Medicare Blog

how do i bill medicare for rented oxygen concentrator for travel

by Mrs. Letitia Rosenbaum Published 2 years ago Updated 1 year ago

You can actually rent a portable oxygen concentrator instead of having it purchased through Medicare. A DME will rent oxygen supplies to you and then bill Medicare a monthly fee for reimbursement of the rental. Prices vary based on equipment cost and monthly reimbursement rates.

Full Answer

Will Medicare pay for an oxygen concentrator when traveling?

If you travel by plane, your oxygen supplier isn’t required to give you an airline-approved portable oxygen concentrator, and Medicare won’t pay for any oxygen related to air travel. You may be able to rent a portable oxygen concentrator from your supplier.

Can I rent an oxygen concentrator instead of buying?

You can actually rent a portable oxygen concentrator instead of having it purchased through Medicare. A DME will rent oxygen supplies to you and then bill Medicare a monthly fee for reimbursement of the rental. Prices vary based on equipment cost and monthly reimbursement rates. Some DMEs will finance the equipment to you with a low monthly cost.

How long does Medicare pay for oxygen rental?

If you have Medicare and use oxygen, you’ll rent oxygen equipment from a supplier for 36 months. After 36 months, your supplier must continue to provide oxygen equipment and related supplies for an additional 24 months.

Does Medicare cover a portable oxygen tank?

A portable solution can be either oxygen tanks or a portable oxygen concentrator. Medicare coverage for supplemental oxygen is via a monthly rental program where the equipment is provided by a Medicare or Durable Medical Equipment provider.

Will Medicare pay for the purchase of a portable oxygen concentrator?

If you own your own equipment, Medicare will help pay for oxygen contents and supplies for the delivery of oxygen upon meeting Medicare conditions including doctor recommendation, failing arterial blood gas level range and other alternative measures have failed.

What is the CPT code for a portable oxygen concentrator?

Code E1392 describes an oxygen concentrator which is designed to be portable, is capable of delivering 85% or greater oxygen concentration, and is capable of operating on either AC or DC (e.g., auto accessory outlet) power.

What is the CPT code for oxygen administration?

Oxygen, like a nebulizer treatment, is a medication administered through the airway. Code 94640 for inhalation treatment less than one hour. For one hour or more, code 94644 for first hour, 94645 for each additional hour. If demonstration and/or evaluation is required, code 94664-59.

Which Hcpcs modifier is required when a Medicare patient is using an oxygen conserving device?

HCPCS code E1352 (OXYGEN ACCESSORY, FLOW REGULATOR CAPABLE OF POSITIVE INSPIRATORY PRESSURE) provides positive pressure inspiratory support for patients using oxygen.

Can you bill E1390 and E1392 together?

Only one maintenance and servicing payment can be made for beneficiaries using both stationary (E1390) and portable oxygen concentrators (E1392).

Can you bill for oxygen?

If you're having trouble finding an oxygen administration coding in the CPT, the reason is that there is no specific oxygen administration codings for your medical billing.

Does Medicare pay for CPT 94640?

Also remember, that under Medicare outpatient payment (OPPS), CPT code 94640 is conditionally packaged with a Status Indicator of “Q1.” These means Medicare does not provide separate payment if the code is on a claim with other outpatient services with status indicators of S (significant procedures), T (mostly surgical ...

What is the difference between 94010 and 94375?

Spirometry (94010) is the basis for pulmonary function testing. When it is performed before and after the administration of a bronchodilator, report 94060. A flow volume loop (94375) is included in codes 94010 and 94060. Code 94010 is not included in codes 94726 and 94727; they are reported separately.

What is the difference between 94010 and 94060?

CPT Code 94060 differs from code 94010 in that the administration of the bronchodilator is not included in code 94010. CPT code 94060 should be reported when performing base spirometry measurement prior to inhalation of a bronchodilator to determine the patient's response to the bronchodilator.

What is HCPCS E0443?

HCPCS code E0443 for Portable oxygen contents, gaseous, 1 month's supply = 1 unit as maintained by CMS falls under Oxygen Delivery Systems and Related Supplies .

