Yeah, my first thought when I read it was, I'd be really bummed if the cat came into my room. My second thought was, maybe it's not so much that the cat knows when people will die as much as when he visits them, it's almost like a cue to the patient that it's time. I know it sounds weird, but I'm sure that there are some people in hospice care who are tired of fighting, and just want to be reassured that it's okay to let go. When the cat visits them, there may be a feeling of relief and readiness.
Of course, being a hospice, death is bound to be pretty common. Surely the cat hangs out with people who aren't about to die sometimes.