Germany’s second largest health insurer withdraws appeal with Federal Social Court, accepts prior ruling of exoskeletons as direct disability compensation

Rhea-AI Summary

ReWalk Robotics Ltd. (Nasdaq: RWLK) announced a significant legal decision in Germany, where BARMER accepted a state court ruling classifying exoskeletons as direct disability compensation. This ruling ensures that individuals with spinal cord injuries can now more easily obtain ReWalk exoskeletons, enhancing their mobility and quality of life. CEO Larry Jasinski highlighted the potential positive impact this legal precedent will have on the spinal cord injury community, allowing greater access to these innovative technologies.

Positive

• Legal ruling classifies exoskeletons as direct disability compensation, ensuring easier access for eligible individuals.
• BARMER's acceptance of the ruling enhances the market potential for ReWalk exoskeletons in Germany.

Negative

• None.

Precedent set for all future cases as State Court verdict is legally binding and enforceable

Following the outcome of this legal dispute, eligible paraplegics in Germany have an easier pathway to be provided with a ReWalk exoskeleton going forward

MARLBOROUGH, Mass. and BERLIN, Nov. 11, 2022 (GLOBE NEWSWIRE) -- ReWalk Robotics Ltd. (Nasdaq: RWLK) ("ReWalk" or the "Company"), today welcomed the decision by BARMER to accept the prior ruling from the state court that exoskeletons are considered as direct disability compensation and withdraw the pending case at the federal level shortly before the hearing. This outcome means that an eligible insured person with spinal cord injury (SCI) has a legal basis for the supply of an exoskeleton as an orthopedic aid for direct disability compensation in Germany, ReWalk’s largest market for exoskeletons.

In the precedent ruling, the court determined that an exoskeleton device directly compensates for the loss of abilities for the spinal cord injured individual, such as the ability to stand, walk, and ascend or descend stairs and curbs. The definition of direct disability compensation applies to medical aids which replace failed and impaired bodily functions to the extent that the person using them is on par with people without disabilities. In this context, the provision of an advanced technical aid, such as an exoskeleton, can be provided to the medically eligible insured individual, regardless of any other medical aids that have previously been supplied.

“The successful conclusion of this legal dispute identifying the exoskeleton as direct disability compensation changes the landscape for the eligible paralyzed community,” stated Larry Jasinski, CEO of ReWalk. “The German healthcare system has led the way in its adoption of exoskeletons for spinal cord injured individuals. We expect that this acceptance of the prior ruling will enable medically eligible members of the SCI community to access exoskeleton technology in a more efficient manner.”

“We anticipate that today’s events will have immense significance for paraplegics in Germany. The precedent set by the state court is enforceable and legally binding and will help ensure that eligible individuals with spinal cord injuries have a legal basis to obtain this technology,” said Professor Thomas Ratajczak, legal representative for the plaintiff in this case.

The plaintiff, Lars Vinken, stated, “After seven years of waiting to walk in an exoskeleton, I am excited that BARMER will now provide me with a ReWalk. It is of great value to know that other paraplegics will now have easier access to this technology. To be supplied with an exoskeleton and be able to stand up and walk again at any time opens new horizons for me.”

For more information on ReWalk Robotics and the ReWalk exoskeleton, visit rewalk.com

About ReWalk Robotics Ltd.
ReWalk Robotics Ltd. develops, manufactures and markets wearable robotic exoskeletons for individuals with lower limb disabilities as a result of SCI or stroke. ReWalk’s mission is to fundamentally change the quality of life for individuals with lower limb disability through the creation and development of market leading robotic technologies. Founded in 2001, ReWalk has headquarters in the U.S., Israel and Germany. For more information on the ReWalk systems, please visit rewalk.com

ReWalk® and ReStore® are registered trademarks of ReWalk Robotics Ltd. in the United States and other jurisdictions.

Forward-Looking Statements

In addition to historical information, this press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Such forward-looking statements may include projections regarding ReWalk's future performance and other statements that are not statements of historical fact and, in some cases, may be identified by words like "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "future," "will," "should," "would," "seek" and similar terms or phrases. The forward-looking statements contained in this press release are based on management's current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of ReWalk's control. Important factors that could cause ReWalk's actual results to differ materially from those indicated in the forward-looking statements are more fully discussed in ReWalk’s periodic filings with the Securities and Exchange Commission (“SEC”), including the risk factors described under the heading "Risk Factors" in ReWalk's annual report on Form 10-K and 10-K/A for the year ended December 31, 2021 filed with the SEC and other documents subsequently filed with or furnished to the SEC. Any forward-looking statement made in this press release speaks only as of the date hereof. Factors or events that could cause ReWalk's actual results to differ from the statements contained herein may emerge from time to time, and it is not possible for ReWalk to predict all of them. Except as required by law, ReWalk undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.

ReWalk Media Relations:
John Tomlin
E: media@rewalk.com

ReWalk Investor Contact:
Almog Adar
Director of Finance
ReWalk Robotics Ltd.
T: +972-4-9590130 
E: investorrelations@rewalk.com

FAQ

What did the recent court ruling mean for ReWalk Robotics (RWLK)?

The court ruling allows individuals with spinal cord injuries in Germany to obtain ReWalk exoskeletons as direct disability compensation, enhancing access to mobility technology.

How does the BARMER decision impact RWLK's market in Germany?

The BARMER decision expands the legal basis for providing exoskeletons, potentially increasing ReWalk's sales and market share in Germany.

What are the implications of the legal precedent set in Germany for RWLK?

The precedent set by the state court is legally binding, making it easier for eligible paraplegics to receive ReWalk's exoskeletons, which can significantly impact sales.

Who benefits from the ruling regarding exoskeletons in Germany?

Eligible individuals with spinal cord injuries in Germany will benefit from the ruling, allowing them greater access to ReWalk's exoskeleton technology.