<<Disclaimer: Verify this information before applying it to your situation.>>

The California regional Medicare carrier is, in fact,
covering (reimbursing for) capsule endoscopy for the small
intestine.  The only 'catch' is that an individual must
FIRST undergo an endoscopy which is 'negative'.  See the
details listed below.

"Medicare will cover capsule diagnostic imaging endoscopy
when performed with FDA approved devices for recurrent
acute
small bowel GI bleeding or chronic occult GI bleeding under
the following conditions:
o  The source of the bleeding is unknown.
o  At least one negative conventional upper GI endoscopy
and one colonoscopy study has been performed without
adequate diagnosis.
o  Surgical or other intervention is being considered to
stop the bleeding.

Performance of capsule diagnostic imaging in these
situations may replace such other tests as multiple repeat
endoscopy, small bowel X-rays, blood scans, etc."

Andrea Levario