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Inspector General: Physician-Supplied Spinal Devices Associated With More Surgeries, Potential Cost Increase

A study by the HHS Office of Inspector General finds that use of spinal devices supplied by physician-owned distributors may lead to an increase in spine surgeries and increased costs to Medicare.

The use of spinal devices supplied by physician-owned distributors in spinal fusion surgeries billed to Medicare is prevalent, and the presence of PODs may be contributing to an increase in spine surgeries and may over time increase costs to Medicare, according to a report from the HHS Office of Inspector General.

The Oct. 24 report, “Physician-Owned Distributors of Spinal Devices: Overview of Prevalence and Utilization,” found that PODs supplied devices used in nearly one-fifth of spinal fusion surgeries billed...

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