There is another round of competitive bidding going on for Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) being implemented by the Centers for Medicare & Medicaid Services (CMS).
According to a recent article:
Competitive bidding: Medicare’s Competitive Bidding Program for durable medical equipment, prosthetics, orthotics and supplies (DMEPOS) is an important step towards paying appropriately for medical items and services. The program will reduce out-of-pocket expenses for Medicare beneficiaries and save the Medicare program money while ensuring beneficiaries continue to receive quality products from accredited suppliers.
Competitive bidding for DMEPOS is proven to save money for taxpayers and Medicare beneficiaries while maintaining access to quality DMEPOS items and services. The Balanced Budget Act of 1997 required Medicare to test competitive bidding for DMEPOS items as a new way to set fees. Medicare implemented two demonstration projects in Polk County, Florida and San Antonio, Texas to determine if competitive bidding among suppliers would be successful in driving down costs to a fair market value while maintaining product quality. The demonstration projects showed that competition helps Medicare beneficiaries receive quality medical equipment and supplies at fair and reasonable prices. At the completion of the demonstration projects in 2002, Medicare found that:
I have talked to various DME suppliers and generally having one or two suppliers doesn’t make sense to them. “Service will be affected” I am told. According to the government test described above, this program will work. Medicare costs have to be reduced; the demand for Medicare will keep increasing as the boomers reach age 65. This will be interesting to follow.
Call A Caring Choice at (513) 574-4148 if your loved one needs help at home. Don’t wait; they deserve it.
Submitted by Jim Kummer – President at A Caring Choice, Inc.