Nova Scotia Now Providing Coverage for Dexcom Continuous Glucose Monitoring Systems

Rhea-AI Summary

Dexcom announced that Nova Scotia now provides coverage for Dexcom G6 and G7 continuous glucose monitoring (CGM) systems for residents with type 1 or type 2 diabetes who use intensive insulin and meet eligibility criteria.

This is part of the province's Pharmacare programs and a new income-based Sensor-Based Glucose Monitoring Program, aimed at reducing out-of-pocket costs for diabetes management tools.

Nova Scotia joins other provinces like New Brunswick, Newfoundland and Labrador, British Columbia, Manitoba, and Prince Edward Island in offering such coverage.

Dexcom's CGM systems, including the newly introduced G7, are clinically proven to reduce A1C, improve time in range, and reduce hypoglycemic events.

Positive

• Nova Scotia's inclusion of Dexcom G6 and G7 under public coverage reduces out-of-pocket costs for diabetes patients.
• Dexcom's G7 CGM system claims the highest accuracy among CGMs available in Canada as of October 2023.
• Dexcom's CGM systems have clinical backing for reducing A1C levels, improving time-in-range, and reducing hypoglycemic events.
• The G7 sensor is the smallest and can be worn comfortably, even by children aged two and older and pregnant women.
• Dexcom has expanded its reach in Canada, with new coverage announcements from multiple provinces.

Negative

• The coverage is to residents with type 1 or type 2 diabetes who use intensive insulin and meet eligibility criteria.
• Despite new programs, many may still face difficulties in accessing advanced CGM systems due to stringent eligibility requirements.

Insights

Financial Analyst

The recent announcement by Dexcom regarding the inclusion of their Continuous Glucose Monitoring (CGM) systems under Nova Scotia's provincial healthcare coverage is a noteworthy development from a financial perspective.

Firstly, increasing insurance coverage directly influences revenue streams for Dexcom. With Nova Scotia joining other provinces like New Brunswick and British Columbia, the potential market size for Dexcom's G6 and G7 systems has expanded significantly. This can lead to an increase in sales volume, which is beneficial for the company's top line. Investors should note that this extends Dexcom's reach in Canada, an important market for medical devices due to its stable healthcare system.

Secondly, the income-based Sensor-Based Glucose Monitoring Program in Nova Scotia helps reduce out-of-pocket expenses for patients, which can drive higher adoption rates. Higher adoption not only boosts revenue but also solidifies Dexcom’s market leadership in the CGM space. The financial implication of this is clear: increased adoption can result in better economies of scale and potentially higher profit margins.

From a stock performance perspective, positive news such as this can lead to a temporary uptick in Dexcom’s stock price as investor sentiment improves. However, it’s important to observe whether this momentum is sustained over the long term. Investors should monitor quarterly earnings reports closely to see if the increased coverage translates directly to higher sales figures.

Medical Research Analyst

From a medical research standpoint, the inclusion of Dexcom's CGM systems under Nova Scotia’s healthcare programs is significant for public health outcomes. Continuous Glucose Monitoring systems like the Dexcom G6 and G7 provide real-time data on glucose levels, which is invaluable for individuals managing diabetes. The clinical benefits are well-documented: reductions in A1C levels, improved 'time in range' for glucose levels and fewer hypoglycemic events.

These systems allow for better predictive insights and more informed decisions regarding insulin administration. For instance, real-time data can alert users to impending hyperglycemic or hypoglycemic episodes, enabling timely intervention. This is particularly important for vulnerable populations such as pregnant women or young children.

Additionally, the smaller size and enhanced accuracy of the Dexcom G7 sensor make it a more user-friendly option. User adherence and satisfaction rates tend to be higher with devices that are comfortable and less intrusive, which can improve long-term health outcomes. The reduced size also means the sensor can be worn discreetly, which is a significant advantage for users who may feel self-conscious about their condition.

For healthcare providers, widespread adoption of CGM systems can lead to better patient management and reduced emergency room visits related to diabetes complications. This not only improves individual quality of life but also reduces the overall burden on the healthcare system.

Nova Scotia becomes the latest province and territory to offer access to simple and easy-to-use diabetes management solutions, helping Canadians living with diabetes take control of their health

BURNABY, British Columbia--(BUSINESS WIRE)-- Dexcom, Inc. (NASDAQ: DXCM), a global leader in real-time continuous glucose monitoring (rtCGM) for people with diabetes, today announced that residents of Nova Scotia living with either type 1 or type 2 diabetes who use intensive insulin and meet eligibility criteria now have coverage for Dexcom G6 and Dexcom G7 continuous glucose monitoring (CGM) systems.

