Medicare covers portable oxygen equipment under Part B, but only if your doctor prescribes it, your blood oxygen level is low enough, and you use a Medicare-approved supplier

Medicare Part B covers portable oxygen concentrators and liquid oxygen systems as durable medical equipment (DME). Medicare pays 80 percent of the approved rental or purchase price after you meet your Part B deductible; you pay the remaining 20 percent. The process is strict: you cannot buy a portable oxygen unit on your own and submit the receipt. Your doctor must prescribe the equipment, order a blood oxygen test showing your oxygen level is below Medicare's threshold, and a Medicare-approved DME supplier must handle the order and paperwork.

The entire process from prescription to delivery typically takes two to three weeks. Your doctor's office and the DME supplier handle most of the work, but you need to choose the supplier and decide whether to rent or buy. Understanding these steps upfront prevents delays and denials.

Key Takeaways

  • Your doctor must prescribe portable oxygen and order a blood oxygen test showing your level is 88 percent or lower at rest, during activity, or during sleep.
  • You must use a Medicare-approved DME supplier found through Medicare.gov or by calling 1-800-MEDICARE; buying from a retail store or online will not be covered.
  • Medicare pays 80 percent of the approved rental or purchase price after your Part B deductible is met; you pay 20 percent coinsurance.
  • If you rent the equipment for five years, you own it; if you buy it outright, you own it when ready but pay the full cost upfront before Medicare reimburses you.
  • The DME supplier submits a Certificate of Medical Necessity to Medicare for approval, which usually takes one to two weeks.

How to get your doctor's prescription and blood oxygen test

Start by talking to your primary care doctor or pulmonologist about needing portable oxygen. They will order an arterial blood gas (ABG) test or pulse oximetry test to measure your oxygen saturation. Medicare requires your oxygen level to be 88 percent or lower at rest, or 88 percent or lower during a six-minute walk test, or 88 percent or lower during sleep. Your doctor documents the test results and writes a prescription that includes the type of equipment (portable concentrator, liquid oxygen, or compressed tanks), the flow rate in liters per minute, and how many hours per day you need it.

Keep a copy of the prescription and test results for your records. Your doctor's office will also send these to the DME supplier you choose. If your oxygen level is borderline or your doctor is unsure whether Medicare will cover it, ask the supplier to submit the prescription for a coverage information before you commit to renting or buying. This step can save you from paying out of pocket for equipment Medicare will not cover.

Choosing a Medicare-approved DME supplier

You must rent or buy portable oxygen from a Medicare-approved DME supplier, not from a retail store or online retailer. To find approved suppliers in your area, use the Medicare DME Supplier Locator on Medicare.gov or call 1-800-MEDICARE. Enter your ZIP code and the equipment type (oxygen). The search will show suppliers near you, their phone numbers, and whether they accept Medicare assignment, meaning they bill Medicare directly and you only pay your 20 percent share.

Call at least two or three suppliers and ask about their equipment options, delivery time, and whether they offer 24-hour support if your equipment breaks down. Some suppliers rent only; others sell only; many do both. Ask whether they handle the Medicare paperwork or if you need to submit it yourself. Most approved suppliers will handle it for you, which speeds up the approval process and reduces the chance of paperwork errors.

Renting versus buying: costs and ownership

Medicare allows you to either rent or buy portable oxygen equipment. If you rent, Medicare pays 80 percent of the monthly rental fee; you pay 20 percent. After you have rented for five years, you own the equipment and stop paying rental fees. If you buy the equipment outright, you pay the full purchase price upfront, but Medicare reimburses you 80 percent of the approved amount after your deductible. The approved amount varies by equipment type and region, typically ranging from $2,000 to $4,000 for a portable concentrator, but ask your supplier for a written estimate specific to your area.

For most people, renting is the better choice because you spread the cost over time and the supplier handles repairs and replacements at no extra charge. Buying makes sense if you plan to use the equipment for many years and want to own it when ready, or if you have supplemental insurance that covers the remaining 20 percent. Ask your supplier for a written estimate of both the rental cost and purchase price before you decide, and factor in whether you will need the equipment long-term.

