Portable oxygen concentrators are small, mobile devices that condense the environment’s oxygen. They allow people to inhale more oxygen than usual.
Medicare Part B covers portable oxygen concentrators and other forms of oxygen therapy.
Oxygen concentrators are a form of durable medical equipment (DME), so Part B’s DME benefit applies. A person can pay a monthly fee to rent the oxygen concentrator from a Medicare-approved supplier.
For someone to receive coverage for oxygen therapy under Part B, a doctor must certify that the treatment is “reasonable and necessary.”
Medicare offers extensive information about how to meet this requirement in its Local Coverage Determination for oxygen equipment. Coverage depends partly on the testing results, including a blood gas study, oximetry, or overnight oximetry.
A person can qualify for a portable oxygen system by showing that they can move around the home and having a doctor perform their qualifying blood gas study while they exercise or remain awake.
Doctors may also prescribe oxygen therapy to treat or manage various conditions, including the following:
- chronic obstructive pulmonary disease (COPD)
- pneumonia
- asthma
- heart failure
- cystic fibrosis
- sleep apnea
If a person qualifies for a portable oxygen system, they must pay for this and their stationary oxygen system.
Under Medicare Part B, a person may have various out-of-pocket costs for oxygen therapy. In 2025, there is an annual deductible of $257. After a person meets their deductible, they must pay a 20% coinsurance on the rental cost of the portable oxygen concentrator.
A person must make monthly payments on their portable oxygen concentrator for 36 months. These payments cover maintenance, accessories, and repairs.
After 36 months, they may make no further payments for the rest of the equipment’s useful life. By Medicare’s definition, rented oxygen equipment has a 5-year life span.
From months 37 to 60, Medicare covers routine equipment servicing every 6 months. After month 60, a person can decide whether to continue using their current equipment or get new equipment, leading to a new 36-month rental period.
Deciding to continue using an oxygen system after its useful life may affect Medicare’s maintenance and servicing coverage.
Medicare has a search tool where users can find Medicare-approved equipment suppliers.