What is CPT code E0443?

HCPCS Code Details - E0443HCPCS Level II Code Durable Medical Equipment (DME) SearchHCPCS CodeE0443DescriptionLong description: Portable oxygen contents, gaseous, 1 month's supply = 1 unit Short description: Portable 02 contents, gasHCPCS Modifier19 more rows•Jan 1, 1993

What is HCPC code e1390?

Short Description: Oxygen concentrator. Long Description: OXYGEN CONCENTRATOR, SINGLE DELIVERY PORT, CAPABLE OF DELIVERING 85 PERCENT OR GREATER OXYGEN CONCENTRATION AT THE PRESCRIBED FLOW RATE.

What to do if oxygen supplier says no longer provides therapy?

If your supplier tells you they’ll no longer provide your prescribed therapy, and you haven’t completed your 5-year contract, you can: Get the oxygen supplier to put their intentions in writing. File a complaint.

What if my supplier refuses to continue providing my oxygen equipment and related services as required by law?

If your supplier tells you they’ll no longer provide your prescribed therapy , and you haven’t completed your 5-year contract, take these actions:

Can my oxygen supplier change my equipment or the number of tank refills I get each month?

Your supplier can’t change the type of equipment or number of tank refills you get unless your doctor orders a change. If you find you need more tank refills, ask your doctor to submit an updated letter of medical necessity to your supplier.

How much does Medicare pay for equipment rental?

Medicare will pay the supplier a monthly rental fee for the first 36 months. The fee includes all equipment, oxygen, supplies, and maintenance. You must pay 20% of each month’s rental fee. After the 36-month rental period, you pay no more rental fees, although the supplier still owns the equipment.

How long does it take to get oxygen equipment back?

At the end of five years, you will have the choice to either get new oxygen equipment from your supplier or to switch suppliers. If you need the oxygen equipment for less than five years, the supplier will take it back after you no longer need it.

How long do you have to keep oxygen tanks?

You keep the equipment for up to 24 additional months . If you use oxygen tanks or cylinders, you must continue to pay a 20% coinsurance for oxygen each month. You will also pay a coinsurance for any needed maintenance during these additional 24 months.

Does Medicare cover oxygen equipment?

Medicare ’s coverage rules for oxygen equipment rental, repairs, and maintenance are different from its rules for other forms of durable medical equipment (DME). Keep in mind that you should still use the right kind of supplier to limit your costs .

How often does CMS pay for oxygen concentrators?

Payment is limited to 30 minutes of labor based on carriers’ rates.

What percentage of Medicare coinsurance is paid on oxygen equipment?

Beneficiaries were responsible for a 20 percent coinsurance of Medicare’s payment on the rental of the equipment. As a result, a beneficiary’s coinsurance payment would often exceed the purchase price of the oxygen equipment without the beneficiary acquiring title to the equipment. Capped Rental Items:

How long does Medicare pay for equipment?

Under the payment methodology in effect before the DRA, Medicare paid for certain types of DME under a capped rental arrangement, which allowed a beneficiary to either purchase the equipment after 13 continuous months or continually rent the equipment from the supplier. If the beneficiary continued to rent the equipment from the supplier, Medicare made two additional monthly payments and a semi-annual maintenance and servicing payment even if no services were furnished. Beneficiaries were responsible for a 20 percent payment equal to 20 percent of Medicare’s allowed monthly rental payment amount for the equipment.

How long can you rent oxygen equipment?

Effective January 1, 2006, section 5101 (b) of the DRA of 2005 amended the Social Security Act limiting the total number of Medicare payments for oxygen equipment to 36 continuous months. After 36 continuous months of rental, the DRA requires that ownership for the stationary and/or portable oxygen equipment must be transferred from the supplier to the beneficiary. In the case of the beneficiaries using oxygen equipment on December 31, 2005, the 36 month rental period begins on January 1, 2006. The DRA also required that Medicare continue to make payments for delivery and refilling of oxygen contents for beneficiary owned gaseous or liquid systems for as long as it is medically necessary.

