**B. Nationally Covered Indications

**

Oxygen therapy and oxygen equipment is covered in the home for acute or
chronic conditions, short- or long- term, when the patient exhibits hypoxemia
as defined below.

Initial claims for oxygen therapy for hypoxemic patients must be based on the
results of a clinical test that has been ordered and evaluated by the treating
practitioner. Such a test is usually in the form of a measurement of the
partial pressure of oxygen (PO2) in arterial blood. A measurement of arterial
oxygen saturation obtained by ear or pulse oximetry, however, is also
acceptable when ordered and evaluated by the treating practitioner and
performed under his or her supervision or when performed by a qualified
provider or supplier of laboratory services. A durable medical equipment (DME)
supplier is not considered a qualified provider or supplier of laboratory
services for purposes of this National Coverage Determination (NCD). This
prohibition does not extend to the results of blood gas tests conducted by a
hospital certified to do such tests.

When the arterial blood gas and the oximetry studies are both used to document
the need for home oxygen therapy and the results are conflicting, the arterial
blood gas study is the preferred source of documenting medical need.

Required qualifying arterial blood gas or oximetry studies must be performed
at the time of need. The time of need is defined as during the patients
illness when the presumption is that the provision of oxygen in the home
setting will improve the patients condition. For an inpatient hospital
patient the time of need is within 2 days of discharge. For those patients
whose initial oxygen prescription does not originate during an inpatient
hospital stay, the time of need is during the period when the treating
practitioner notes signs and symptoms of illness that can be relieved by
oxygen in the patient who is to be treated at home.

Patients exhibiting hypoxemia are defined using the clinical criteria below:

Group I:

  * An arterial PO2 at or below 55 mm Hg, or an arterial oxygen saturation at or below 88%, taken at rest, breathing room air;or
  * An arterial PO2 at or below 55 mm Hg, or an arterial oxygen saturation at or below 88%, taken during sleep for a patient who demonstrates an arterial PO2 at or above 56 mm Hg, or an arterial oxygen saturation at or above 89%, while awake; or a greater than normal fall in oxygen level during sleep (a decrease in arterial PO2 more than 10 mm Hg, or decrease in arterial oxygen saturation more than 5%) associated with symptoms or signs reasonably attributable to hypoxemia (e.g., impairment of cognitive processes and nocturnal restlessness or insomnia). In either of these cases, coverage is provided only for use of oxygen during sleep, and then only one type of unit will be covered. Portable oxygen, therefore, would not be covered in this situation; or,
  * An arterial PO2 at or below 55 mm Hg or an arterial oxygen saturation at or below 88%, taken during exercise [defined as either the functional performance of the patient or a formal exercise test], for a patient who demonstrates an arterial PO2 at or above 56 mm Hg, or an arterial oxygen saturation at or above 89%, during the day while at rest. In this case, supplemental oxygen is provided for during exercise if the use of oxygen improves the hypoxemia that was demonstrated during exercise when the patient was breathing room air.

Group II: Coverage is available for patients whose arterial PO2 is 56-59 mm Hg
or whose arterial blood oxygen saturation is 89%, if there is:

  * Dependent edema suggesting congestive heart failure; or,
  * Pulmonary hypertension or cor pulmonale, determined by measurement of pulmonary artery pressure, gated blood pool scan, echocardiogram, or "P" pulmonale on EKG (P wave greater than 3 mm in standard leads II, III, or AVFL; or,
  * Erythrocythemia with a hematocrit greater than 56%.

In reviewing the arterial PO2 levels and the arterial oxygen saturation
percentages specified above, the Medicare Administrative Contractors (MACs)
must take into account variations in oxygen measurements that may result from
such factors as the patient's age, the patients skin pigmentation, the
altitude level, or the patient's decreased oxygen carrying capacity.

**

C. Nationally Non-Covered Indications**

The Centers for Medicare & Medicaid Services will not cover oxygen therapy and
oxygen equipment in the home in the following circumstances:

  * Angina pectoris in the absence of hypoxemia. This condition is generally not the result of a low oxygen level in the blood, and there are other preferred treatments; or,
  * Breathlessness without cor pulmonale or evidence of hypoxemia. Although intermittent oxygen use is sometimes prescribed to relieve this condition, it is potentially harmful and psychologically addicting; or, 
  * Severe peripheral vascular disease resulting in clinically evident desaturation in one or more extremities. There is no evidence that increased PO2 improves the oxygenation of tissues with impaired circulation; or,
  * Terminal illnesses unless they affect the ability to breathe.

**D. Other**

The MAC may determine reasonable and necessary coverage of oxygen therapy and
oxygen equipment in the home for patients who are not described in subsection
B or precluded by subsection C of this NCD. Initial coverage for patients with
other conditions may be limited to the shorter of 90 days or the number of
days included in the practitioner prescription at MAC discretion. Oxygen
coverage may be renewed if deemed medically necessary by the MAC.

MACs may also allow beneficiaries who are mobile in the home and would benefit
from the use of a portable oxygen system in the home to qualify for coverage
of a portable oxygen system either (1) by itself, or, (2) to use in addition
to a stationary oxygen system.

(This NCD was last reviewed July 2022.)

(See 280.1 and the Medicare Benefit Policy Manual, Chapter 15, "Covered
Medical and Other Health Services," 110.)