Porzio Life Sciences InfoCenter Update: Revised AdvaMed Code on HCP Interactions Effective 6/1/22

March 29, 2022

By Porzio Life Sciences

The Advanced Medical Technology Association (AdvaMed) has recently published revisions to the AdvaMed Code of Ethics on Interactions with Health Care Professionals (Code). The focus of the updates primarily relate to recent value-based safe harbor modernizations and establishing a framework for best practices related to company-conducted programs.

Value-Based Care is defined as a “health care delivery model in which contributors to care are paid based on individual patient health outcomes, population health outcomes, increasing access to healthcare for underserved populations, managing costs, and/or improving efficiency.” Such arrangements are designed to increase accountability for cost, quality, and access to care. The updated Code further notes that even when no individual safe harbor is fully applicable, specific Value-Based Care arrangements (such as company-conducted product training and education) may be permissible under the Anti-Kickback Statute based on certain circumstances.

In addition, the Code addresses topics such as the provision of alcohol at company-conducted meetings; while it does not specifically prohibit such provision of alcohol, the updated Code encourages companies to adopt certain controls and limitations surrounding their decisions. Lastly, the updated Code incorporates the possibility of virtual programs as part of the guidance on innovative business models.

The revisions are depicted in the form of FAQs to common questions and a standalone guidance document. The revised Code will take effect June 1, 2022, allowing companies time to educate their employees and customers on its provisions. Training materials and additional resources will be made available by AdvaMed in advance of the effective date.

To view the AdvaMed Code, Porzio Compliance Digest subscribers can visit the Industry Guidance section of the Transparency and Limitations Database.

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