By Joe Heminger, Business Development Representative

The OIG listed on the 2022 workplan that they will be auditing the hospital’s medical device explants credit process and approved $50 million in funding for these audits.

To give you a quick breakdown, we have listed what you need to know.

The What

Medical device explants sometimes fail and must be replaced. Hospitals owe Medicare warranty monies for explanted items even if they do not send the explant in for review or if they do not recover the funds.

The So What

Centers for Medicare & Medicaid Services (CMS) reported that the Office of Inspector General (OIG) is currently auditing hospitals across the United States. Medical Device Explant credits are a huge focus for them. The new fine and penalty structure for non-compliance can result in a huge financial burden when hospitals are already suffering due to COVID-19.

The Price of Non-Compliance

Penalty = 3x the credit + additional fines

Designated as an Excluded Provider

The Now What

SpendMend can perform a low-cost OIG Mock Audit of the last 4 years of this high-risk low-frequency occurrence. Let us determine if your program is compliant or at risk!

For any questions about how a SpendMend Medical Device Explant Warranty Credit Review can impact your bottom line and improve your process, please do not hesitate to contact me at

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