Although there are a few exemptions, the vast majority of DMEPOS suppliers are subject to the $50,000 bonding requirement. Certain providers of physical and occupational therapy who practice privately do not have to be bonded if they meet all three of these conditions:
- They are the sole owners of their business
- The only people they provide DMEPOS items to are their own patients
- Their only Medicare or Medicaid billing is for DMEPOS items.
And certain DMEPOS suppliers will need to purchase more than $50,000 worth of DMEPOS coverage, specifically suppliers who:
- Operate multiple sites, each with its own NPI number ($50,000 in coverage is required for each such site), or
- Had their license suspended, were convicted of a felony, and/or lost their Medicare or Medicaid billing privileges due to infractions committed in the preceding 10 years (an additional $50,000 in coverage is required for each infraction).
