Abstract: This research studies the changed function of a hospital from a medical treatment centre to one which also provided medical educational facilities. The purpose is to show the occurrence of such transformation of the hospital in the Islamic civilization. This research discusses the function of hospital as a medical centre which only offered medical treatment. Also focuses on the methods of medical education for trainee physicians before the 4th century H and on the role of a hospital as a medical educational centre or better known as teaching hospital. And finaly, discusses the different forms of medical study in the hospital. The study concludes with a brief picture of the significance this study bears on the quality of physicians who receive training by heritage or without a teacher’s (formal) guidance as compared to physicians who receive (formal) medical education or training in a hospital.