Medicare DMEPOS Supplier Standards

Note: This is an abbreviated version of the supplier standards every Medicare DMEPOS supplier must meet to obtain and maintain billing privileges. The complete standards are available in 42 C.F.R. § 424.57(c).

  1. A supplier must comply with all applicable federal and state licensure and regulatory requirements and may not contract with an individual or entity to provide licensed services unless those requirements are met.
  2. A supplier must provide complete and accurate information on the DMEPOS supplier application. Any changes must be reported to the National Supplier Clearinghouse within 30 days.
  3. An authorized individual whose signature is legally binding must sign the application for billing privileges.
  4. A supplier must fill orders from its own inventory or contract with other companies to purchase items necessary to fill the order. A supplier may not contract with any entity currently excluded from Medicare, state healthcare programs, or other federal procurement programs.
  5. A supplier must advise beneficiaries that they may rent or purchase inexpensive or routinely purchased durable medical equipment and inform them of purchase options for capped rental equipment.
  6. A supplier must notify beneficiaries of warranty coverage, honor all warranties required by state law, and repair or replace covered items under warranty at no charge.
  7. A supplier must maintain a physical facility accessible to the public during posted business hours. The facility must be at least 200 square feet and contain adequate record storage space.
  8. A supplier must permit CMS or its agents to conduct on-site inspections to verify compliance with these standards.
  9. A supplier must maintain a primary business telephone listed under the business name in a local directory or provide a toll-free number available through directory assistance.
  10. A supplier must maintain comprehensive liability insurance of at least $300,000 covering the business, customers, and employees. Manufacturers must also carry product liability coverage.
  11. A supplier must not initiate telephone contact with Medicare beneficiaries except in situations specifically permitted by regulation.
  12. A supplier is responsible for delivery, beneficiary instruction, and maintaining proof of delivery for Medicare-covered items.
  13. A supplier must answer beneficiary questions, respond to complaints, and maintain documentation of those contacts.
  14. A supplier must maintain, repair, or replace rented Medicare-covered items at no charge to the beneficiary.
  15. A supplier must accept returns of substandard or unsuitable items.
  16. A supplier must disclose these supplier standards to every beneficiary receiving a Medicare-covered item.
  17. A supplier must disclose to the government any ownership, financial, or controlling interests in the supplier.
  18. A supplier must not transfer, convey, or allow another entity to use its Medicare supplier number.
  19. A supplier must maintain a complaint resolution process and keep records of beneficiary complaints.
  20. Complaint records must include:
  • Beneficiary name
  • Address
  • Telephone number
  • Health insurance claim number
  • Summary of complaint
  • Actions taken to resolve the complaint
  1. A supplier must provide CMS with any information required by Medicare statutes and regulations.
  2. All suppliers must be accredited by a CMS-approved accreditation organization to obtain and maintain a supplier billing number.
  3. All supplier locations, whether owned or subcontracted, must meet DMEPOS quality standards and maintain separate accreditation to bill Medicare.
  4. Suppliers must disclose all products and services offered, including any new product lines for which accreditation is sought.
  5. Suppliers must meet the surety bond requirements specified in 42 C.F.R. § 424.57(c).
  6. Suppliers providing oxygen must obtain oxygen from a state-licensed oxygen supplier.
  7. Suppliers must maintain ordering and referring documentation consistent with 42 C.F.R. § 424.516(f).
  8. DMEPOS suppliers may not share a practice location with certain Medicare providers and suppliers.
  9. DMEPOS suppliers must remain open to the public for a minimum of 30 hours per week, except where otherwise permitted by regulation.

National Supplier Clearinghouse
P.O. Box 100142
Columbia, SC 29202-3142
Phone: (866) 238-9652

A CMS Contracted Intermediary and Carrier