What is the BBA provision for Medicare?

BBA provision requires payment changes to be budget neutral annually. To achieve budget neutrality for these rate changes, we adjusted Medicare oxygen payment rates for each year. As a result, the monthly payment amount for stationary oxygen equipment will decrease each year. For 2007, the payment rate for stationary equipment would be $198.40. The projected rate for 2008 is $198.40; for 2009 is $193.21; and for 2010 is $189.39. Budget neutrality requires that Medicare’s total spending for all modalities of oxygen equipment, including contents, be the same under the proposed change as it would be without the change.

Does Medicare pay for oxygen?

Today the Centers for Medicare & Medicaid Services (CMS) issued a final rule that changes how Medicare will pay for oxygen and oxygen equipment and capped rental items, and establishes new protections for beneficiaries who need these items. Oxygen and oxygen equipment and capped rental items are paid under the Medicare Part B durable medical equipment (DME) benefit. The final rule implements Section 5101 of the Deficit Reduction Act (DRA) requiring suppliers to transfer title of oxygen equipment to the beneficiary after 36 continuous months and capped rental items after 13 continuous months of rental payments. This policy change, which is required by the Deficit Reduction Act of 2005 (DRA), will reduce Medicare expenditures and beneficiary coinsurance payments for the affected items of DME.

Can a beneficiary move outside the initial supplier's service area?

In cases where a beneficiary moves, either temporarily or permanently outside the initial supplier’s service area, CMS is allowing arrangements for another supplier to furnish the item on either a temporary or permanent basis.

How much does Medicare pay for oxygen?

This may bring the overall price up to $4000 or so but we often see that Medicare will pay up to $5500 for oxygen devices. This means you may have to take liability for the full cost to get your equipment but that Medicare will likely pay for all of your purchases within 6 months once billing is processed.

How much will a Portable Oxygen Concentrator Cost?

If we do not account for insurance it will run you anywhere from $1000-2000 depending on what model and accessories you get. That’s the raw cost. Now, it is possible to get one covered completely for free. If you have original Medicare or Medicare and a supplement (Medigap) you can likely get a portable oxygen concentrator for free or highly discounted if you purchase it through one of the distributors above.

How long is the warranty on a portable oxygen concentrator?

If you are buying a used or refurbished portable oxygen concentrator then there may not be a warranty left on it. Many places will only offer a 30 day warranty on used and refurbished devices. Other vendors may actually have a warranty of their own such as an Extended Warranty.

Can you get reimbursement from Medicare Advantage?

If you have a Medicare Advantage plan you will not be able to get any reimbursement from Medicare. Since your Health Plan is primary, if you want any insurance coverage you will only be able to order oxygen supplies from a local durable medical equipment vendor that is in network for your plan.

Does Medicare cover portable oxygen concentrators?

So, this is why we say it’s a yes and no answer to Medicare’s coverage of portable oxygen concentrators. Even if you do get coverage for one from a company you will likely not have ownership of it until 3 years later. Couple that with the issue that any changes in insurance ( Medicare Advantage or Supplement) may trigger the company to repo their device back or reset the clock on you. For this reason we have seen some companies get creative in getting these .

Does Medicare cover oxygen?

Medicare does cover medical equipment and oxygen devices but the key is they do not cover the cost to purchase this equipment outright. They cover a rental agreement where oxygen equipment can be rented to you monthly for a 36 month agreement. The problem for many suppliers is that in 2013 Medicare cut their reimbursement rates for oxygen equipment in half. So, a company would have to purchase the equipment upfront and get paid piece by piece over the next 3 year at a rate that might not be profitable for them.

Can you rent medical equipment through Medicare?

If you go through a local durable medical equipment company remember that you may only be allowed to rent it through the Medicare agreement. You will still have to pay 20% or the rental cost monthly if you have straight Medicare only.

How long does Medicare cover oxygen?

