Ethics and Treatment of Home Medical Equipment Act of 1991

Ethics and Treatment of Home Medical Equipment Act of 1991 - Amends title XVIII (Medicare) of the Social Security Act to require the Secretary of Health and Human Services to establish certification standards for suppliers of durable medical equipment, ostomy bags, and supplies related to ostomy care under part B (Supplementary Medical Insurance) to assure patient safety and the availability of high-quality covered items. Requires such suppliers to meet such standards in order to be eligible for reimbursement from Medicare. Deems such suppliers accredited by the Joint Commission on the Accreditation of Healthcare Organizations or other appropriate accrediting entities to have met those standards.

Prohibits carrier forum shopping.

Modifies the prohibition against suppliers filling out certificates of medical necessity to make such prohibition applicable to items on the Secretary's list of potentially overused items.

Prohibits physician referrals to durable medical equipment companies in which the referring physician has a financial relationship.

Waives mandatory submission of claims provisions for nonparticipating suppliers of inexpensive items of durable medical equipment.

Sets limits on the Medicare reimbursement cuts mandated under the Omnibus Budget Reconciliation Act of 1990 for covered items.

Restores Medicare's monthly payment for rental cap items to ten percent per month for up to 12 months.

Provides an up-front purchase option for rental cap items in instances where the item is needed for longer than 12 months at least 75 percent of the time or where the patient is in a severe condition recognized by the Secretary.