CVRx Announces Increased Inpatient Payment for Barostim Procedure

Rhea-AI Summary

CVRx, Inc. (NASDAQ: CVRX) announced a significant increase in inpatient payment for its Barostim procedure. The Centers for Medicare and Medicaid Services (CMS) has reassigned the procedure to MS-DRG 276 for Fiscal Year 2025, effective October 1, 2024. This reassignment increases the national average payment from the previous range of $17,000-$23,000 to approximately $43,000.

CVRx's President and CEO, Kevin Hykes, expressed appreciation for CMS's recognition of the resource requirements associated with the Barostim implant procedure. The company believes this increased reimbursement will facilitate greater access to the therapy for heart failure patients when performed in an inpatient setting.

Positive

• Significant increase in inpatient payment for Barostim procedure from $17,000-$23,000 to approximately $43,000
• Reassignment to MS-DRG 276 for FY 2025, effective October 1, 2024
• Potential for increased access to therapy for heart failure patients due to improved reimbursement

Negative

• None.

MINNEAPOLIS, Aug. 02, 2024 (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 the inpatient setting as part of the Fiscal Year (FY) 2025 Medicare Hospital Inpatient Prospective Payment System (IPPS) final rule.

In FY 2024, Barostim was assigned to MS-DRGs 252, 253, 254 with a national average payment range of $17,000-$23,000. For FY 2025, Barostim will be reassigned to MS-DRG 276, which carries a national average payment of approximately $43,000. The new payment takes effect Oct. 1, 2024.

“We applaud CMS’ consideration and recognition of the resource requirements associated with the Barostim implant procedure. We believe that reassignment to MS-DRG 276 will facilitate increased access to the therapy for patients with heart failure by establishing sufficient reimbursement for the procedure when performed in an inpatient setting,” said Kevin Hykes, President and CEO of CVRx.

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 917.497.2867
laura.oneill@finnpartners.com

Investor Contact:

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

FAQ

What is the new inpatient payment for CVRx's Barostim procedure in FY 2025?

For Fiscal Year 2025, the national average payment for CVRx's Barostim procedure has increased to approximately $43,000, following its reassignment to MS-DRG 276 by CMS.

When does the new payment for CVRX's Barostim procedure take effect?

The new payment for CVRx's Barostim procedure takes effect on October 1, 2024, at the start of Fiscal Year 2025.

How much did the inpatient payment for CVRX's Barostim procedure increase?

The inpatient payment for CVRx's Barostim procedure increased from a range of $17,000-$23,000 to approximately $43,000, nearly doubling the previous maximum payment.

What impact does the increased payment have on CVRX's Barostim therapy accessibility?

CVRx believes the increased payment will facilitate greater access to Barostim therapy for heart failure patients by establishing sufficient reimbursement for the procedure when performed in an inpatient setting.