HHS Permits Digital Health Company to Provide Financial Rewards for Treatment

The HHS Office of Inspector General (OIG) recently issued a favorable advisory opinion to DynamiCare Health Inc., a digital therapeutics and telehealth company. The OIG’s advisory opinion concluded that DynamiCare’s app-based contingency management program, which uses financial incentives for treating substance use disorders, will not incur a risk of sanctions under the federal Anti-Kickback Statute (AKS) and Beneficiary Inducement Prohibition (BIP).

As reported in The Washington Post article, the OIG advisory opinion is notable because it approves up to $599 in monetary incentives per patient, overcoming a major obstacle for evidence-based care in addiction treatment. Adam Falcone, partner in FTLF’s national health care practice, advised DynamiCare Health Inc. on its request to the OIG that resulted in the favorable advisory opinion, which applies solely to DynamiCare’s app-based contingency management program.

For more information, please contact Adam Falcone at afalcone@feldesmantucker.com.