The following is an excerpt from MAKO's Annual Summary of Clinical and Economic Research 2010:
"Health Care Economics
Operative Time and Length of Hospital Stay
A review of 169 patients who received robotic arm assisted UKA had an average hospital length of stay of 1.3 days. In another study, 56 robotic arm UKA’s were compared to 57 manually implanted mobile bearing UKA’s. The average length of stay for the robotic arm group was 1.4 days compared to 3.2 days for the manual mobile bearing group. The Healthcare Cost and Utilization Project (HCUP) reported that the average length of stay for total knee arthroplasty patients in 2008 was 3.5 days. A study by Candrilli and Mauskopf estimated that the cost per day at a hospital for a non-ICU/CCU admission in the state of Michigan was $1,122.
In another study the mean operative time (skin-to-skin) for 1,799 MAKOplasty cases was 87.4 minutes. This compares quite favorable to a study by Bozic and Rubash et al, in which they reported that the operative time (skinto- skin) was 97.7 minutes for 2,809 primary total knee arthroplasty cases at 4 distinguished high-volume centers: MAYO Clinic, Massachusetts General Hospital, Hospital for Special Surgery, and the University of California San Francisco. The Cleveland Clinic has published a Patient Price Information List that the shows the charges associated with the operating room are $56 per minute.
From a hospital reimbursement perspective the average length of stay and
operative times are advantageous for MAKOplasty® even though the comparison is for different types of procedures, total knee arthroplasty and unicompartmental knee arthroplasty. The Medicare reimbursement for the unicompartmental knee arthroplasty and total knee arthroplasty are billed under the same diagnosis related groups (470) and the 2011 Medicare national payment average is $11,748.43. The MAKOplasty® reimbursement could be affected by Medicare’s Short Stay Transfer Policy (SSTP) which is dependent upon the discharge status of the patient and the length of stay. If reimbursement is not affected by SSTP significant cost savings could occur for the hospital in regards to the reduction in length of stay and operative time. [WHICH MEANS THAT IF SSTP DOES APPLY THEN THE INSURANCE COMPANY WILL BE THE ONE TO BENEFIT FROM LOWER COSTS - EITHER WAY EITHER THE HOSPITAL OR THE INSUR CO BENEFITS FROM THE USE OF MAKO FOR KNEES - BOTH OF WHICH ARE DESIRABLE OUTCOMES FOR MAKO]
Total Hip Arthroplasty
The leading cause for revision surgery in total hip arthroplasty is dislocation/instability at 22.5%. The average billed charges associated with isolated head and liner exchange is $42,245. Revision surgery for total hip arthroplasty has an annual economic burden of 18.8% of all Medicare expenditures for total hip arthroplasty. A survey performed at the American Association of Hip and Knee Arthroplasty reported that 78% of responding surgeons had been named as a defendant in a lawsuit alleging medical malpractice. 27.8% of the lawsuits listed limb length, dislocation, and implant positioning as the nature of the claim. The median settlement amounts for the lawsuits were between $51,000 and $99,000. MAKO plans to release a primary total hip arthroplasty application in 2011 that will help address the current issues in dislocation, leg length, and revisions based on poor cup placement by utilizing combined anteverision, tactile robotic arm technology, and
3-D visual guidance."
Analyst112, you started this thread by saying you were cashing out on a valuation concerns. Now all of sudden, you conducted gobs of research and doctor interviews to include a relative. Interesting juxtaposition.....
By the way, our hospital bought one but only because a donor gave them the money. I watched the machine in action and spoke with several users. Most hospitals are broke and in 2013 they will be much poorer as the insurance exchanges start. Our hospital forecasts large losses in 2013 unless the health care bill is altered.
It is a major action to buy a $1MM machine and annual service for it. They could have a stall in sales any quarter and it will not be pretty.
For doing aTHR with the MAKO Rio, it does not require a new machine, just some adapters & a new software program. This will make the lesser skilled surgeon an expert, let's face it, 50% of all doctors finished in the bottom half of their class. I suspect your bro is not all that.
Please stop in 2020, so that I can laugh in your face.
You remind me of the genius that sold Apple at $18 and bragged about his triple money cost basis $6.
If you can't see that non-evasive knee surgey, robotic, has a large future, please go buy a Certificate of Deposit from your local FDIC insured bank, stooge!
My brother is a knee surgeon and has used the Mako product. He tells me that it is no better than freehand shaping. It is useful for very new surgeons but that universe is pretty small. The real market is much smaller than you think and nowhere near the potential of Intuitive which I still own. I think it will be a big yawn when used for hips as that market is dominated by totals not partials. Any stooge can cut off a bone and stick in a ball joint.