Reminder - Oxygen Equipment and Contents Delivery - JA DME

Suppliers are reminded that they cannot require a beneficiary to pick up oxygen equipment and oxygen contents at the supplier's location or a central dispensing facility. Requiring a beneficiary to pick up their oxygen equipment and contents is a violation of the Durable Medical Equipment, Prosthetics, Orthotics and Supplies (DMEPOS) Supplier Standards (42 CFR 424.57(c)) which states:

12.  A supplier is responsible for delivery and must instruct beneficiaries on use of Medicare covered items, and maintain proof of delivery.

Delivery and service is an integral part of oxygen and durable medical equipment (DME) suppliers' costs of doing business. As such, these costs have already been accounted for in the calculation of the fee schedules. 

When the DME MACs have knowledge of suppliers requiring beneficiaries to pick up equipment, a referral will be made to the National Supplier Clearinghouse for further investigation of the Supplier Standard violation.