agreements	1 to 18 years using straight-line basis
Trade names:
Encompass	indefinite-lived asset
All other	1 to 20 years using straight-line basis
Internal-use software	3 to 7 years using straight-line basis
Market access assets	20 years using accelerated basis

Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]

ASC 606 on January 1, 2018 using the full retrospective transition method had the following impact to our previously reported consolidated statements of operations (in millions):

		For the Year Ended December 31, 2017												For the Year Ended December 31, 2016
		As Reported				Adjustment for ASC 606				Recasted				As Reported				Adjustment for ASC 606				Recasted
Net operating revenues		$	3,971.4			$	(57.5	)		$	3,913.9			$	3,707.2			$	(64.6	)		$	3,642.6
Provision for doubtful accounts		$	52.4			$	(52.4	)		$	—			$	61.2			$	(61.2	)		$	—
Other operating expenses		$	536.7			$	(5.1	)		$	531.6			$	492.1			$	(3.4	)		$	488.7

Revision of Previously Issued Financial Statements [Table Text Block]

The impact on our consolidated financial statements are as follows:

Consolidated Balance Sheet
	As Reported				Adjustment				As Revised
As of December 31, 2017	(In Millions)
Deferred income tax assets	$	63.6			$	(29.2	)		$	34.4
Total assets	4,893.7				(29.2		)		4,864.5
Capital in excess of par value	2,791.4				(44.0		)		2,747.4
Accumulated deficit	(1,191.0		)		14.8				(1,176.2		)
Total Encompass Health shareholders’ equity	1,181.7				(29.2		)		1,152.5
Total shareholders’ equity	1,424.6				(29.2		)		1,395.4
Total liabilities and shareholders’ equity	4,893.7				(29.2		)		4,864.5

Consolidated Statement of Operations
	As Reported				Adjustment				As Revised
For the Year Ended December 31, 2017	(In Millions, Except Per Share Data)
Provision for income tax expense	$	160.6			$	(14.8	)		$	145.8
Income from continuing operations	335.8				14.8				350.6
Net income	335.4				14.8				350.2
Net income attributable to Encompass Health	256.3				14.8				271.1
Basic earnings per share attributable to Encompass Health common shareholders	2.73				0.15				2.88
Diluted earnings per share attributable to Encompass Health common shareholders	2.69				0.15				2.84

Consolidated Statement of Comprehensive Income
	As Reported				Adjustment				As Revised
For the Year Ended December 31, 2017	(In Millions)
Net income	$	335.4			$	14.8			$	350.2
Comprehensive income	335.3				14.8				350.1
Comprehensive income attributable to Encompass Health	256.2				14.8				271.0

Consolidated Statement of Shareholders’ Equity
	As Reported				Adjustment				As Revised
For the Year Ended December 31, 2017	(In Millions)
Fair value adjustments to redeemable noncontrolling interests	$	(41.0	)		$	(26.0	)		$	(67.0	)
Capital in excess of par value	2,791.4				(44.0		)		2,747.4
Accumulated deficit	(1,191.0		)		14.8				(1,176.2		)
Total shareholders’ equity	1,424.6				(29.2		)		1,395.4
For the Year Ended December 31, 2016
Fair value adjustments to redeemable noncontrolling interests	$	(6.7	)		$	(4.2	)		$	(10.9	)
Capital in excess of par value	2,799.1				(18.1		)		2,781.0
Total shareholders’ equity	928.7				(18.1		)		910.6
For the Year Ended December 31, 2015
Capital in excess of par value	$	2,834.9			$	(13.9	)		$	2,821.0
Total shareholders’ equity	779.3				(13.9		)		765.4

Consolidated Statement of Cash Flows
	As Reported				Adjustment				As Revised
For the Year Ended December 31, 2017	(In Millions)
Net income	$	335.4			$	14.8			$	350.2
Deferred tax expense	75.6				(14.8		)		60.8

The impact on our condensed consolidating financial statements is as follows:

	Condensed Consolidating Statement of Operations
	For the Year Ended December 31, 2017
	As Reported				Adjustment				As Revised
Encompass Health Corporation	(In Millions)
Provision for income tax expense	$	(90.2	)		$	(14.8	)		$	(105.0	)
Income from continuing operations	256.7				14.8				271.5
Net income	256.3				14.8				271.1
Net income attributable to Encompass Health	256.3				14.8				271.1
Comprehensive income	256.2				14.8				271.0
Comprehensive income attributable to Encompass Health	256.2				14.8				271.0

	Condensed Consolidating Balance Sheet
	As of December 31, 2017
	As Reported				Adjustment				As Revised
Encompass Health Corporation	(In Millions)
Deferred income tax assets	$	97.4			$	(29.2	)		$	68.2
Total assets	3,681.2				(29.2		)		3,652.0
Encompass Health shareholders’ equity	1,181.7				(29.2		)		1,152.5
Total shareholders’ equity	1,181.7				(29.2		)		1,152.5
Total liabilities and shareholders’ equity	3,681.2				(29.2		)		3,652.0

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