Medicare aims to level reimbursement playing field in fight between Elekta and Varian

July 11, 2013 by Arezu Sarvestani

A new reimbursement proposal from the Center for Medicare & Medicaid Services would level payments for brain tumor radiosurgery performed with technology from either Swedish Elekta and California-based Varian.

Varian logo
Elekta logo

A new proposal from the Centers for Medicare & Medicaid Services would help level at least 1 battlefield between radiosurgery devices makers Elekta (STO:EKTA B) and Varian Medical Systems (NYSE:VAR).

The reimbursement proposal would offer equal payment to healthcare providers conducting single-treatment radiosurgery for brain tumors, whether the procedure is conducted with Elekta's Gamma Knife or Varian's Linac.

The decision would reverse a 2012 measure, supported by Senate Majority Leader Harry Reid (D-Nev.), which would cut payments for Elekta's technology.

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The new proposal would apply only to single-session treatments with either system, offering clinics $8,500 in reimbursement in 2014.