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CMS Clarifies Criterion To Evaluate New Tech Add-On Payments In Inpatient Rule

 
• By Sue Darcey

The US Medicare agency revised and clarified its policies on how it evaluates new technology add-on payments and highlighted its new policy on payments for FDA-approved breakthrough devices, in a final 2020 Inpatient Prospective Payment System (IPPS) rule released on 5 August.

An image of a nice clock with time for new technology - Illustration
CMS made some important revisions to the way it evaluats new technology add-on payments in a new IPPS rule

The US Centers for Medicare and Medicaid Services (CMS) codified an alternative new technology add-on payment (NTAP) pathway for Food and Drug Administration-approved breakthrough devices, while updating “substantial clinical improvement” NTAP review policies, in a new Inpatient Prospective Payment System (IPPS) rule.

The changes were made to incentivize creation of new technologies to treat Medicare beneficiaries, and better help device and diagnostic sponsors understand how the agency evaluates new technology applications for the add-on payments, according to the CMS. They were released as part of the FY 2020

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