Benefits of hospital-based internship and residency programs for training psychologists are discussed, along with issues concerning licensing or certification. In hospitals, interns and residents are exposed to unusual and diverse forms of physical and mental pathology, as well as contact with a diverse patient population crossing all ages, racial groups, and ethnic origins. The hospital setting also provides the opportunity to work with a variety of other specialists. Internships are the one-year predoctoral experience, while the residency is a year more of postdoctoral experience in a health care delivery setting. The internship must stress not only assessment of psychiatric patients and mental health psychotherapy, but also provide experiences in bedside consultation, construction of nursing care plans, behavior modification, and patterns of intervention on "psychologically well" populations. This group would comprise surgical patients and medically ill patients who need support in complying with treatment. A license or certification by a state is necessary for hospital-based practice. In addition, ethical standards dictate adequate preparation for psychologists before beginning hospital-based practice. (SW)