Medicare DMEPOS Supplier Standards

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The products and services provided to you by Collins Medical Equipment are subject to the Medicare DMEPOS Supplier Standards contained in 42 C.F.R. 424.57(c).

The 30 Medicare DMEPOS Supplier Standards

1. A supplier must comply with all applicable federal and state licensure and regulatory requirements, and cannot contract with any person or company excluded from federal health care programs.
2. A supplier must provide complete and accurate information on its DMEPOS supplier application. Changes must be reported to the National Provider Enrollment contractor within 30 days.
3. An authorized official whose signature is legally binding must sign the supplier's enrollment application.
4. A supplier must fill orders from its own inventory or by contracting with other companies. A supplier may not contract with any entity excluded from Medicare, Medicaid, or any federal program.
5. A supplier must advise beneficiaries that they may rent or purchase inexpensive or routinely purchased durable medical equipment, and of the purchase option for capped rental equipment.
6. A supplier must notify beneficiaries of warranty coverage and honor all warranties under applicable state law. The supplier must not charge the beneficiary or Medicare for the repair or replacement of Medicare-covered items under warranty.
7. A supplier must maintain a physical facility on an appropriate site containing space for storing business records including delivery, maintenance, and beneficiary communication records. A P.O. box or commercial mailbox is not acceptable.
8. A supplier must permit CMS, its agents, or its accreditation organization to conduct on-site inspections. The supplier location must be accessible during reasonable business hours, with a visible sign and posted hours.
9. A supplier must maintain a primary business telephone listed under the business name, locally or toll-free. Cell phones, answering services and pagers as a primary business telephone are prohibited.
10. A supplier must have comprehensive liability insurance of at least $300,000 that covers the place of business and all customers and employees. Suppliers who manufacture their own items must also carry product liability cover.
11. A supplier is prohibited from making direct, unsolicited telephone contact with Medicare beneficiaries, except in limited circumstances.
12. A supplier is responsible for delivery of Medicare-covered items and must instruct beneficiaries on their use. Proof of delivery and instruction must be maintained.
13. A supplier must answer questions and respond to complaints from beneficiaries about Medicare-covered items, and maintain documentation of such contacts.
14. A supplier must maintain and replace at no charge, or repair directly or through a service contract, Medicare-covered items the supplier has rented to a beneficiary.
15. A supplier must accept returns of substandard items (less than full quality) or unsuitable items (inappropriate for the beneficiary at the time of fitting, rental or sale).
16. A supplier must disclose these supplier standards to each beneficiary to whom it supplies a Medicare-covered item.
17. A supplier must disclose any person having ownership, financial, or control interest in the supplier.
18. A supplier must not convey or reassign a supplier number, and may not sell or allow another entity to use its Medicare billing number.
19. A supplier must have a complaint resolution protocol for beneficiary complaints related to supplier standards. A record of complaints must be maintained at the physical facility.
20. Complaint records must include the name, address, telephone number and health insurance claim number of the beneficiary; a summary of the complaint; the date received; the name of the person receiving the complaint; and the actions taken to resolve it.
21. A supplier must agree to furnish CMS with any information required by Medicare statutes and regulations.
22. All suppliers must be accredited by a CMS-approved accreditation organization to receive and retain a supplier billing number. The accreditation must specify the products and services for which the supplier is accredited.
23. All suppliers must notify their accreditation organization when a new DMEPOS location is opened.
24. All supplier locations, whether owned or subcontracted, must meet the DMEPOS quality standards and be separately accredited to bill Medicare.
25. All suppliers must disclose upon enrollment all products and services, including new product lines for which they seek accreditation.
26. A supplier must meet the surety bond requirements in 42 CFR 424.57(d). The bond amount is generally $50,000 per location.
27. A supplier must obtain oxygen from a state-licensed oxygen supplier.
28. A supplier must maintain ordering and referring documentation consistent with 42 CFR 424.516(f).
29. A DMEPOS supplier is prohibited from sharing a practice location with certain other Medicare providers and suppliers.
30. A DMEPOS supplier must remain open to the public for a minimum of 30 hours per week, with limited exceptions for certain practitioners and custom-fabrication suppliers.

What this means for you

As a Medicare beneficiary receiving equipment from Collins, you are entitled to the protections described in these standards. In particular:

• You have the right to rent or purchase inexpensive or routinely purchased equipment, and the purchase option for capped rental items (Standard 5).
• We must honor warranties and repair or replace rented items at no cost to you (Standards 6 and 14). See our warranty information page.
• We must be reachable during business hours at a real business telephone (Standard 9).
• We must instruct you on how to use your equipment and keep a record that we did (Standard 12).
• We must accept returns of substandard or unsuitable items (Standard 15).
• We must have a complaint process and keep complaint records (Standards 19 and 20). You may complain without any retaliation.
• We must be accredited by a CMS-approved organization. Collins is accredited by The Compliance Team, Inc. (Standard 22).