CMS Increases Outpatient Payment for Barostim Procedure

Rhea-AI Summary

CVRx, Inc. announced that the Centers for Medicare and Medicaid Services (CMS) has reassigned the Barostim implant procedure to New Technology APC 1580 in the 2024 Medicare Hospital Outpatient Prospective Payment System (OPPS) final rule. The new payment amount is $45,000, effective from January 1, 2024. This reassignment is expected to increase access to the therapy for Medicare patients with heart failure.

Positive

• The reassignment of the Barostim implant procedure to New Technology APC 1580 in the 2024 OPPS final rule is a positive development for CVRx. The average payment amount for the procedure has increased from $29,000 to $45,000, providing facilities with sufficient reimbursement.
• The increased payment amount is expected to facilitate increased access to the therapy for Medicare patients with heart failure, which could lead to higher demand for CVRx's products and potentially drive revenue growth.
• The support of the cardiology physician community in sharing positive Barostim patient experiences is acknowledged by CVRx, indicating a favorable perception of the therapy among healthcare professionals.

Negative

• None.

MINNEAPOLIS, Nov. 03, 2023 (GLOBE NEWSWIRE) -- CVRx, Inc. (NASDAQ: CVRX) (“CVRx”), a commercial-stage medical device company, announced today that Centers for Medicare and Medicaid Services (CMS) has reassigned the Barostim implant procedure for procedures performed in the outpatient setting as part of the 2024 Medicare Hospital Outpatient Prospective Payment System (OPPS) final rule.

In the 2024 OPPS final rule, Barostim was reassigned to New Technology APC 1580, which carries an average payment amount of $45,000. The new payment takes effect January 1, 2024. In 2023, Barostim was assigned to APC 5465, which carries an average payment amount of $29,000, with a Transitional Pass-Through Payment set to expire on December 31, 2023.

“We sincerely appreciate the consideration taken by CMS of the resource requirements associated with the Barostim implant procedure. We believe that reassignment to APC 1580 will facilitate increased access to the therapy for Medicare patients with heart failure by offering facilities sufficient reimbursement for the procedure,” said Nadim Yared, President and CEO of CVRx. “We are grateful for the support of the cardiology physician community in sharing their positive Barostim patient experience.”

About CVRx, Inc.
CVRx is focused on the development and commercialization of the Barostim™ System, the first medical technology approved by FDA that uses neuromodulation to improve the symptoms of heart failure. Barostim is an implantable device that delivers electrical pulses to baroreceptors located in the wall of the carotid artery. Baroreceptors activate the body’s baroreflex, which in turn triggers an autonomic response to the heart. The therapy is designed to restore balance to the autonomic nervous system and thereby reduce the symptoms of heart failure. Barostim received the FDA Breakthrough Device designation and is FDA-approved for use in heart failure patients in the U.S. It has also received the CE Mark for heart failure and resistant hypertension in the European Economic Area. To learn more about Barostim, visit www.cvrx.com.

Media Contact:
Laura O’Neill
Finn Partners
402-499-8203
laura.oneill@finnpartners.com

Investor Contact:
Mark Klausner or Mike Vallie
ICR Westwicke
443.213.0501
ir@cvrx.com

FAQ

What did CVRx announce?

CVRx announced that the Centers for Medicare and Medicaid Services (CMS) has reassigned the Barostim implant procedure for procedures performed in the outpatient setting as part of the 2024 Medicare Hospital Outpatient Prospective Payment System (OPPS) final rule.

What is the new payment amount for the Barostim implant procedure?

The new payment amount for the Barostim implant procedure is $45,000, effective from January 1, 2024.

What was the previous payment amount for the Barostim implant procedure?

The previous payment amount for the Barostim implant procedure was $29,000.

What is the expected impact of the reassignment on access to therapy?

The reassignment is expected to facilitate increased access to the therapy for Medicare patients with heart failure.

What is the significance of the cardiology physician community's support?

The cardiology physician community's support indicates a positive perception of the therapy among healthcare professionals.