Life Sciences

CMS delays gainsharing

Device Regulation Alert: Safety, Compliance and Reimbursement News, November 10, 2008

CMS did not include gainsharing its 2009 Medicare Physician Fee Schedule and Hospital Outpatient Prospective Payment System. Instead, the agency asked for additional public comments.

Gainsharing arrangements allow hospitals to make incentive payments and share cost savings with physicians who use less-expensive devices.

AdvaMed, the industry’s largest trade association, issued a statement in favor of the delay. Michael A. Mussallem, chairman and chief executive officer of Edwards Lifesciences and board chairman of AdvaMed, said gainsharing could compromise patient care by promoting “the use of less-expensive, older, outdated technologies when newer, better technologies might be more appropriate.”


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