Durable Medical Equipment Suppliers (DMEPOS) Surety Bonds

What is a DMEPOS Surety Bond?

Suppliers of Durable Medical Equipment Prosthetics Orthotics and Supplies (DMEPOS) are required to file a $50,000 surety bond with the Centers of Medicare and Medicaid Services (CMS) if they intend to bill Medicare. A higher bond amount will be required if the DMEPOS supplier has had a final adverse action imposed against it within the past 10 years. The bond amount will be raised by an additional $50,000 for each adverse action against the supplier within the previous 10 years.

Why do I need a DMEPOS Surety Bond?

This bond ensures compliance with CMS regulations and offers protection against malpractice or fraud by medical practitioners or bonded physicians as part of Section 4312(a) of the Balanced Budget Act of 1997 (Pub. L.. 105-33). DMEPOS Surety Bonds cover a single National Provider Identifier (NPI). A higher bond amount may be needed to support multiple NPI locations.

Who is exempt from providing a DMEPOS Surety Bond?

DMEPOS suppliers could be exempt in the following situations:

  • State-licensed orthotic and prosthetic personnel in private practice and only billing for orthotic, prosthetics and supplies
  • Physicians and non-physician practitioners if the DMEPOS items are furnished only to his or her patients as part of his or her professional service
  • Physical and occupational therapists if the business is solely owned and operated by the therapist, and if the DMEPOS items are furnished only to his or her patients as part of his or her professional service

What will the DMEPOS Surety Bond cost me?

Pacific Surety offers industry low rates and can obtain approvals for almost all credit situations, with rates as low as $250 annually for qualifying applicants. Once our simple application has been completed, we can have pricing to you within hours. Please contact our knowledgeable underwriting staff with specific questions.

Pacific Surety proudly offers Durable Medical Equipment Suppliers (DMEPOS) Surety Bonds in the following states:

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