Surety bond requirement: Details continue to trickle in
BALTIMORE – Medicare published a transmittal late last week that states providers can obtain a single surety bond that encompasses multiple national provider identifiers (NPIs)/locations.
If, for example, a provider has 10 separately enrolled locations, it can obtain a $500,000 bond to cover all locations.
Other details from the March 27 transmittal:
• If a provider seeks to enroll a new location, it may submit an amendment or rider to its existing bond rather than submit a separate bond to the National Supplier Clearinghouse (NSC).
• A provider may cancel its surety bond with written notice to the NSC at least 30 days before the effective date of the cancellation. Cancellation is grounds for revocation of Medicare billing privileges unless the provider provides a new bond before the effective date of the cancellation.
• The NSC must conduct outreach to providers regarding the requirements by making listserv announcements, presenting to organizations and posting general information on its Web site no later than April 20, 2009.
Existing providers must have $50,000 surety bonds for each NPI by Oct. 2. 2009. New providers seeking to enroll in Medicare or providers changing ownership must have bonds by May 4, 2009.
To view the transmittal, go to: