Medicare Claims Processing Manual (Pub. 100-04), Ch. 36 § 40.3.2.1
Payment for Capped Rental Items
40.3.2.1 – Payment for Capped Rental Items
(Rev. 3593, Issued: 08-17-16, Effective: 10-01-16, Implementation: 10-03-16)
For rented, grandfathered equipment in the capped rental payment class (e.g., CPAP device or
manual wheelchair), after the rental payment cap for the grandfathered equipment and after the
rental payment cap on the accessory (when applicable, e.g., elevating leg rests) is reached, the
beneficiary must obtain covered accessories and supplies (e.g., CPAP masks) only from a
contract supplier. The supplier of the grandfathered equipment is no longer permitted to furnish
the covered accessories and supplies once the rental payment cap on the grandfathered
equipment is reached, with the exception of completing the rental period for accessories whose
first month rental began during the rental period for the grandfathered equipment (e.g., the
addition of elevating leg rests during the third rental month for a grandfathered manual
wheelchair).