Notification to list medical devices supplied by Orthomed NZ Limited and Protec Solutions Limited

Hospital devices

Decision

PHARMAC is pleased to announce the approval of listing agreements for a range of medical devices in Part III of Section H of the Pharmaceutical Schedule.

What we are doing

PHARMAC is pleased to announce the approval of listing agreements for a range of medical devices in Part III of Section H of the Pharmaceutical Schedule.

The agreements cover a range of medical devices supplied by:

  • Orthomed NZ Limited (“Orthomed”) for the supply of orthopaedic implants and associated products; and
  • Protec Solutions Limited (“Protec”) for the supply of medical thermometers and medical devices used in the prevention of venous thromboembolisms (VTE Prevention) to DHBs.

In summary this will result in:

  • Pharmaceutical Schedule listings for the following products being supplied by Orthomed and Protec under national agreements that all DHBs may purchase under (“Agreements”):

Supplier

Brands

National Annual Impact on DHBs*

Orthomed

Adler Ortho ranges: FIXA Ti-por, Modular Sleeve, Polymax and Revision Head

Evolutis ranges: Ceramic Head, Metal Head and Stemsys

$36,000 savings

Protec

Protec medical thermometers

Thrombexin Graduated Compression Stockings

Medi Butler and Medi Tape VTE Prevention accessories

$6,000 cost for medical thermometers and

$3,000 savings for VTE Prevention

*assumes no change to current usage levels or product mix

  • DHBs continuing to be able to purchase other suppliers’ brands of orthopaedic implants and associated products, medical thermometers and VTE Prevention products as the Agreements are not for sole supply.
  • The medical devices being available for DHBs to purchase at the PHARMAC negotiated prices, and terms and conditions from 1 April 2018.
  • Orthomed and Protec providing training and education services that will be tailored to suit the needs of individual DHBs in formats and times as required by DHBs.

Any changes to the original proposals?

These decisions were subject to consultation letters dated 12 February and 14 February 2018. Following consultation, two accessories listed in Schedule 1 of the Agreement with Protec were removed as it was identified that the accessories were not used with Graduated Compression Stockings. No changes have been made to the Orthomed Agreement as a result of consultation. 

Who we think will be interested

  • Suppliers and Wholesalers
  • DHB Staff
  • Orthopaedic Surgeons
  • Theatre Nurses
  • Ward Nurses
  • Sterile Services Personnel
  • Clinical Engineers
  • Procurement Officers 

Details about this decision

In 2016 PHARMAC issued 3 separate Requests for Proposals (“RFPs”) for orthopaedic implants and associated products, medical thermometers and VTE Prevention products. The RFPs requested proposals for non-exclusive national agreements for listing in the Pharmaceutical Schedule.

After completing the RFP evaluation processes, and consulting on the provisional Agreements reached with Orthomed and Protec, PHARMAC has decided to list Orthomed’s range of orthopaedic implants and associated products and Protec’s range of medical thermometers and VTE Prevention products in Part III of Section H of the Pharmaceutical Schedule from 1 April 2018.

The list of products will be available on PHARMAC's website from 1 April 2018, in both a PDF document and an Excel spreadsheet.

DHBs that purchase Othomed’s range of orthopaedic implants and associated products and Protec’s medical thermometers and VTE Prevention products must do so under the terms and conditions, and at the prices, included in the Agreements, from 1 April 2018.

DHBs can continue to choose which orthopaedic implants and associated products, medical thermometers and VTE Prevention products they purchase.

The Agreements include terms and conditions for training and education services to be provided, by Orthomed and Protec, on the appropriate use of their medical devices, which is to be provided at times as agreed with individual DHBs.

The Agreements with Orthomed and Protec are the latest orthopaedic implants and associated products, medical thermometers and VTE Prevention Agreements that PHARMAC has decided to list on the Pharmaceutical Schedule. Further consultations in these categories are expected over the next few months.

Our response to what you told us

We appreciate the time people took to respond to this consultation.

All consultation responses received by 2 March 2018 were considered in their entirety in making a decision to approve Protec’s provisional Agreement. A summary of the main themes raised in feedback and our responses to the feedback received are set out below: 

Theme

Comment

Feedback provided on the individual DHB impact analysis.

Financial impact analysis was updated.

No technical or resource impacts are anticipated as a result of the proposal.

Noted.

If you have any questions about this decision, you can email us at enquiry@pharmac.govt.nz; or call our toll free number (9 am to 5 pm, Monday to Friday) on 0800 66 00 50.