Reminder on Equipment Replacement

FARGO, N.D. — Noridian Administrative Services reminded
providers last week that the reasonable useful lifetime of durable
medical equipment is determined through program instructions. In
their absence, carriers can set the reasonable useful lifetime of
equipment, “but in no case can it be less than five years, or eight
years for enteral and parenteral pumps,” the Jurisdiction D DME MAC
said in a notice posted March 4. Computation of the useful lifetime
is based on when the equipment is delivered to the beneficiary, not
the age of the equipment. The DME MAC also noted that replacement
of equipment due to wear is not covered during the reasonable
useful lifetime, and equipment that the beneficiary owns or is a
capped rental item can be replaced when less than five years old
only in cases of loss, i.e., theft or irreparable damage. See the
complete update on the NAS Web site.