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Reimbursement

MDMA continues to work with the Centers for Medicare and Medicaid Services (CMS) and Congress to ensure that medical devices are reimbursed at adequate levels. Unfortunately, coverage, coding, and payment processes remain a difficult challenge that manufacturers have to surmount.

MDMA believes that immediate action is needed to ensure that Medicare reimbursement rates accurately reflect hospitals' true cost of performing procedures that utilize innovative medical devices. We have urged CMS to utilize (and hold confidential) third party data submitted by manufacturers, physicians, and hospitals to develop more accurate estimates of device acquisition costs and to use those estimates to develop new rates. We also have worked with Congress to advance legislative proposals that would ease the path to market for new devices, including preservation of a strong local coverage process, more adequate payments for new inpatient and outpatient technologies, and coverage for clinical trials. In meeting with legislators and their staffs or drafting comments to CMS, MDMA seeks to ensure that patients have access to the best and latest innovative products and to ensure that Medicare fosters innovation, rather than stifles it.

In addition to our advocacy efforts, we serve as a reliable source of information for our membership on reimbursement issues. We continue to hold our Annual Reimbursement and Health Policy conferences, which are widely attended. In addition, with regularly scheduled email updates and monthly conference calls specific to Medicare, we provide members with legislative and regulatory updates. We encourage a two-way flow of information, and most of our policy initiatives are concerns that have been brought to us by individual members.

What is MDMA doing?

MDMA assists its members' efforts to improve the health of Medicare beneficiaries by facilitating the introduction of safe and effective medical technologies into clinical practice. By working with the Centers for Medicare and Medicaid Services (CMS) and Congress, we have made significant progress over the past several years - such as achieving positive improvements in coverage for clinical trials, payment for new technologies, and stabilizing reimbursement for critical devices under the hospital outpatient prospective payment system. We also have worked with lawmakers to advance legislative proposals that would ease the path to market for new devices, including preservation of a strong local coverage process.

01/27/2012

MDMA recently submitted comments with the Centers for Medicare & Medicaid Services (CMS) about their efforts on Coverage with Evidence Development (CED).
 
"MDMA supports CMS's efforts to improve the CED process to reduce barriers to innovation and improve health outcomes for Medicare beneficiaries," wrote Thomas Novelli, Vice President of Government Affairs for MDMA. "Our primary concern is that such efforts do not inadvertently limit patient access to advanced medical...

01/12/2012

 

In one of the first decisions for what is expected to be a uniquely challenging year for reimbursement policies, the Medicare Payment Advisory Commission (MedPAC) recommended that Medicare payments for hospital inpatient and outpatient care in fiscal 2013 be increased by 1 percent.

The commission also voted to recommend that Medicare lower payments to hospital outpatient departments for evaluation and management services so that they are equal to the reimbursements for...

10/20/2011

CMS issued its final rule for accountable care organizations (ACOs) today, and various stakeholders are providing mixed reactions.
 
"While we continue to examine this rule, it appears that these regulations could thwart what the Affordable Care Act was intended to accomplish:  ensuring patients have access to innovative and life saving therapies and technologies," said MDMA President and CEO Mark Leahey.  "There also appears to be perverse incentives for physicians and...

06/21/2011

MDMA submitted comments to the Centers for Medicare and Medicaid Services (CMS) for the FY2012 proposed rule for the Inpatient Prospective Payment System (IPPS). The proposed rule on IPPS affects most reimbursement for items, services, and procedures under the Medicare inpatient system. The proposal calls for an overall negative payment update under the system.

MDMA noted that we continue to have concerns over proposals for new-technology add-on payments.

“Ensuring that new...

02/03/2011

MDMA submitted comments this week to the Centers for Medicare and Medicaid Services (CMS) to address the problems with “payment lag” for new and innovative medical technologies.

MDMA highlighted that adequate payment through a consistent and fair application of new-technology add-on rules is essential to continued improvements in patient care.

To read the full comments, click on the link below.

12/16/2010

MDMA today submitted comments to Dr. Donald Berwick, Administrator of the Centers for Medicare and Medicaid Services (CMS), and Dr. Margaret Hamburg, Commissioner of the Food and Drug Administration (FDA), regarding the “parallel review” proposal for medical devices.  The intent of a parallel review is to reduce the time between FDA market approval and the CMS national coverage determinations (NCDs).

Mark Leahey, President and CEO of MDMA, noted that while the intent of the...

11/09/2010

MDMA's 13th Annual Coverage, Reimbursement and Health Policy Conference was a huge success with over 80 guests from throughout the country participating in what has become a must-attend event.  The conference included interactive breakout sessions that addressed real-life reimbursement challenges, and a presentation by CMS Senior Advisor Mandy Krauthamer Cohen MD, MPH.

Dr. Cohen conducted a very informative Q&A session following her presentation that provided some unique...

11/04/2010

This week, the Centers for Medicare and Medicaid Services released the CY 2009 Outpatient Prospective Payment System and Physician Fee Schedule Final rules.  The final OPPS rule includes a hospital market basket update of 2.6% less the statutory 0.25% reduction, yielding a 2.35% net increase in payments.  In addition, CMS expects payments in OPPS to increase by $3.2 billion for 2011.

MDMA is currently analyzing the rule and will discuss during the next Reimbursement Working...

10/27/2010

The Wall Street Journal recently reported on some of the peculiarities and unique approach the Relative Value Scale Update Committee (RUC) uses in setting reimbursements for Medicare.  The story noted that the committee, which includes 23 medical-specialty society slots, does not include several areas of medical practice, such as oncologists and gastroenterologists.  This has lead to discourse over the RUC's role in determining payments out of the $500 billion Medicare program....

09/16/2010

The U.S. House of Representatives’ Committee on Energy and Commerce held a hearing this week to examine the conception and implementation of the competitive bidding program under Medicare. The hearing, entitled “Medicare’s Competitive Bidding Program for Durable Medical Equipment: Implications for Quality, Cost and Access” also looked at the implementation of the Round One Re-Bid, and its potential effects on patients, providers, and physicians.

Specifically, the hearing focused on...