Kerecis Announces Crucial Update on Medicare Policies for Tissue Regeneration
In a recent development crucial to insurance industry stakeholders, Kerecis, renowned for its innovative use of fish skin for tissue regeneration, announced a significant update regarding Medicare policies. The U.S. Centers for Medicare & Medicaid Services (CMS) decided to retract proposed modifications to Local Coverage Determinations (LCDs) regarding skin substitute grafts and cellular tissue-based products in outpatient care. This decision, announced on December 24, 2025, highlights the ongoing evolution of reimbursement strategies affecting product coverage.
The retracted LCDs, initially set for implementation at the start of 2026, proposed new coverage limitations impacting specific wound categories such as diabetic foot ulcers and venous leg ulcers, while excluding others. This retraction allows Kerecis and similar providers to continue operating under established reimbursement frameworks, reverting to previous LCD guidelines known as Legacy Policies.
Kerecis' Medicare-focused business model thrives under these Legacy Policies. With fish-skin grafts competitively priced at roughly $110 per square centimeter for outpatient procedures, Kerecis aligns with expected fixed payment structures. This positioning underscores the company's adaptability to potential regulatory and compliance changes, supported by substantial evidence of product efficacy.
Fertram Sigurjonsson, commenting on Kerecis’ market strategy, emphasized the company's dedication to maintaining stability amid evolving clinical and reimbursement environments. By supporting advanced tissue regeneration technologies, Kerecis enhances access for healthcare providers, ensuring its fish-skin technology integrates with current and evolving reimbursement models.
Part of the Coloplast Group, Kerecis leads in developing fish-derived tissue products for medical use, offering benefits like structural integrity and minimal risk of cross-species disease transmission. Adhering to sustainable and environmentally conscious practices, the company uses Icelandic fish in its production processes, reinforcing its position in the biologics and medical devices market.
For more information on Kerecis' product offerings and their alignment with Medicare's reimbursement landscape, visit the company's official website.