Ocular Therapeutix’s ophthalmic device gains Medicare coverage early

Ocular Therapeutix (NSDQ:OCUL) said today that the Centers for Medicare and Medicaid Services has assigned a specific and permanent reimbursement J-code for its Dextenza ophthalmic insert, which is approved for the treatment of ocular inflammation and pain following ophthalmic surgery.

The code assigned to Dextenza through the Healthcare Common Procedure Coding System will become effective on October 1, 2019.

Dextenza is designed to deliver drugs for up to 30 days following treatment in a physician’s office. The Bedford, Mass.-based company is positioning its product as a way to eliminate the current standard of care for post-surgical pain – topical steroid eye drops.

“We are pleased that CMS has issued a unique J-code for Dextenza, and has done so one full quarter earlier than expected,” said Ocular Therapeutics’ president & CEO Antony Mattessich in a news release. “Issuance of the J-code is important for the company as it now enables reimbursement in the office setting as well as in the surgical center, providing increased flexibility to physicians on how they use the product. We anticipate that having a J-code assigned will facilitate reimbursement of and increase access to our product and will give us the opportunity to expand the target market of Dextenza to commercial insurers.”

OCUL stock was up nearly 13% to $4.93 per share in midday trading.