NU

New equipment

Applicable to
hcpcs

Overview

Modifier NU identifies DME purchased new from the supplier. Medicare reimburses purchased new equipment under the DMEPOS fee schedule\'s purchase rate. NU is one of three core DMEPOS purchase/rental modifiers — NU (new purchase), UE (used purchase), RR (rental). The correct modifier is required on the first claim for the equipment and determines the payment rate.

When to use

  • The supplier is dispensing brand-new equipment that has never been used by a prior beneficiary.
  • The beneficiary is purchasing the equipment outright rather than renting.
  • The item is on the DMEPOS purchase fee schedule as eligible for outright purchase.

Common mistakes

  • Using NU on capped-rental items that must be billed monthly with RR plus the appropriate rental-month modifier (KH/KI/KJ).
  • Confusing NU with UE — used equipment requires UE and is paid at 75% of the new purchase rate.

Examples

  • E0601-NU — CPAP device sold new (uncommon — CPAP is typically capped-rental with RR + KH/KI/KJ).
  • K0001-NU — Standard manual wheelchair purchased new.