General Question for the Week of April 10, 2017

General Compliance Question of the Week


Is there a cost to the hospital if an implantable device that originally cost $20,000 fails and is replaced by a device that costs $16,000 and for which the manufacturer gives a credit of $16,000?


Detailed information about reporting and charging requirements when a device is furnished without cost to the hospital or when the hospital receives a full or partial credit for the replacement device can be found in the Medicare Claims Processing Manual, chapter 4, section 61.3.5 and 61.3.6 at This policy took effect on January 1, 2014.

Disclaimer: Every reasonable effort was made to ensure the accuracy of this information at the time it was published. However, due to the nature of industry changes over time we cannot guarantee its validity after the year it was published.