Eligible residents living with diabetes in Nova Scotia with type 1 diabetes or type 2 diabetes using insulin may now be eligible to receive coverage for the Dexcom G6 and G7 CGM Systems (Photo: Business Wire)

Through the province’s Pharmacare programs and the new income-based Sensor-Based Glucose Monitoring Program, thousands of eligible Nova Scotia residents will now have access to funding for continuous glucose monitoring systems, helping to reduce the out-of-pocket costs for essential diabetes tools and making modern diabetes management solutions more accessible from coast-to-coast. See program details at https://beta.novascotia.ca/register-sensor-based-glucose-monitoring-program.

“We applaud the Government of Nova Scotia’s commitment to continuous glucose monitoring funding for residents living with diabetes. Access to advanced CGM systems will lessen the daily burden of diabetes management and allow those living with the condition to experience an improved quality of life,” said André Côté, Vice President and General Manager of Dexcom Canada. “We're very proud to work closely with government and private payers across Canada to advocate for the quality-of-life benefits and better health outcomes that Dexcom’s real-time continuous glucose monitoring systems provide.”

Diabetes management requires daily glucose level monitoring, which can be a significant challenge for those who live with the chronic health condition. The new CGM programs in Nova Scotia mark an important milestone for Canadians living with diabetes, as they can now access public funding options for continuous glucose monitoring systems in every province and territory.

This news is the latest in a series of provincial announcements regarding coverage eligibility for Dexcom G6 and G7 CGM systems. New Brunswick, Newfoundland and Labrador, British Columbia, Manitoba, and Prince Edward Island have recently adapted their respective provincial coverage programs to include or expand coverage for continuous glucose monitors, specifically Dexcom G6 and G7.

With more than two decades of pioneering diabetes innovation, Dexcom offers continuous glucose monitoring options that are clinically proven to reduce A1C, improve time in range, and reduce hypoglycemic events¹-6. The newest introduction to Canada – Dexcom G7 – is the most accurate CGM system available^*,2 and provides reliable glucose numbers 24/7 so Canadians make confident diabetes management decisions. The G7 features the smallest Dexcom sensor ever that can be worn comfortably and discreetly and is suitable for people living with all types of diabetes ages two and older, including those who are pregnant.

To learn more about Dexcom G6 or Dexcom G7, or to inquire about additional coverage options, please visit dexcom.com or ask your healthcare provider.

About Dexcom, Inc.

Dexcom, Inc. empowers people to take control of diabetes through innovative continuous glucose monitoring (CGM) systems. Headquartered in San Diego, California in the United States, and with operations in Canada, Dexcom has emerged as a leader in diabetes care technology. By listening to the needs of users, caregivers, and providers, Dexcom simplifies and improves diabetes management around the world. For more information about Dexcom CGM, visit www.dexcom.com.

¹ Beck RW, et al. JAMA. 2017;317(4):371-378.
² Beck RW, et al. Ann Intern Med. 2017;167(6):365-374.
³ Martens T, et al. JAMA. 2021;325(22):2262-2272.
⁴ Laffel LM, et al. JAMA. 2020;323(23):2388-2396.
⁵ Welsh JB, et al. J Diabetes Sci Technol. 2022:19322968221099879.
⁶ Heinemann L, et al. Lancet 2018;391 :1367-77.
⁷ Dexcom, data on file, 2023

* When compared with CGM systems commercially available in Canada as of October 2023.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240603553579/en/

Media Contact:

Laura Andrejicka, 519.560.7860

Veritas Communications

andrejicka@veritasinc.com

Source: Dexcom, Inc.

FAQ

What recent announcement did Dexcom make about Nova Scotia?

Dexcom announced that Nova Scotia now provides coverage for its G6 and G7 continuous glucose monitoring systems for residents with diabetes who meet certain criteria.

Which Dexcom CGM systems are covered in Nova Scotia?

Nova Scotia now covers Dexcom G6 and G7 continuous glucose monitoring systems for eligible residents.

Who is eligible for Dexcom CGM coverage in Nova Scotia?

Residents with type 1 or type 2 diabetes who use intensive insulin and meet eligibility criteria are eligible for coverage.

How does the new coverage in Nova Scotia impact diabetes management?

The coverage reduces out-of-pocket costs for CGM systems, making diabetes management more accessible and improving quality of life.

What are the benefits of Dexcom G7 CGM system?

The Dexcom G7 is the most accurate CGM available in Canada, reduces A1C levels, improves time in range, and reduces hypoglycemic events.