Medicare & CPAP: Just Curious

[Ross]

I just got a Medicare Summary Notice showing a supplier charge of $874.72 for my replacement Res Med CPAP device and a Medicare approved amount of $34.43. I have little sympathy for my supplier (Apria), but $34.43 for the device is hard to understand. There is one footnote saying the amount is based on the DMEPOS competitive bidding program, and another saying payment is reduced by 25% beginning with the 4th month of rental. Is $34.43 merely a recurring rental charge, rather than a one time charge? If not, how can a supplier make a profit selling a device at this price?

[justMongo]

Medicare does a rent to own over 13 months. The supplier will gross about $450 on the machine.

Medicare reimbursements have been going down; especially under their competitive bid program.
Seems like every year I have to find a new supplier of test strips because suppliers go out of business.

Cost control is one thing. Tearing down the system is another.
Write to your representative and tell them: "Thanks a bunch."