Context: Access to psychiatric services, particularly inpatient psychiatric care, is limited and lacks comprehensiveness in rural areas. Purpose: The purpose of this study was to evaluate the impact on readmission rates of a multifaceted inpatient psychiatry approach (MIPA) offered in a rural hospital. Methods: Readmissions within 30 days of patients who were admitted to an inpatient psychiatric unit using a MIPA model of care (N = 147) were compared to readmissions of a comparison group of patients who were admitted prior to the adoption of the MIPA (N = 37). Case mix differences were adjusted using multiple logistic regression analysis (N = 184). Findings: Patients treated in the MIPA model of care had lower odds of readmission within 30 days (odds ratio 0.14, 95% CI 0.02-0.87, P less than 0.03). Conclusions: Effective inpatient psychiatric care can be provided in rural hospitals.