Wednesday, March 13, 2013

Medical Device Tax and how it will impact the industry

It was announced in January that there would be a new tax on medical devices - 2.3% tax on all new devices sold in the United States. This will be challenging for many of the small and mid-sized firms who develop and deliver these devices who are already facing slim reimbursement and challenging budgets.  This has been one of the fastest growing sectors of healthcare as well as one of the most innovative.  Part of the reason for the imposed tax is the number of new patients gaining access to healthcare who will now have access to these devices increasing sales.  InMedica points out there are several ways to overcome this new burden including streamlining business unites, passing on the costs to the consumer and outsourcing the manufacturing.

This is just one of the aspects of the Affordable Care Act that will impact the industry.  At the Medical Device Pricing, Reimbursement and Market Access Forum, Peter Weber, MD, Chief Medical Officer, COCHLEAR will be examining the other aspects of change brought on by the Affordable Care Act in his presentation Anticipate the Effects of the Shift to Accountable Care.  For more information on this session and the rest of the agenda, download the brochure.  If you'd like to join us in Philadelphia, as a reader of this blog when you register to join us and mention code XP1813BLOG, you'll save 15% off the standard rate.

What do you think is the biggest impact this tax will have on the medical device industry?

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