capped rental item and modifier need to use - KH, KI AND KJ

Capped Rental Items

Items in this category are provided on a rental basis; therefore, RR is one of the modifiers appropriate with these items.
There is an exception to the rental basis. For electric wheelchairs, suppliers must give beneficiaries the option of purchasing at the time the supplier first furnishes the item. The modifiers used with these items are:
•    BR Beneficiary has elected to rent
•    BP Beneficiary has elected to purchase

Modifiers used for capped rental items are:

•    KH First rental month
•    KI Second and third rental months
•    KJ Fourth to thirteenth rental months

For capped rental items provided prior to January 1, 2006, suppliers must give beneficiaries the option to purchase their rental equipment during the tenth continuous rental month. Beneficiaries have one month from the date the supplier makes the offer to accept the option. If the beneficiary declines, rental payments continue until the 15th month. If the beneficiary accepts the purchase option, rental will continue until 13 continuous rental months have been paid. On the first day after 13 continuous months have been paid, the supplier must transfer the title of the equipment to the beneficiary.

Modifiers used for capped rental items prior to January 1, 2006 are:

•    BR Beneficiary has elected to rent
•    BP Beneficiary has elected to purchase
•    BU Beneficiary has not informed supplier of decision after 30 days
Beginning January 1, 2006, payment for capped rental items may not exceed a period of continuous use longer than 13 months. After 13 months of rental have been paid, the supplier must transfer the title of the equipment to the beneficiary.

The BR, BP and BU modifiers are not required on most capped rental items where the first rental period began on/after January 1, 2006. They are still required, however, on PEN pumps and electric wheelchairs regardless of the date of the first rental period.