The New Technology Add-on Payment (NTAP) program is a key Medicare policy that provides temporary supplemental payments to incentivize hospitals to use innovative new technologies. Examining the distribution of NTAP billing across hospitals offers valuable insights into the landscape of NTAP adoption and the extent to which new technologies are integrated into inpatient care. Monitoring adoption patterns can help manufacturers identify potential gaps in billing and underutilization.
For our fourth and final +Insight in this NTAP series, we analyzed Medicare Inpatient Prospective Payment System (IPPS) claims data from October 1, 2023, through September 30, 2024. Our analysis reveals that large teaching hospitals, particularly those located in the northeastern United States (including the New England and Mid-Atlantic regions), exhibit significantly higher NTAP use. These patterns may reflect differences in clinical adoption and billing practices driven by early exposure to emerging technologies through clinical trials or strategic launch decisions by manufacturers targeting these hospitals.
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