The incidence for abdominal aortic aneurysms (AAA), a bulging, weakened area of the aorta, has led the U.S. market for AAA to increase rapidly. It is currently valued at $600 million annually and is forecasted to grow to $1.6 billion worldwide by 2015.

Until recently, in the U.S., this highly competitive market contained five companies with FDA-approved products. In late November 2013, an additional company launched an FDA-approved stent graft that includes unique label indications for aneurysms with neck angulations up to 90 degrees. With this, stent graft procedures are now approved and available for a larger patient population.

Reimbursement for endovascular abdominal aneurysm repair without major complications (MS-DRG 238) saw an increase of 5 percent from 2013 to 2014. Reimbursement when a major comorbidity or complications (MS-DRG 237) was involved saw only a slight decreased, but when considering the market basket increase this year (approximately 2.5 percent), this decrease in reimbursement becomes noteworthy.

Pricing Per Major Component

Bifurcated Main Body Graft*
Low High Average Price  
$7,250    $10,295    $9,467  
*Excludes grafts that are priced including the contralateral iliac graft

 

Contralateral Iliac Graft
Low High Average Price  
$3,500    $6,400      $4,147

Iliac Extensions
Low High Average Price  
$2,645    $4,850      $3,010

Aortic Extensions
Low High Average Price  
$2,645    $6,600      $3,588

The primary issues with current stent graft technologies are stent migration and endoleaks. The future of the AAA stent graft market is moving towards treating AAA by not only stenting, but also filling the aneurysm sac with a polymer. This will eliminate the void that is left with traditional stent grafts, which will help to dramatically reduce the chances of leaks and/or migration of the graft. This type of technology will also allow for a larger patient population to be treated with a stent graft because the current restriction of use due to aneurysm neck size will no longer be an issue. Endologix's Nellix System is the first to utilize this technology and received IDE approval by the FDA for a pivotal trial in December 2013.

Source: MD Buyline

Please note these numbers have been adjusted to exclude special deals, outliers, and unique circumstances. 

 

Publication Date: Monday, February 03, 2014