Medicaid coverage for CPAP, oxygen and DME (2026)

3 min read By HHZ Editorial Next review

Federal Medicaid rules (42 CFR 440.70) include medical supplies, equipment and appliances in the home health benefit. States may use preapproved equipment lists but can't absolutely exclude items. They must offer a process to request unlisted equipment and tell you of your right to a fair hearing if denied. Your need must be reviewed by a practitioner annually. Coverage isn't limited to what Medicare covers, but each state sets its own criteria and suppliers, so check with your state program or plan.

Medicaid is run by each state within federal rules, so CPAP or oxygen coverage in one state can look different in another. Here’s what the federal rule guarantees, and how to work your state’s process.

The federal rule: 42 CFR 440.70

Medicaid’s home health services include “medical supplies, equipment, and appliances suitable for use in any setting in which normal life activities take place” (42 CFR 440.70). Key points from the regulation:

ProvisionWhat it says
SuppliesHealth care items that are consumable or disposable, or can’t withstand repeated use by more than one person, required for a medical disability, illness or injury
Equipment and appliancesPrimarily and customarily used for a medical purpose, generally not useful without a disability, illness or injury, withstand repeated use, can be reusable or removable
Not limited to Medicare’s listState coverage “is not restricted to the items covered as durable medical equipment in the Medicare program”
Annual reviewNeed must be reviewed by a physician or other licensed practitioner annually; further review case by case
Preapproved listsAllowed for administrative ease, but no absolute exclusions
Requests for unlisted itemsStates must have a process using reasonable, specific criteria
DenialsThe state must inform you of your right to a fair hearing

How CPAP and oxygen typically fit

CPAP machines, masks and supplies, and home oxygen equipment all fit the federal definitions of equipment and supplies above. The specifics, including whether prior authorization is needed, adherence requirements, rental vs purchase, and replacement schedules, are set by your state or your Medicaid managed care plan. HHZ hasn’t compiled state-by-state criteria; check your state’s provider manual or member handbook.

Steps to get CPAP or oxygen through Medicaid

StepWhat to do
1See a Medicaid-enrolled clinician; get evaluated and tested (home vs in-lab sleep test)
2Ask which DME suppliers are enrolled with your state Medicaid or plan
3The supplier or clinician submits the order and any prior authorization
4Keep copies of your sleep test, prescription and any denial letters
5If denied, ask for the written reason and request a fair hearing if you disagree (federal rule)
6Plan for the annual practitioner review of your continuing need

If the item isn’t on your state’s list

The federal rule says a state can’t refuse simply because an item isn’t on its preapproved list. It must have a request process with reasonable, specific criteria (42 CFR 440.70). Ask your caseworker or plan how to submit an exception request, and include your clinician’s documentation of medical need.

Medicaid vs Medicare for DME

MedicaidOriginal Medicare
Who sets criteriaEach state, within federal rulesNational and DME MAC policies
Covered itemsNot restricted to Medicare’s DME listMedicare DME definitions
Your costSet by your state; check its cost-sharing rulesUsually 20% after the Part B deductible (Medicare.gov)
AppealFair hearingMedicare appeals process

Verdict

Medicaid’s federal rules protect you more than you might expect. Equipment isn’t limited to Medicare’s list, unlisted items can be requested, and denials come with fair-hearing rights. The details depend on your state, so get your state’s DME rules and enrolled supplier list, keep your documentation, and appeal in writing if you’re denied.

Related: Medicare Advantage vs Original Medicare for DME, Medicare CPAP coverage, Medicare home oxygen coverage, VA CPAP benefits.

See also: Medicare Savings Programs and DME.

Frequently asked questions

Does Medicaid cover CPAP machines?
Medicaid covers medical equipment and supplies as part of its home health services benefit under federal rules (42 CFR 440.70). Each state runs its own program, so the criteria, prior authorization and approved suppliers for CPAP vary. Check your state Medicaid agency or managed care plan.
Can a state refuse to cover equipment that isn't on its list?
Federal rules say states can keep a list of preapproved equipment for administrative ease, but can't have absolute exclusions. They must have a process and reasonable, specific criteria for requesting items not on the list, and must tell you of your right to a fair hearing if they deny a request.
Is Medicaid DME coverage the same as Medicare's?
No. The federal rule says state Medicaid coverage of equipment and appliances isn't restricted to the items Medicare covers as DME. Criteria and suppliers also differ by state.
How often does Medicaid review my need for equipment?
Federal rules require a physician or other licensed practitioner to review your need for medical supplies, equipment and appliances annually. Further review frequency is decided case by case, depending on the item.
I have Medicare and Medicaid. Who pays for my CPAP?
Coordination for dual-eligible people depends on your coverage and state. HHZ hasn't verified a single rule to state here. Ask your Medicare plan or state Medicaid office, and use suppliers that work with both.