The National Health Insurance Administration issued the “Reply to Recommendation No. 3298 of National People’s Congress” on March 4, in which the Administration agrees to further improve the payment system of Diagnosis Related Groups (DRGs) which exclude the innovative products.
In the Reply, the National Health Insurance Administration gives support to local medical insurance departments to pilot the CHS-DRG exclusion payment. For example, Beijing will exclude drugs, medical devices and diagnostics that meet certain conditions in the payment of CHS-DRG system.
The Administration also pointed out that in the process of centralized procurement, medical institutions determine the demand according to historical usage, clinical use and medical technology progress, and “set aside market space, outside of centralized procurement, for innovative products”.
In July 2022, the Beijing Municipal Medical Insurance Bureau issued a notice proposing that innovative drugs, medical devices, and medical service items can be paid separately without DRG.
DRG/DIP covers drugs and consumables into the operating costs of hospitals in the form of package charging, forcing hospitals to reduce costs and control consumables usage. If innovative drugs and devices are subject to DRG, doctors do not want to use them which will often increase the cost.
From 2014 to 2022, the NMPA approved a total of 189 innovative medical devices. In 2022 alone, it approved the 55 innovative devices, an increase of 57.1% compared with 2021.
- SEO Powered Content & PR Distribution. Get Amplified Today.
- Platoblockchain. Web3 Metaverse Intelligence. Knowledge Amplified. Access Here.
- Source: https://chinameddevice.com/diagnosis-related-groups-drgs/