Medicare covers home oxygen therapy, but only when a doctor prescribes it for a medical condition and you meet specific requirements about how low your blood oxygen level is.

Medicare Part B pays for oxygen equipment and supplies if your doctor documents that you need it. The coverage includes the oxygen itself, the equipment to deliver it (like a concentrator or tank), and related supplies such as tubing and masks. However, Medicare will not pay for oxygen unless your blood oxygen level falls below a certain threshold, which your doctor measures with a test called a pulse oximetry or arterial blood gas test.

The process starts with your doctor. They must order the oxygen and specify why you need it — conditions like COPD, heart disease, severe pneumonia, or cystic fibrosis are common reasons. Your doctor also has to document your test results showing your oxygen saturation is low enough. Without that documentation, Medicare will deny the claim, even if you feel short of breath.

Key Takeaways

  • Your doctor must order oxygen and document your blood oxygen test results showing a level low enough to may have access to under Medicare rules.
  • Medicare Part B covers the oxygen equipment, the oxygen itself, and supplies like tubing and masks, but you pay 20 percent of the approved amount after your deductible.
  • You must use a Medicare-approved supplier, and the supplier handles billing to Medicare directly.
  • Medicare covers oxygen for use at home, and coverage for portable or travel oxygen depends on your specific prescription and needs.
  • If your oxygen needs change, your doctor must order new tests and update the prescription, or Medicare may stop paying.

What Blood Oxygen Level Qualifies You

Medicare has specific thresholds. Your blood oxygen saturation must be 88 percent or lower at rest, or 88 percent or lower during sleep or exercise, depending on your condition. Your doctor measures this with a pulse oximeter (a small clip on your finger) or with an arterial blood gas test, which is more precise but requires a blood draw.

The test result must be documented in your medical record before your doctor writes the oxygen order. Medicare will ask to see this documentation when the supplier submits the claim. If the test shows your oxygen is 89 percent or higher, Medicare will not cover oxygen, even if your doctor believes you need it for other reasons.

Some people's oxygen needs change over time. If you have been on oxygen for a while, Medicare may require a new test every 30 to 90 days to confirm you still need it. Your doctor and supplier will tell you when this is due.

Types of Oxygen Equipment Medicare Covers

Stationary concentrators are machines that pull oxygen from the air in your home and deliver it through tubing to a mask or nasal cannula. Medicare covers the equipment, the electricity to run it, and the supplies. You typically rent rather than own the concentrator, and the supplier maintains it.

Portable concentrators are smaller, battery-powered machines you can carry with you. Medicare covers these if your doctor prescribes them and documents that you leave home regularly. The coverage includes the device, batteries, and a carrying case.

Oxygen tanks (compressed gas) are covered when you need backup oxygen or when a concentrator is not practical. Medicare pays for the tank, the regulator, and refills. You may rent or own the tank depending on your supplier's arrangement.

Supplies covered include nasal cannulas, masks, tubing, humidifier bottles, and filters. Medicare covers these as part of your oxygen benefit, though some suppliers charge a small monthly rental fee for the equipment itself.

How Much You Pay Out of Pocket

After you meet your Part B deductible (which changes each year), you pay 20 percent of the Medicare-approved amount for oxygen equipment and supplies. The remaining 80 percent is covered by Medicare. The exact dollar amount depends on what equipment you use and your supplier's approved rates.

If you have a Medigap or Medicare Advantage plan, your out-of-pocket costs may be lower. Medigap plans often cover the 20 percent coinsurance, and Medicare Advantage plans set their own copays and coinsurance amounts. Check your plan documents or call your plan to find out what you will owe.

You do not pay a separate monthly fee for oxygen itself — that is included in the equipment rental or purchase cost that Medicare covers. However, some suppliers charge a monthly equipment rental fee, which is also covered by Medicare (you pay 20 percent after your deductible).

Using a Medicare-Approved Supplier

You must obtain oxygen from a Medicare-approved durable medical equipment (DME) supplier. Your doctor can recommend one, or you can search the Medicare website's supplier directory. Not all medical supply companies are approved, and using an unapproved supplier means Medicare will not pay.

Once you choose a supplier, give them your Medicare information and your doctor's order. The supplier handles all the paperwork and billing to Medicare. They will deliver the equipment to your home, set it up, and show you how to use it. They also handle refills and repairs.

If you are unhappy with your supplier, you can switch to another approved supplier at any time. Tell your current supplier you are switching, and contact the new supplier with your doctor's order and Medicare information.

Oxygen for Travel and Outside the Home

Medicare covers portable oxygen if your doctor prescribes it and documents that you need oxygen outside your home. This might be a portable concentrator, a small tank, or a liquid oxygen system, depending on how long you are away and how much oxygen you use.

If you travel by airplane, you cannot bring your own oxygen tank on the plane. The airline must provide oxygen, and you must arrange this in advance — usually at least 48 hours before your flight. Medicare does not cover airline oxygen, but some airlines provide it at no charge if you notify them early. Check with your airline and your doctor about what to expect.

For car trips and outings, a portable concentrator or small tank works well. Your supplier can help you choose equipment suitable for the length and type of travel you do.

When Medicare Stops Paying for Oxygen

Medicare will stop covering oxygen if your blood oxygen level rises above the threshold and stays there. Your doctor may order a new test to check this, especially if you have improved with treatment or if you have not had a test in several months. If the new test shows your oxygen is high enough, your doctor will discontinue the oxygen order, and Medicare coverage ends.

Coverage also stops if you no longer use the oxygen regularly. Medicare expects you to use oxygen as prescribed. If you are not using it, tell your doctor — they may adjust your prescription or discontinue it.

If Medicare denies a claim for oxygen, your supplier will send you a notice explaining why. Common reasons include missing test results, a test result that does not meet the threshold, or use of an unapproved supplier. You have the right to appeal the denial. Your supplier or your doctor can help you gather the information needed for an appeal.

What to Ask Your Doctor

Before your doctor orders oxygen, ask these questions to understand what Medicare will cover:

  • What is my blood oxygen level, and does it meet Medicare's threshold?
  • How often do I need to use oxygen — all day, at night, or during exercise?
  • Do I need portable oxygen for travel, or just a stationary concentrator at home?
  • How often will you recheck my oxygen level to see if I still need it?
  • Which Medicare-approved suppliers do you recommend?

Frequently Asked Questions

Does Medicare cover oxygen if I feel short of breath but my test shows normal oxygen?

No. Medicare requires a documented test showing your blood oxygen is below the threshold. Shortness of breath alone is not enough. If you feel short of breath despite a normal oxygen test, talk to your doctor about other causes and treatments.

Can I buy my own oxygen equipment instead of renting from a supplier?

You can own equipment, but Medicare still requires you to use an approved supplier for the oxygen itself and for billing. Some people own a portable concentrator and rent a stationary one. Your supplier can explain what ownership options are available.

What happens if I move to a different state?

Medicare coverage for oxygen is the same nationwide, but you will need to find a new approved supplier in your new state. Contact your current supplier before you move, and they can help you locate an approved supplier near your new home.

Does Medicare cover oxygen if I use it for a short-term illness like pneumonia?

Yes, if your doctor prescribes it and your blood oxygen test shows you need it. Once you recover and your oxygen level returns to normal, your doctor will discontinue the oxygen order and Medicare coverage ends. This is different from long-term oxygen for chronic conditions like COPD.

Will my Medicare Advantage plan cover oxygen the same way as Original Medicare?

Medicare Advantage plans must cover oxygen at least as well as Original Medicare, but they may have different copays, coinsurance, or supplier networks. Check your plan documents or call your plan to understand your specific coverage and costs.