The Centers for Medicare and Medicaid Services (CMS) has approved a “New Technology Add-On Payment,” also known as “NTAP” for Respicardia Inc’s remed? System, which is an implanted therapy that is clinically proven to reduce the severity of central sleep apnea, improve sleep, and enhance patients’ quality of life. CMS established the NTAP program to recognize medical technologies that substantially improve the diagnosis or treatment of Medicare beneficiaries and that are demonstrated to be inadequately paid otherwise under the DRG [diagnosis related group] system.

“We are very pleased that CMS recognizes the remed? System as a substantial clinical improvement in the available treatment options for Central Sleep Apnea,” says Peter Sommerness, president and CEO of Respicardia, in a release. “We applaud the CMS NTAP program for its critical role in providing additional hospital reimbursement and improving patient access to innovative medical technologies like the remed? System.”

The NTAP program will provide additional reimbursement on top of the standard Medicare Severity Diagnosis Related Group (MS-DRG) payment to hospitals paid under the Medicare Hospital Inpatient Prospective Payment System (PPS) and will become effective on October 1, 2018.

The remed? System received US Food and Drug Administration (FDA) approval in October 2017 and is commencing market release in a limited number of centers in the United States and Europe.