BALTIMORE--CMS has announced a new oxygen code for portable concentrators that also function as stationary units.

According to a recent CMS bulletin, "Code K0671 describes a portable oxygen concentrator system and is to be used when billing Medicare for the portable equipment add-on fee for patients using lightweight oxygen concentrators that can function as both the patient's stationary equipment and portable equipment."

"This is great news, especially for providers," said Kathy Odell, CEO of Santa Barbara, Calif.-based Inogen. "Credit should be given to each of the DMERCs and the SADMERC who demonstrated a willingness to evaluate an emerging oxygen technology within a rapidly changing marketplace."

The company's Inogen One will be covered by the new "K" code, which providers can begin using April 1. "K0671 is used in combination with E1390 to identify and insure appropriate coverage of both the stationary and portable applications of the oxygen system," according to Inogen.

The company began shipping the Inogen One in October and, in December, first received word from CMS that the product met the criteria for both an oxygen concentrator and a portable gaseous oxygen system as defined by the DMERC Policy for Oxygen and Oxygen Equipment. Based on that guidance, providers were instructed to bill for the product using both E1390 for the stationary component and E0431 for the portable add-on until the new code goes into effect.