The $50,000.00 Medicare surety bond required by the federal government is now available for an annual premium as low as $250.00**. When this bond requirement was introduced, the lowest rate was $500.00. After a few years of positive experience, the surety companies that underwrite this type of bond have lowered the rate. This rate is available by applying on-line at SURETY1.COM
Since 2008, The Centers for Medicare & Medicaid Services has required the suppliers of durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) to obtain a surety bond as a requirement to be accredited. Companies must be accredited before they can bill Medicare or Medicaid. The bond requirement was a very wise decision to implement to cut down on the abuse of the system.
These bonds are typically required to be in the amount of $50,000, although the bond can be written for higher amounts if required by the obligee due to perceived risk and if the business has multiple locations. The only exceptions on the requirement to obtain the bond is suppliers providing drug and pharmaceuticals only to physicians.
With these new low rates, now would be a perfect time to obtain a quote from Surety1.