What happens after you choose a supplier

Once you have selected a supplier and they have your doctor's prescription and test results, the supplier submits a Certificate of Medical Necessity (CMN) to Medicare for approval. This form documents that your doctor prescribed the equipment and that you meet Medicare's medical necessity criteria. Medicare reviews it and sends approval or denial to the supplier, usually within one to two weeks. If approved, the supplier will contact you to arrange delivery and show you how to use the equipment.

If Medicare denies the claim, the supplier will tell you why. Common reasons include oxygen levels that are not low enough, missing or incomplete test results, or a prescription that does not match Medicare's requirements. You can ask your doctor to resubmit with more recent test results or clarification, or you can request a reconsideration. The supplier can guide you through this process and often knows which issues are easiest to fix.

What portable oxygen equipment Medicare covers

Medicare covers three main types of portable oxygen equipment: portable oxygen concentrators (battery-powered machines that pull oxygen from the air), liquid oxygen systems (a small tank filled from a larger home reservoir), and compressed oxygen tanks (portable metal cylinders). Portable concentrators are the most common because they are lightweight, do not require refilling, and work anywhere. Liquid oxygen is lighter than compressed tanks but requires regular refilling from a home reservoir. Compressed tanks are heavier and need to be refilled or exchanged at a supplier.

Medicare covers the equipment, tubing, and a portable carrying case. It does not cover accessories like decorative cases, extra batteries beyond what comes with the unit, or upgrades to fancier models. If you want a specific brand or model that costs more than the Medicare-approved amount, you can pay the difference yourself, but the supplier must tell you the extra cost upfront in writing before you agree to it.

Common reasons Medicare denies portable oxygen coverage

Medicare denies portable oxygen coverage most often because the blood oxygen test shows a level above 88 percent, the test is too old (usually more than 30 days), or the prescription is incomplete. A second common reason is that the supplier is not Medicare-approved or the paperwork was submitted to the wrong Medicare contractor. A third is that the doctor's prescription does not specify the equipment type, flow rate, or hours per day clearly enough for Medicare to process it.

If your claim is denied, ask the supplier or your doctor's office for the specific reason in writing. If it is a test result issue, your doctor can order a new test. If it is a paperwork issue, the supplier can resubmit with corrections. If you believe Medicare made an error, you have the right to request a reconsideration within 180 days of the denial notice. Keep copies of all paperwork related to your claim.

Frequently Asked Questions

Does Medicare Part D cover portable oxygen?

No. Part D covers prescription drugs only. Portable oxygen is covered under Part B as durable medical equipment. If you have a Medigap or Medicare Advantage plan, check your plan documents to see if they cover the 20 percent coinsurance, but the primary coverage is always Part B.

What if I already bought portable oxygen before getting Medicare approval?

You may still be able to get reimbursed if you have a valid prescription and meet Medicare's medical necessity criteria. Contact a Medicare-approved DME supplier with your receipt and prescription. They can submit a claim for reimbursement of 80 percent of the approved amount. You will not be reimbursed for any amount above Medicare's approved price.

Can I use my portable oxygen while traveling on an airplane?

Yes, but airlines have strict rules about portable oxygen concentrators on flights. Contact your airline before you travel and bring documentation from your doctor and supplier showing your prescription and equipment model. The TSA and FAA allow some portable concentrators but not all. Your supplier can tell you whether your specific model is airline-approved.

Do I have to use the same supplier for refills or repairs?

If you are renting, yes — the rental agreement is with that supplier and they handle maintenance and refills. If you own the equipment, you can use any supplier for refills or repairs, but Medicare will only reimburse you for services from a Medicare-approved supplier.

What if my oxygen needs change after Medicare approves my equipment?

Tell your doctor and ask them to order a new blood oxygen test. If the results show you need a higher flow rate or different equipment, your doctor can write a new prescription and the supplier can submit it to Medicare for a change order. This usually takes one to two weeks to process.