CMS Wants to End Streamlined Path for New Technology Payments

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ARTICLE SUMMARY:

Breakthrough Devices would no longer enjoy a fast track to Medicare inpatient new technology add-on payments (NTAPs) and outpatient pass-through payments under a proposal from CMS. If finalized, the change would likely lead to a massive drop of new awards from the bonus payment programs that have grown in recent years.

Editor’s noteThe figure in the article was updated April 22 to include the number of devices proposed for FY 2027 new technology add-on payments.

The Medicare agency plans to beef up clinical evidence requirements for FDA-designated Breakthrough Devices to qualify for bonus payments.

CMS unveiled the proposal in a draft rule published April 10. If finalized, the plan would repeal an “alternative pathway” that was first established in 2021 allowing Breakthrough Devices to win hospital inpatient new technology add-on payments (NTAPs) and outpatient device pass-through payments without demonstrating “substantial clinical improvement” over existing care.

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