When Part B Expenses Are Incurred

20 - When Part B Expenses Are Incurred (Rev. 1, 10-01-03) B3-2005 Part B expenses for items and services other than expenses for surgery and childbirth (see §20.1, below), are considered to have been incurred on the date the beneficiary received the item or service, regardless of when it was paid for or ordered. Therefore, when an individual orders an item prior to his or her entitlement to supplemental medical insurance (SMI) but receives the item after the effective date of SMI enrollment, the expense is considered incurred after entitlement began. However, if an item not custom-made for the beneficiary was ordered but not furnished, no reimbursement can be made. (See §20.3 for rules concerning custom-made items ordered but not furnished and the Medicare Claims Processing Manual, Chapter 20, “Durable Medical Equipment, Prosthetics and Orthotics, and Supplies (DMEPOS),” for additional rules concerning the date of incurred expenses for durable medical equipment.)