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Insurance Coverage and Medicare Criteria

CGM insurance coverage has expanded significantly following the CMS 2023 update, with Medicare, commercial insurance, and Medicaid all providing various coverage options.

Insurance Coverage and Medicare Criteria

Expanded Coverage

Insurance coverage for Continuous Glucose Monitors has expanded significantly following the CMS 2023 update (LCD L33822).

Medicare Coverage

Who Qualifies

Medicare now covers:

  • Any beneficiary with diabetes treated with insulin (no longer requires "intensive" therapy)
  • Non-insulin users with documented recurrent Level 2 or Level 3 hypoglycemia

Benefit Structure

Devices are covered under the DMEPOS (Durable Medical Equipment, Prosthetics, Orthotics, and Supplies) benefit.

Commercial Insurance

Trend Toward Pharmacy Benefits

Many commercial insurers are shifting CGM coverage from Medical/DME benefits to Pharmacy Benefits, which:

  • Simplifies access via retail pharmacies
  • Offers more predictable copays
  • Uses real-time adjudication

Prior Authorization

Most plans mirror CMS medical necessity criteria but may impose Prior Authorization (PA) requirements.

Medicaid

Coverage varies significantly by state:

  • Near-universal coverage for Type 1 diabetes
  • Growing coverage for Type 2 diabetes

Reimbursement Coding

Device and Supplies

  • HCPCS E2103: CGM Receiver
  • HCPCS A4239: Monthly Supplies

Professional Services

  • CPT 95251: Monthly analysis and interpretation of CGM data