Providing Accessories or Supplies for Beneficiary-Owned Equipment

A top denial on remittance advices continues to be Reason Code 16/Remark Code M124. As a reminder:

  • Beneficiary-owned information must be on file with Medicare Fee-for-Service (FFS) to avoid denials.

Claims for supplies and accessories used with beneficiary-owned equipment must include three pieces of information with claim submission in the narrative section.

  • HCPCS code of base equipment; and,
  • A notation equipment is beneficiary-owned; and,
  • Date beneficiary obtained equipment (approximate)

Example: Bene-owned E0601 pur Jan 2021

Once the beneficiary-owned item is placed on file, subsequent supply claims do not require a narrative.

If you continue to receive denials because the information still is not on file, please utilize the following options to ensure the information has been added to the beneficiary’s record.


Last Updated Jul 12 , 2022