Posted by Michael Wonder on 29 Oct 2018
Medical device makers shut out of value-based care without kickback rule change
26 October 2018 - The medical device industry is pushing for a change in the federal anti-kickback law to allow companies to fully participate in the shift away from fee-for-service medicine to value-based care.
The device industry wants changes known as “safe harbours” designed to prevent medical device makers from running afoul of healthcare fraud laws that impose penalties if individuals knowingly pay for or induce a sale or referral. Such rules are applied to medical care providers, insurers and other companies that have their services, products and devices covered by government health insurance.
The value-based care form of payment rewards medical care providers by compensating doctors and hospitals that achieve the best health outcomes. That is in contrast to the traditional fee-for-service form of payment that is based on volume of medical care delivered and is known to increase healthcare costs in the form of unnecessary tests and procedures.
