Medicare Blog

how do you become a equipment supplier for medicare

by Prof. Ena Bernier Published 3 years ago Updated 2 years ago
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Suppliers who receive Medicare reimbursement for durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) are required to: Obtain DMEPOS accreditation from a CMS

Centers for Medicare and Medicaid Services

The Centers for Medicare & Medicaid Services, previously known as the Health Care Financing Administration, is a federal agency within the United States Department of Health and Human Services that administers the Medicare program and works in partnership with state government…

-approved organization Enroll in the Medicare program as a DMEPOS Supplier Post a surety bond to the National Supplier Clearinghouse (NSC)

3 Steps to Becoming DME Supplier for Medicare
  1. Acquire a National Providers Identification (NPI) Number.
  2. Complete Your Medicare Enrollment Application.
  3. Work with Your Medicare Administrative Contractor (MAC)
  4. Complete the DMEPOS Accreditation Process.
  5. You will Need an NPI for Each Location.
Apr 16, 2021

Full Answer

How do I become a Medicare supplier?

The most important step to becoming a supplier is to obtain DME accreditation. To do that, you have to comply with the supplier standards set for the Medicare program, as well as with the defined quality standards.

Do you have to use a supplier contracted with Medicare?

If the Competitive Bidding Program applies to your Medicare coverage, you must use a supplier contracted with the Medicare program in order to receive your benefits. Are prescription drugs considered medical supplies under Medicare?

How do I become a DME supplier?

Most DME suppliers are governed by stringent federal and state laws, especially those that participate in the Medicare/Medicaid program. If a supplier is required to obtain a license, a DME company must obtain an “in-state” or a “resident” license which requires an extensive application, proof of insurance, various fees and an inspection.

How do I apply for Medicare as a DMEPOS supplier?

The NSC processes all Medicare applications for DMEPOS suppliers. You can check in with the NSC regarding your enrollment status. Contact the NSC. DMEPOS suppliers are required to post a surety bond in the amount of $50,000 for each NPI they maintain. Post a Surety Bond. It’s important to keep your enrollment information up to date.

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How do you get a Medicare product approved?

Go to an in-person doctor visit, where your doctor will write an order for the DME. Take the order to a Medicare-approved DME supplier. Depending on the product, ask the supplier if they will deliver it to your home. Find out if Medicare requires prior authorization for your DME.

What is a Medicare Dmepos supplier?

DMEPOS supplier means an entity or individual, including a physician or a Part A provider, which sells or rents Part B covered items to Medicare beneficiaries and which meets the standards in paragraphs (c) and (d) of this section.

What is a supplier in Medicare?

Supplier is defined in 42 CFR 400.202 and means a physician or other practitioner, or an entity other than a provider that furnishes health care services under Medicare.

How do I set up DME?

Begin setting up your DME business by decorating your store location or securing a website domain name and creating your website. Apply for an employer identification number with the IRS and apply for a merchant account with a credit card processing company if you intend to accept credit cards as a form of payment.

What is DME accreditation?

Medical suppliers who wish to distribute durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) must apply for and receive accreditation that verifies the supplier meets the quality standards set forth by the Centers for Medicare & Medicaid Services.

Is Amazon a Medicare supplier?

En español | Already a household name in almost everything from books to electronics to household items, Amazon is now a major health care player with its new digital pharmacy that offers free home delivery and other perks to some customers with Medicare Part D, Medicare Advantage plans and most major commercial health ...

What is the difference between a Medicare provider and supplier?

Supplier is defined in 42 CFR 400.202 and means a physician or other practitioner, or an entity other than a provider that furnishes health care services under Medicare.

How long does it take to get a Medicare provider number?

Most Medicare provider number applications are taking up to 12 calendar days to process from the date we get your application. Some applications may take longer if they need to be assessed by the Department of Health.

What is a Medicare billing agent?

A billing agency/agent is a company or individual that you contract with to prepare and submit your claims. If you use a billing agency/agent, you are responsible for the claims submitted on your behalf.

Is DME a good business to start?

The opportunity for DME The U.S. DME market is large, growing — and can be profitable for independent pharmacies. While competitive bidding under Medicare and other regulations have made DME sales more challenging, the U.S. DME market is expected to grow from $46.5 billion in 2015 to $60.2 billion in 2020.

How much does a medical supply business make?

While most industries average $100,000 per employee annually, successful retail HMEs average $140,000 per employee annually because most small staffs are highly cross-trained.

Do I need a license to sell medical supplies in California?

(a) No person shall conduct a home medical device retail facility business in the State of California unless he or she has obtained a license from the department. A license shall be required for each home medical device retail facility owned or operated by a specific person.

How to become a supplier for Medicare?

The most important step to becoming a supplier is to obtain DME accreditation . To do that, you have to comply with the supplier standards set for the Medicare program, as well as with the defined quality standards. You also need to provide a $50,000 DMEPOS surety bond as a part of the enrollment after receiving your accreditation.

How long does it take to get Medicare accreditation?

The accreditation can take up to nine months from the time of your application. Once you have obtained it, you have to undergo the Medicare enrollment with the CMS. Institutional providers have to use CMS-855A Form, while DMEPOS suppliers have to complete CMS-855S Form.

How much surety bond do I need for CMS?

You have to provide a $50,000 surety bond to the CMS. This amount is necessary for each NPI you have and want to use. Thus, you may need a larger bond amount if you have numerous practice locations as an organizational supplier. In order to get bonded, you have to pay a bond premium, which is a fraction of the required amount.

What is DMEPOS in Medicare?

Medical practitioners and medical service providing organizations that want to be able to bill the Medicare system for supplying Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) need to undergo a rigorous process.

