A six-month Medicare enrollment moratorium affecting some durable medical equipment, prosthetics, orthotics and supplies suppliers expired Aug. 27, according to CMS.
The moratorium, which went into effect Feb. 27, was part of CMS’ sweeping healthcare fraud initiatives. Just a few months later, CMS also imposed a six-month freeze on new Medicare enrollments for hospices and home health agencies.
The agency can extend moratoria in six-month increments. However, CMS confirmed national provider enrollment contractors have resumed accepting initial enrollment applications from these DMEPOS suppliers. The agency encouraged suppliers planning to bid in DMEPOS Competitive Bidding Program Round 2028 to “submit any completed enrollment applications as soon as possible,” allowing contractors sufficient time to review applications before the bidding window.
As established by the 2027 Inpatient Rehabilitation Facilities Prospective Payment System Final Rule, CMS elevated the required bid surety bond amount from $50,000 to $100,000 for bids submitted under a Remote Item Delivery Competitive Bidding Program. The RID competitive bidding area will be nationwide, as well.
While the moratorium addressed fee-for-service Medicare enrollment, CMS also announced that it is barring 11 medical supply companies from earning future Medicare Advantage Parts C and D payments. In 2025 and 2026, these companies had more than $3.4 billion in suspected fraudulent billing practices, CMS said in a Sept. 8 news release.
CMS claimed the 11 DMEPOS suppliers did not submit claims before 2025, used “improper” billing practices, billed for deceased beneficiaries’ medical equipment and supplied equipment to beneficiaries who did not request or receive it. Four of the 11 suppliers had already lost their original Medicare privileges, instead billing MA plans.
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