Medicare covers the rental of oxygen concentrators and other oxygen equipment for up to five years, as long as you continue to have a medical need for oxygen therapy. If you have Medicare Part B, you will rent your oxygen concentrator from a DME supplier for 36 months (three years). After that period, your supplier will continue to provide coverage ...

Why are portable oxygen concentrators more expensive than stationary oxygen concentrators?

Because portable concentrators are more expensive than stationary ones – and because Medicare’s reimbursement rate to the supplier is the same either way – many suppliers will only offer stationary oxygen concentrators to Medicare beneficiaries.

What is Medicare Advantage?

Medicare Advantage plans (Medicare Part C) cover all the same benefits as Original Medicare (Part A and Part B) and may also offer additional coverage for things like dental, vision, prescription drugs and more.

Does Medicare cover humidifiers?

Servicing, maintenance and repairs of equipment and supplies. Medicare may also cover humidifiers if used along with your oxygen equipment.

Does Medicare Cover Oxygen Concentrators?

Medicare does cover oxygen concentrators as durable medical equipment when you rent them for prescribed use in the home. Medicare may also cover equipment that you own. Learn more.

How Much Does It Cost To Rent A Portable Oxygen Concentrator?

A DME will rent oxygen supplies to you and then bill Medicare a monthly fee for reimbursement of the rental.

How long does oxygen therapy last?

Medicare rules have made this process a little complicated. Oxygen supplies are limited to a 36 month (3 years) and according to Medicare guidelines, the equipment must be maintained for 5 years. This can cause suppliers to be picky about the equipment they provide depending on how long you’ve been on oxygen therapy.

Is an oxygen tank more expensive than a POC?

For example, an oxygen tank is way less costly than a POC. So, depending on your provider, you could have your POC fully or only partially covered.

Does Medicare pay for humidifiers?

Medicare helps pay for systems for furnishing oxygen, containers that store oxygen, tubing and related supplies for the delivery of oxygen and oxygen contents, and in some cases Medicare may also pay for a humidifier.

Is Aeroflow Healthcare a substitute for medical advice?

Information provided on the Aeroflow Healthcare blog is not intended as a substitute to medical advice or care. Aeroflow Healthcare recommends consulting a doctor if you are experiencing medical issues or concerns.

Does Medicare pay for oxygen equipment?

The answer to this question is sorta. Medicare has always paid a set amount towards medical oxygen equipment, however, in 2013 their reimbursement rate was reduced by 50%. Usually, durable medical equipment (DME) providers cover the cost of equipment up front and bill Medicare for it later, but this made it too expensive for most supplies to cover POCs.

How To Pay For A Portable Oxygen Concentrator

Portable oxygen concentrators are great devices for those with a medical need for oxygen who live an active, on-the-go lifestyle. After choosing to buy a portable oxygen concentrator, youll likely have some questions, especially related to how youll pay for the device.

What Equipment And Accessories Are Covered By Medicare

If you meet all the requirements, Medicare Part B will pay for specific equipment needed to provide oxygen therapy in your home.

How Much Does It Cost To Rent An Oxygen Concentrator

Costs can vary significantly depending on what kind of oxygen concentrator you want to rent, what kind of insurance coverage you have and whether or not you meet the criteria to have your rental covered by insurance.

Group I Criteria Include Any Of The Following

An arterial PO2 at or below 55 mm Hg or an arterial oxygen saturation at or below 88 percent taken at rest , or

Overview: Qualifying For Home Oxygen

First, if you want to receive home oxygen treatment youll need to meet the following criteria:

What About Portable Oxygen Concentrators

Unfortunately, Medicare will not pay for a portable oxygen concentrator if you are already using Medicares oxygen rental benefit. The reason for this is that Medicare pays the supplier the same amount whether the supplier gives you a portable tank or a portable concentrator.

Medicare Home Oxygen Lcd Coverage

For any item to be covered by Medicare, it must 1) be eligible for a defined Medicare benefit category, 2) be reasonable and necessary for the diagnosis or treatment of illness or injury or to improve the functioning of a malformed body member, and 3) meet all other applicable Medicare statutory and regulatory requirements.

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