The Medicare durable medical equipment (DME) competitive bidding program selects DME suppliers—called contract suppliers—who agree to provide DME in certain categories at the rate Medicare sets. For Original Medicare beneficiaries who live in a competitive bidding area and are prescribed DME affected by the program, they are required to purchase from contract suppliers. These suppliers can only charge 20% coinsurance for Medicare-covered DME after you meet the Part B deductible.

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