Do dentists have to be accredited to use DMEPOS?

While there are exemptions, it is applicable to medical practitioners who want to act as suppliers of: Since the beginning of 2019, dentists providing DMEPOS to patients are also required to undergo an accreditation process and meet relevant requirements.

Do I need a NPI number for DME?

While this is not a part of the accreditation itself, getting a National Provider Identifier (NPI) number is necessary for meeting the DME license requirements. Existing providers typically have the number already, as it is required by the CMS and commercial healthcare insurers.

What is DMEPOS in Medicare?

Suppliers who receive Medicare reimbursement for durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) are required to: If your business doesn’t dispense or furnish DMEPOS, you should use the Medicare Enrollment Guide for Providers & Suppliers.

What to do if your business doesn't dispense DMEPOS?

If your business doesn’t dispense or furnish DMEPOS, you should use the Medicare Enrollment Guide for Providers & Suppliers. If you’re enrolling a hospital, critical care facility, skilled nursing facility, home health agency, hospice, or other similar institution, you should refer to the Medicare Enrollment Guide for Institutional Providers.

How long does it take to change your Medicare billing information?

It’s important to keep your enrollment information up to date. To avoid having your Medicare billing privileges revoked, be sure to report any change within 30 days. Changes include, but are not limited to: a change in ownership. an adverse legal action. a change in practice location.

How to become a DME supplier for Medicare?

Obtaining an approval during the accreditation process is the key answer to the question on becoming a DME supplier for Medicare. To be approved, you first have to select from one of the approved accreditation companies and get acquainted with their rules and regulations.

What is a DME supplier?

Are primarily used to serve a medical purpose. Are ordered or prescribed by a physician. Are reusable. Can be used repeatedly. Are able to be used inside a home. To help you learn how to become a DME supplier for Medicare, we’ve prepared this step-by-step guide below to help you learn the basics.

What is DME in medical?

0. 3710. Durable Medical Equipment (DME) is any equipment that provides therapeutic benefits to those in need because of certain illnesses and/or medical conditions. Those providing Durable Medical Equipment or Home Medical Equipment depends on the type of equipment as well as the jurisdiction.

Does Medicare cover blood sugar monitors?

Medicare Part B (Medical Insurance) will cover most of the medically required durable medical equipment (DME)to use in your home if prescribed by your doctor. Medicare DME coverage includes, but isn’t limited to: Blood sugar test strips. Blood sugar monitors. Canes.

Who are DME providers?

DME providers include home health agencies, DME companies, practitioners, and physicians.

Does Medicare cover wheelchairs?

Wheelchairs & scooters. Medicare will also cover certain prescriptions and supplies that you use with your DME, even if they can only be used once. For example, Medicare covers medications that are used with nebulizers as well as test trips used with diabetes self-testing equipment.

Do you have to be enrolled in Medicare to receive DME?

In order to receive DME coverage by Medicare, your doctor and suppliers must also be enrolled. Before you inquire about DME, it’s important to ask your suppliers if they’re enrolled in Medicare. If they are, they must accept assignment (i.e. the cost of a hospital bed).

What is Medicare Advantage Part C?

Some Medicare Advantage Plans (Part C) offer extra benefits that Original Medicare doesn’t cover - like vision, hearing, or dental. Contact the plan for more information. Return to search results.

What does Medicare Part B cover?

Supplies. Medicare Part B (Medical Insurance) Part B covers certain doctors' services, outpatient care, medical supplies, and preventive services. usually doesn’t cover common medical supplies, like bandages and gauze, which you use at home.

What is a DME supplier?

A DME supplier is any business that sells or rents certain types of medical equipment intended for the management of chronic conditions. These types of medical equipment include, but are not limited to: Prosthetics and orthotics. Blood sugar meters and test strips. Dialysis supplies.

Why is DME important?

What’s more, the DME market is essential to serving the medical needs of many different people, including seniors and people with disabilities, which makes it a key component of the standard of care for medical practices that serve these populations. The ability to bill Medicare is a vitally important component of most DME suppliers’ businesses ...

What is the CMS accreditation process?

According to the CMS, accreditation a complex and comprehensive process that requires thorough preparation. Therefore, reviewing licensing requirements, which the CMS refers to as quality standards, in the Durable Medical Equipment, Prosthetics, Orthotics and Supplies standards handbook is a good starting point. The book is available as a free download on the CMS website. The first section covers administration, financial management, human resources management, consumer services, performance management, product safety and information management standards. The second lays out intake and assessment, delivery and set-up, training and instruction, and patient follow-up requirements.

How long does it take to get a surveyor license?

It will take about two months from the inspection date to get your license provided all goes well. References.

How to get a DME?

If you have a Medicare Advantage Plan, you must follow the plan’s rules for getting DME. Your plan may require that you: 1 Receive approval from the plan before getting your DME. 2 Use a supplier in the plan’s network of suppliers.#N#You may get little or no coverage if you use an out-of-network supplier. 3 Use a preferred brand.#N#You may pay a higher cost when using a non-preferred brand.

Can you get DME coverage if you use out of network?

You may get little or no coverage if you use an out-of-network supplier. Use a preferred brand. You may pay a higher cost when using a non-preferred brand. Contact your plan to learn more about its DME coverage rules before ordering your DME.

Does Medicare cover DME?

Register. If you want Medicare to help cover your durable medical equipment (DME) costs, it is important to use the right supplier . Original Medicare DME suppliers. If you have Original Medicare, you should get your DME from a Medicare-approved supplier that takes assignment. Medicare Advantage DME suppliers.

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