Belgium's MDxHealth ($MDXH) inked two major U.S. insurance deals that give the company's signature prostate cancer test a greatly expanded reach.
The diagnostics outfit said that FedMed and America's Choice Provider Network will give their combined 50 million-plus members access to the company's ConfirmMDx test. Overall, MDxHealth can now reach more than 130 million people with the product, the company said.
Developers of new diagnostics tests struggle to gain public or private insurance reimbursement in today's market. They must increasingly prove a test is both effective and cost-effective--something that can improve the standard of care but also helps boost efficiency and reduce costs. That makes MDxHealth's news particularly significant, and CEO Jan Groen acknowledged as much.
"The increased adoption of the test demonstrates it serves as a valuable clinical management tool, not just for physicians and their patients, but also for insurance companies looking to contain healthcare costs," Groen said in a statement.
Earlier this summer, MDxHealth raised $23.5 million through a private placement, giving it funding to build its sales infrastructure, expand the reach of ConfirmMDx and also focus on new products in the pipeline.
Clinicians use ConfirmMDx after a biopsy. The test is designed to examine existing tissue samples by running through biomarkers for prostate cancer and then confirming results. It helps spot patients without prostate cancer and stops them from getting unnecessary repeat biopsies. But it is also valuable in screening for patients who really have the disease. The company found its test can accurately identify prostate cancer in tissues with a 74% sensitivity, and a negative predictive value of 91%.
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