Viemed Provides Update Concerning Successful Appeal of Office of Inspector General Findings
May 16 2022 - 6:30AM
Viemed Healthcare, Inc. (the “
Company” or
“
Viemed”) (NASDAQ:VMD and TSX:VMD.TO), a home
medical equipment supplier and the nation’s largest independent
provider of ventilation that provides post-acute respiratory care
services, is providing an update concerning the Company’s appeal of
claims related to findings from the U.S. Department of Health and
Human Services Office of Inspector General (“OIG”) in a May 2021
report (“Report”). Based on an objective and independent review of
patients’ medical records, the Centers for Medicare and Medicaid
Services’ (“CMS”) Qualified Independent Contractor (“QIC”)
responsible for evaluating the Company’s Reconsideration appeals
determined that approximately 77% of the claims it reviewed were
medically necessary and properly payable under Medicare rules and
regulations, overturning OIG’s and CMS’s initial recommendations
and determinations.
“The success of our latest round of appeals is
an extremely positive development for patients and their families
who depend on payors to hold up their end of the health care
delivery network,” said Casey Hoyt, Viemed’s CEO. “We
wholeheartedly believe in protecting and advancing the rights of
these patients to have access to the care prescribed by qualified
licensed physicians. As a leader in the respiratory care industry,
we will continue to support responsible rulemaking and other
initiatives to ensure that the best care remains available to those
in need.”
In its Report, the OIG alleged that 98% of
sampled claims in an audit of the Company’s non-invasive
ventilation patients did not comply with Medicare requirements and
recommended that CMS recoup funds. Through the statutory appeals
process, the Company filed its Reconsideration appeals to the QIC
in November 2021 seeking an objective and independent review of the
OIG and CMS findings.
Because the initial overpayment determinations
utilized OIG’s statistical extrapolation based on a 98% failure
rate, the QIC’s decisions stated that any remaining overpayment
amounts will need to be recalculated. While the results of the
latest appeals significantly reduce the range of possible losses
for Viemed, the Company awaits communication of recalculated
overpayment amounts, which may require further appeals.
ABOUT VIEMED HEALTHCARE, INC.
Viemed is a provider of in-home medical
equipment and post-acute respiratory healthcare services in the
United States. Viemed’s service offerings are focused on effective
in-home treatment with clinical practitioners providing therapy and
counseling to patients in their homes using cutting edge
technology. Visit our website at www.viemed.com.
For further information, please contact:
Glen AkselrodBristol
Capital905-326-1888glen@bristolir.com
Todd ZehnderChief Operating OfficerViemed
Healthcare, Inc.337-504-3802investorinfo@viemed.com
Forward-Looking Statements
Certain statements contained in this press
release may constitute “forward-looking statements” within the
meaning of the U.S. Private Securities Litigation Reform Act of
1995 or “forward-looking information” as such term is defined in
applicable Canadian securities legislation (collectively,
“forward-looking statements”). Often, but not always,
forward-looking statements can be identified by the use of words
such as “plans”, “expects”, “is expected”, “budget”, “potential”,
“scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”,
“believes”, or “projects”, or the negatives thereof or variations
of such words and phrases or statements that certain actions,
events or results “will”, “should”, “may”, “could”, “would”,
“might” or “will be taken”, “occur” or “be achieved” or the
negative of these terms or comparable terminology. All statements
other than statements of historical fact, including those that
express, or involve discussions as to, expectations, beliefs,
plans, objectives, assumptions or future events or performance,
including the anticipated reduction in the range of possible losses
for the Company and the Company’s plans to continue to pursue the
unfavorable aspects of the QIC’s decisions through appeals, are not
historical facts and may be forward-looking statements and may
involve estimates, assumptions and uncertainties that could cause
actual results or outcomes to differ materially from those
expressed in the forward-looking statements. Such statements
reflect the Company's current views and intentions with respect to
future events, and current information available to the Company,
and are subject to certain risks, uncertainties and assumptions.
Many factors could cause the actual results, performance or
achievements that may be expressed or implied by such
forward-looking statements to vary from those described herein
should one or more of these risks or uncertainties materialize.
These factors include, without limitation: the general business,
market and economic conditions in the regions in which the Company
operates; the impact of the COVID-19 pandemic and the actions taken
by governmental authorities, individuals and companies in response
to the pandemic on our business, financial condition and results of
operations, including on the Company's patient base, revenues,
employees, and equipment and supplies; significant capital
requirements and operating risks that the Company may be subject
to; the ability of the Company to implement business strategies and
pursue business opportunities; volatility in the market price of
the Company's common shares; the Company’s novel business model;
the risk that the clinical application of treatments that
demonstrate positive results in a study may not be positively
replicated or that such test results may not be predictive of
actual treatment results or may not result in the adoption of such
treatments by providers; the state of the capital markets; the
availability of funds and resources to pursue operations;
reductions in reimbursement rates and audits of reimbursement
claims by various governmental and private payor entities;
dependence on few payors; possible new drug discoveries; dependence
on key suppliers and the recall of certain Royal Philips BiPAP and
CPAP devices and ventilators that we distribute and sell; granting
of permits and licenses in a highly regulated business;
competition; low profit market segments; disruptions in or attacks
(including cyber-attacks) on the Company's information technology,
internet, network access or other voice or data communications
systems or services; the evolution of various types of fraud or
other criminal behavior to which the Company is exposed; the
failure of third parties to comply with their obligations;
difficulty integrating newly acquired businesses; the impact of new
and changes to, or application of, current laws and regulations;
the overall difficult litigation and regulatory environment;
increased competition; changes in foreign currency rates; increased
funding costs and market volatility due to market illiquidity and
competition for funding; critical accounting estimates and changes
to accounting standards, policies, and methods used by the Company;
the Company’s status as an emerging growth company; and the
occurrence of natural and unnatural catastrophic events or health
epidemics or concerns, such as the COVID-19 pandemic, and claims
resulting from such events or concerns; as well as those risk
factors discussed or referred to in the Company’s disclosure
documents filed with the U.S. Securities and Exchange Commission
(the “SEC”) available on the SEC’s website at www.sec.gov,
including the Company’s most recent Annual Report on Form 10-K and
Quarterly Report on Form 10-Q, and with the securities regulatory
authorities in certain provinces of Canada available at
www.sedar.com. Should any factor affect the Company in an
unexpected manner, or should assumptions underlying the
forward-looking statements prove incorrect, the actual results or
events may differ materially from the results or events predicted.
Any such forward-looking statements are expressly qualified in
their entirety by this cautionary statement. Moreover, the Company
does not assume responsibility for the accuracy or completeness of
such forward-looking statements. The forward-looking statements
included in this press release are made as of the date of this
press release and the Company undertakes no obligation to publicly
update or revise any forward-looking statements, other than as
required by applicable law.
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