VGM Insurance Offers Bid Bonds
VGM Insurance Services partners with Lexon Insurance Company to help HME providers meet new surety bond requirements for Round 2021.
- By David Kopf
- Mar 21, 2019
VGM Insurance Services, in affiliation with Lexon Insurance Company, is offering surety bonds to help CMS’s new requirements for Round 2021 of competitive bidding.
While CMS has required HME providers to hold surety bonds to participate to bill the Medicare program since 2009, Round 2021 requires that providers hold a $50,000 surety bond for each competitive bidding area (CBA) for which they submit a bid. (This requirement was initially put in place by the Medicare Access and CHIP Reauthorization Act.)
Providers wishing to participate in Round 2021 are working under a tight timeline. The Round 2021 competitive bid window is expected to open in June 2019, according to the timeline from the Competitive Bidding Implementation Contractor (CBIC).
“… So providers should begin their preparations now if they intend to consider placing a bid in one or more of the 130 CBAs,” stated Mark Higley, vice president of regulatory affairs at VGM.
Those preparations include bidders being able to demonstrate that they hold s $50,000 surety bond for each of their CBAs. Moreover, those bonds must come from an authorized surety listed by the Department of the Treasury, such as VGM Insurance’s partner, Lexon.
For more information about VGM Insurance’s bid bonds, visit vgminsurance.com/bidbonds or call (866) 497-0472.
David Kopf is the Executive Editor of HME Business and DME Pharmacy magazine. Follow him on Twitter at @postacutenews.