As more podiatric physicians incorporate Durable Medical Equipment (DME) into their practices – from custom orthotics to diabetic footwear – understanding the regulatory and credentialing landscape has become increasingly important. One key requirement that’s often overlooked until it delays or derails your DME program is proof of Comprehensive General Liability (CGL) insurance.
What is CGL Insurance?
CGL insurance is designed to protect your practice from third-party claims of bodily injury, property damage, and personal injury that arise from your business operations. While this may seem unrelated to DME, many Medicare Administrative Contractors (MACs), private insurers, and accrediting bodies require CGL coverage as a foundational element of your DME compliance and credentialing file.
Why Podiatrists Need CGL for DME
Whether you dispense walking boots, braces, or therapeutic shoes, once you’re acting as a supplier of DME, you’re no longer operating solely as a healthcare provider – you’re also functioning as a supplier. That means you’re subject to different regulatory requirements.
Here’s how CGL insurance fits in:
- Credentialing Requirement: Medicare and many private payers require DME suppliers to carry a minimum amount of general liability coverage (often $300,000 to $1,000,000) as part of their supplier enrollment and credentialing.
- Accreditation Compliance: If your practice is seeking or maintaining DMEPOS accreditation (as required for Medicare billing), accrediting bodies like the Board of Certification/Accreditation (BOC) or the Accreditation Commission for Health Care (ACHC) will ask for proof of current CGL coverage.
- Risk Protection: In the event a patient claims injury due to defective equipment or a fall while using a brace or boot you provided, CGL helps protect your practice against lawsuits and costly settlements.
What to Look for in a CGL Policy
Not all CGL policies are created equal. When evaluating coverage, make sure your CGL policy:
- Includes product and completed operations coverage for any DME you provide
- Covers all locations where DME is dispensed
- Meets accreditation standards and insurer minimums
- Is issued by an insurer that is recognized and accepted by your accreditor and payers
Don’t Wait Until You’re Denied
Many podiatric practices discover the need for CGL insurance late in the process – after submitting DME enrollment forms or failing a credentialing audit. Don’t let this simple but critical requirement become a roadblock.
If you’re expanding your services to include DME – or already are but haven’t reviewed your liability coverage recently – now is the time. Investing in the right policy not only keeps you compliant but protects your practice and your patients.
Podiatric medical physicians have trusted PICA for their malpractice insurance for over four decades. You can get the same high-level service and high-quality coverage for your other insurance needs through ProAssurance Agency. Fill out an application today and get a quote!
Disclaimer: The information contained on the PICA Blog does not establish a standard of care, nor does it constitute legal advice. The information is for general informational purposes only. We encourage all blog visitors to consult with their personal attorneys for legal advice, as specific legal requirements may vary from state to state. Links or references to organizations, websites, or other information is for reference use only and do not constitute the rendering of legal, financial, or other professional advice or recommendations. In the event any of the information presented conflicts with the terms and conditions of any policy of insurance offered by ProAssurance Insurance Company of America, the terms and conditions of the actual policy will apply. All information contained on the blog is subject to change.
