Starting today, physicians who use a heart test made by Cambridge Heart Inc. (OTC:CAMH) along with a standard stress test will be fully reimbursed for the exams, after a decision by the Centers for Medicare & Medicaid Services allowing the reimbursement.
It’s a big win for Cambridge Heart, which suffered reimbursement rate cuts for its Microvolt T-Wave Alternans test in the past. The Tewksbury, Mass.-based firm said the latest CMS decision removes a restriction "that substantially limited reimbursement when a patient underwent an MTWA test on the same day as the patient underwent a standard cardiac stress test, echocardiography stress test, nuclear cardiac stress test, or pulmonary stress test," according to a press release.
It’s especially good news considering Cambridge Heart‘s deal with Cardiac Science Corp. (NSDQ:CSCX) to include an OEM version of the MTWA equipment with Cardiac Science’s stress test device. Cambridge Heart won 510(k) clearance from the Food & Drug Administration for the OEM version in April.
CAMH shares were up 14.81 percent, to 31 cents, in early-morning trading.