2022 HME Cost of Delivery – The Survey Results Are In!

Published in Government Relations on May 11, 2022

VGM & Associates routinely monitors environmental factors which impact Home Medical Equipment (HME) providers and their ability to effectively provide their products and services to patients who need and rely on them. As a result of the COVID-19 pandemic and the changes brought about by it, VGM Government surveyed our members last year regarding the costs associated with delivering HME. That survey was dubbed VGM’s 2021 Home Medical Equipment Delivery Cost Report (Click here to view the 2021 Delivery Cost Survey responses), and summarized responses from nearly 100 individual HME providers. Their responses demonstrated the total costs associated with providing equipment such as oxygen, hospital beds, mobility equipment, and more to patients’ homes both before and during the public health emergency.

Data received from both that 2021 survey and a similar one conducted by VGM in 2018, prior to the pandemic, has been eye opening for many, including officials at CMS, members of Congress, and our VGM members. This information was shared with and well-received by elected officials and other industry stakeholders, as it highlighted one of the sources of increased financial pressures on HME companies due to continuing pandemic issues.

Our industry providers play a critical, front-line role in patient care and minimizing hospitalizations. These same elected officials and stakeholders requested that VGM follow-up with questions relative to certain other PHE affiliated burdens which might affect access to appropriate patient service.

To that end, as a follow up to our 2021 survey, VGM has once again, for 2022, surveyed our members requesting updates of the costs of delivering home medical equipment as well as additional information relative to recent operational challenges such as supply change issues, employee wages, product acquisition cost increases, freight cost increases, and personal protective equipment (PPE). We also inquired as to the current wage levels of three common positions (delivery technician, billing personnel, and office staff) due to reports of required overtime, higher employee benefits packages, and difficulty maintaining sufficient staffing.

Click here to view the 2022 results. You will note we have again regionalized the responses by geographical area and have added a breakdown by company size: Small (1-10 employees), medium (11-50 employees), and large (+51 employees).

The data was sorted and arranged by Mark Higley, VP of regulatory affairs for VGM Government. He commented, “While I suspected the various costs and related factors in securing appropriate HME delivery services would increase – as compared to our previous two surveys – I underestimated the cumulative pressures on the business operations of these companies.” Higley continued, “I anticipated the higher vehicle expenses (due to the large fuel increases) but was rather stunned by the array of ancillary demands (e.g., supply chain, surcharges, freight, overtime, etc.) facing these most critical organizations serving the most cost-effective patient population.”

We greatly appreciate those that took the time to submit your survey responses.


TAGS

  1. dmepos
  2. hme
  3. vgm
  4. vgm government

From Our Experts

VGM Government Relations Supports HME Advocates thumbnail VGM Government Relations Supports HME Advocates VGM Government Relations is helping spread awareness of a variety of events held for members of Congress in their districts, all in order to support legislation that improves the HME industry. This includes events for Rep. Markwayne Mullin (R-OK) on May 23 in Broken Bow, OK; Rep. Jodey Arrington (R-TX) on May 25; and Rep. John Thune (R-SD) on June 29. Medicare Advantage Plans Denying Items That Original Medicare Would Have Covered thumbnail Medicare Advantage Plans Denying Items That Original Medicare Would Have Covered Do Medicare Advantage plans really follow Medicare guidelines like they say they do? For any provider that deals with both traditional fee-for-service (FFS) Medicare, as well as Medicare Advantage (MA) plans, you've probably found yourself asking that very question. From the Desk of Ronda: Want to Avoid Supplier Number Issues? Read On! thumbnail From the Desk of Ronda: Want to Avoid Supplier Number Issues? Read On! Maintaining a supplier number is vital to the supplier's business. There is an update and a few reminders that need to be shared with the VGM membership that will assist with sustaining smooth operations. Make Plans to Attend or Support an Event for Rep. Markwayne Mullin (R-OK) thumbnail Make Plans to Attend or Support an Event for Rep. Markwayne Mullin (R-OK) There will be an event for Rep. Markwayne Mullin (R-OK) on May 23 at 5:30 p.m. CT in Broken Bow, OK. Vlog from Ronda Buhrmester -  CMS Announces Elimination of CMNs and DIFs for January 2023 thumbnail Vlog from Ronda Buhrmester - CMS Announces Elimination of CMNs and DIFs for January 2023 Watch this update from Ronda as she describes the announcement from CMS about the elimination of of CMNs and DIFs for January 2023. Heartland Sneak Peek: HME Industry SWOT Analysis thumbnail Heartland Sneak Peek: HME Industry SWOT Analysis The types and quantity of changes that have occurred over the past two years are unprecedented, and the majority of them have been driven by the COVID-19 pandemic. Make sure to catch HME Industry SWOT Analysis, presented by Craig Douglas, Ronda Buhrmester, Mark Higley, and John Gallagher at Heartland 2022. Genesis Home Medical Equipment Hosts Rep. Marionette Miller-Meeks thumbnail Genesis Home Medical Equipment Hosts Rep. Marionette Miller-Meeks On Thursday, April 14, Rep. Marionette Miller-Meeks (R-IA-2) visited with Genesis Home Medical Equipment in Davenport, IA. VGM's Craig Douglas, VP of Payer Relations attended the event as well. Heartland Sneak Peek: COVID Flexibilities Are Now Audit Opportunities thumbnail Heartland Sneak Peek: COVID Flexibilities Are Now Audit Opportunities One of the biggest uncertainties of moving into a post-pandemic world is how CMS will decide to audit claims submitted during the public health emergency.