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.
What Do I Need To Know About DEMPOS Bonds?
These bonds ensure compliance with CMS regulations and offer 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.
Certain 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
How Much Does A DMEPOS Bond Cost?
Pricing for DMEPOS Surety Bonds varies, and your premium will be based on the following factors:
- Amount of the bond
- Term length of the bond
- Personal credit for all owners with at least a 10% ownership stake in the business
Individuals with good credit can expect to pay 0.5%-5% of the bond amount. Qualified applicants could pay as little as $250 annually for a $50,000 DMEPOS Surety Bond. To find out how much your bond is going to cost, please complete our online application for your free, no obligation price quote.
Can I Get A DMEPOS Bond With Bad Credit?
Pacific Surety offers a wide-range of approvals, regardless of credit, for DMEPOS Surety Bonds. With our strong surety relationships, we have the ability to approve 99% of applicants, regardless of how bad their credit is. Our knowledgeable underwriting staff will work with you to ensure you receive the lowest possible pricing for your bond. Applicants with substandard credit can expect to pay 5%-10% of the bond amount in premium. To see what rate you will qualify for, please complete our online application for your free, no obligation price quote.
How Are DMEPOS Surety Bonds Purchased?
The first step is to complete our quick online application for your free, no obligation bond quote. Submission takes only five minutes, and our underwriting staff will be in contact with you within a couple of hours with pricing. If you prefer to speak with our knowledgeable staff, please call 1-866-722-7873 and one of our Underwriters will assist you in applying for your bond.
After you receive approval, you must sign an indemnity agreement with the surety and provide payment for your bond premium. In most cases, we can issue bonds the same day we receive your signed documents and payment.
How Do I Become An Enrolled And Accredited DMEPOS Provider?
Enrolling or maintaining Medicare billing privileges requires all DMEPOS non-exempt suppliers to become accredited by complying with the Medicare program’s quality standards and supplier standards under Medicare Part B. The Center for Medicare & Medicaid Services uses ten national accreditation organizations to accredit suppliers throughout the country. Per the Medicare Improvement for Patients and Providers Act of 2008, all suppliers of durable medical equipment, medical supplies, home dialysis supplies and equipment, parenteral/enteral nutrition, transfusion medicine and prosthetic devices, therapeutic shoes, and prosthetics and orthotics all must be accredited.
What Are DMEPOS Supplier Standards?
The standards for DMEPOS suppliers can be found in the Code of Federal Regulations, part 424, sections57. To obtain or retain billing privileges with the CMS, DMEPOS suppliers must comply with these standards.
Who Are The Eligible Professionals For DMEPOS Accreditation?
The following are defined as eligible professionals by the CMS:
- Physical Therapists
- Qualified Speech-Language Pathologists
- Physician Assistants
- Nurse Practitioners
- Clinical Nurse Specialists
- Certified Registered Nurse Anesthetists
- Certified Nurse-Midwives
- Clinical Social Workers
- Clinical Psychologists
- Registered Dietitians
- Nutritional Professionals
Those that are exempt from meeting the accreditation requirements are designated as “other persons”, unless the CMS determines that the quality standards are specifically designed to apply to such other persons. The following practitioners are exempt from accreditation at this time: