idea-001 · business case

Who pays, from which budget, how much, and 2-4 commercial routes to first revenue — every figure below traces to a copied claim or a declared assumption, and the routes are laid out unranked. Choosing a commercial strategy is a Tier 3 act, so this page presents options and stops.

Prescription home intravaginal NMES + EMG-biofeedback device for stress urinary incontinence, coded to E0740 and RTM — business case

Intended use: The device is indicated for the treatment of stress urinary incontinence in cognitively intact adult women in the home setting, by prescription, following a documented failed four-week trial of pelvic muscle exercise training.

Rebuilt 2026-10-01 for pivot P2 the discriminating trigger, from the candidate file read cold. The P1 commercially-insured first build is retired, not patched. It had seen none of claims 167–214. P2 the discriminating trigger changed mechanism:. The device now has a two-channel trigger: pelvic floor surface EMG (electromyography) from the probe, plus an abdominal surface-EMG reference from a skin electrode the woman places herself each session. A burst fires on a voluntary pelvic floor contraction and is withheld when the detector sees a Valsalva manoeuvre or abdominal brace before the burst. intended_use:, the payer route and the E0740 (a HCPCS code for durable medical equipment) rental shape are unchanged. At Legal & IP (intellectual property)'s request, the withhold logic is described on this page no further than that field describes it.

Three facts set the shape of the money at P2 the discriminating trigger. Read them before anything else.

  1. The closed loop is not new, and the premise that it was is refuted. A prescription EMG-triggered intravaginal stimulator for incontinence is listed and offered for sale in the US: the MyOnyx (K201014 (an FDA 510(k) clearance number)) claim 167refuted. Two cleared KPI devices carry an EMG-triggered mode through a vaginal probe claim 153verified, claim 154verified. A third, an OTC device, is cleared for home use claim 191refuted. P2 the discriminating trigger exists because of this. What P2 the discriminating trigger adds over these devices is a premise nobody has checked: that none of them uses a reference channel to decide when to fire claim 173unconfirmed.
  2. The payer does not pay for the differentiator. Any device coded to E0740 gets the same monthly capped-rental allowed amount, and a reference channel cannot raise it claim 193verified. P2 the discriminating trigger earns more than a single-channel device only by winning a larger share of the women dispensed a device. That depends on a prescriber choosing it claim 174unconfirmed and a supplier stocking it claim 170unconfirmed.
  3. P2 the discriminating trigger adds a cost line. The reference electrode is used up every session claim 183unconfirmed, and the supplier may have to absorb its cost inside the same monthly amount claim 181unconfirmed.

So at a fixed payer price, P2 the discriminating trigger raises the cost and its only upside is share. This page describes that bet. It does not weigh it.

Who pays

The budget-holder chain, end to end. The manufacturer does not bill a payer. A DME (durable medical equipment) supplier does.

Reimbursement path

Six questions, each with its own evidence position and one basis. No score, no tier and no composite. Read the coverage line first.

#QuestionFindingBasis
2aCoding route — Cat I / Cat III / unlisted / HCPCS (Healthcare Common Procedure Coding System) II / noneThe route is HCPCS Level II, and it is not established for the P2 the discriminating trigger configuration. E0740 exists for the device class. Whether the PDAC (Pricing, Data Analysis and Coding contractor) codes a probe plus a self-placed abdominal reference electrode as one E0740 system is open. The alternatives are splitting the reference out under E0746, which has no fee schedule amount, or assigning E1399claim 180unconfirmed
2bPayment adequacy — does the rate clear a stated cost floorThe rate is read. No cost floor exists to test it against. The monthly allowed amount is fixed whatever the device's features. Whether the landed cost per rental month clears it, now including that month's reference electrodes, is an assumption no file has priced[assumption A1 The classification regulation for a…]
2cPractice-expense headroom — does the PE portion cover the deviceNo practice-expense portion exists on this route. The device is dispensed as a DMEPOS (durable medical equipment, prosthetics, orthotics and supplies) item, so no PE RVU (relative value unit) carries its costclaim 69verified
2dSite of care & bundling — office/facility differential, DRG or APC packagingHome, supplier-billed, paid one rental month at a time, with no facility claim to package it into. Capped-rental category, RR line only, title after thirteen continuous monthsclaim 82verified
2eCoverage — has any payer agreed to pay for this indicationMedicare's national coverage determination covers the therapy class for cognitively intact patients after a documented failed four-week exercise trial. The intended_use: mirrors thisclaim 9verified
2fEx-US pathway — DE NUB/G-DRG, UK NICE (National Institute for Health and Care Excellence)/OPCS-4Permanently unconfirmed, not under-researched. launch_jurisdiction: is US and no connector reaches a non-US payment system. The only non-US line in the file is a UK clinical guideline that recommends against routine use of the two features this device is built from. That is not a payment findingclaim 95unconfirmed

Pillars on verified claims: 3/6 · on assumptions: 1 · queued as research: 0

The other two pillars rest on unconfirmed claims: 2a on a PDAC determination, and 2f on a clinical guideline that is not a payment source.

The three verified pillars describe the class and the payment mechanics. The two that decide whether this product is paid for at a margin are 2a and 2b: does it code to E0740, and does the monthly amount clear its cost. Neither rests on a verified claim. P2 the discriminating trigger widened both. 2a now has a second electrode for the PDAC to rule on, and 2b now has a per-session consumable.

What sits behind each row:

Three distinctions kept apart deliberately:

Verdicts recorded where a check was run this pass:

The money model

There is no market model for this candidate. knowledge-base/market-models/idea-001.md does not exist, so this section does not build a size. It quotes the legs the file holds and names the ones it does not. Every leg above the Medicare fee-for-service floor rests on an unconfirmed claim, on an assumption, or on nothing at all.

LineFigureBacking
Medicare FFS (fee-for-service) beneficiaries dispensed under E0740, data year 2024 (a floor, never a market size)689claim 70verified
Medicare FFS E0740 rental months billed, data year 20244,130claim 70verified
The Generator's original E0740 volume threshold (refuted)more than 10,000 units a yearclaim 17refuted
Medicare allowed amount per rental month, non-rural, July 2026, any device coded E0740$74.52claim 193verified
Realized average allowed amount per rental month, data year 2024$57.89claim 71verified
Realized allowed amount per beneficiary, data year 2024 (4,130 × $57.89 ÷ 689)about $347claim 163unconfirmed
Continuous rental months at which title passes to the woman13claim 82verified
Payment premium the P2 the discriminating trigger reference channel earns under E0740noneclaim 193verified
Medicare Advantage women added to the FFS floornot measuredclaim 171unconfirmed
Commercially insured women dispensed a device each yearnot statedclaim 67unconfirmed
Share of E0740 dispensing won by a P2 the discriminating trigger device by year 3not statedclaim 46unconfirmed
Manufacturer price to the DME suppliernot stated; below the allowed amountclaim 122unconfirmed
Price that covers the per-session electrodes at the same allowablenot statedclaim 214unverified
Reference electrodes consumed per session2 to 3claim 208unconfirmed
Home sessions per coursenot statedclaim 183unconfirmed
Separately payable supply line for the reference electrodesnone assumed (A4595 is priced at $11.40–$13.24 a month)claim 181unconfirmed
Landed cost per rental month, including that month's reference electrodesbelow $74.52[assumption A1 The classification regulation for a…]
Gross marginnot statedclaim 49unconfirmed
Remote-therapeutic-monitoring and biofeedback-service revenue countedzeroclaim 88unconfirmed
List price of the one triggered incumbent shown for US sale (MyOnyx bundle, a purchase, not a rental)$3,645.00claim 194unconfirmed

How to read the table:

Verdicts on the two connectors this section is mostly made of:

Path to first revenue

Routes

Four routes, laid out side by side. This section does not rank them or choose between them. Choosing a commercial strategy is a human's decision. Two things bear on all four, so they are not used as any one route's kill:

Route A — Home rental through DME suppliers, commercial DME benefit first (P1 commercially-insured first as it stands)

Route B — Home rental through DME suppliers, Medicare FFS and Medicare Advantage first (unwinding P1 commercially-insured first)

Route C — Sell the system outright to clinics and practices, against the sold MyOnyx

Route D — License the withhold logic to a cleared two-channel ETS holder

Assumption register

All four assumptions cited above, with what would settle each and who could run it. They were written back to the candidate as claims 215–218 before this file was written. Each falsifier is written to run off a registry, a document or a revealed behaviour where it can. A falsifier that runs through a prescribing practice depends on that practice letting a manufacturer in, which is itself unestablished claim 126unconfirmed.

Older assumptions are not repeated. The retired builds' assumptions are claims 46–54, 66–69, 121–123 and 132–137, and this page cites them at their current tags.

#AssumptionFalsifierOwner
A1 The classification regulation for a…The landed cost per rental month of a P2 the discriminating trigger-configuration home stimulator billed under E0740 is below the non-rural E0740 RR monthly allowed amount. The cost covers the controller amortised over its rental life, the single-patient-use probe, connectivity, and the reference electrodes used in that month's sessions. (Candidate claim 215unverified, no evidence class stamped)The landed monthly cost computation REQ-0176 Under P2 asks Operations for. It is fed by a contract-manufacturer bill of materials, sessions per course (REQ-0177 For the P2 device as prescribed at home…), electrodes per session (claim 208unconfirmed) and a controller service life (claim 141unconfirmed), and set against the July 2026 DMEPOS E0740 RR lineOperations & NPI (new product introduction), with a human-attached contract-manufacturer quote
A2 A device with this intended use is eligible…The verification and validation P2 the discriminating trigger adds to the 510(k) keeps time and capital to first revenue inside the low-single-digit-million, sub-two-year envelope candidate claim 30unconfirmed asserts. The added work is two-channel detector verification, usability validation of patient self-placement of the reference electrode, and isolation and leakage testing of the abdominal input. (Candidate claim 216unverified, no evidence class stamped)A costed regulatory and V&V plan for the P2 the discriminating trigger configuration, plus FDA's pre-submission answer on whether reference placement is a critical task needing a human factors validation study (claim 192unconfirmed) and whether a De Novo (De Novo classification request) or clinical data is required (claim 188unconfirmed)Regulatory, with Operations & NPI costing the test programme
A3 Medicare NCD 230.8 covers pelvic floor…A pelvic floor PT (physical therapist) or urogynecology practice buying a clinic EMG-triggered intravaginal stimulation system pays more for one whose trigger withholds on an abdominal surface-EMG reference channel than the MyOnyx bundle's published list price. (Candidate claim 217unverified, class: stakeholder)Revealed behaviour first: purchase records or group-purchasing contract prices showing whether practices pay a premium for two-channel over one-channel biofeedback-stimulation systems. Failing that, a structured pricing interview with twenty practice purchasing decision-makersCommercial, run by a human. No agent may answer it
A4 TAM component 1Verity Medical or Thought Technology, which hold cleared two-EMG-channel ETS devices, would pay a licence fee for a trigger that withholds on an abdominal reference channel rather than build one or do without. (Candidate claim 218unverified, class: stakeholder)Revealed behaviour first: USPTO (United States Patent and Trademark Office) assignment and licence recordations, and each firm's 510(k) history, showing whether either has ever brought in outside stimulation-control technology. Then a direct licensing approach to both firmsLegal & IP for the records read; business development, a human, for the approach

Where this case outruns the file

Every figure this case needs that no verified claim carries. These are the work items.

Words on this page29 abbreviation(s) and code(s), with what each stands for — copied from _shared/plain-language.md
21 CFR
Title 21 of the Code of Federal Regulations — the US food-and-drug rulebook; a number after it is one regulation, often the one that classifies a device type
510(k)
premarket notification — the FDA route for a device shown to be as safe and effective as one already on the market; months, no clinical trial as a rule
A####
a HCPCS code for a supply — one billing code for a supply or an accessory; the letter A and four digits
CMS
Centers for Medicare & Medicaid Services — the US agency that runs Medicare, and so decides what Medicare pays for
CPT
Current Procedural Terminology — the US billing codes for what a clinician does; owned by the American Medical Association
De Novo
De Novo classification request — the FDA route for a new, lower-risk device with no comparable product to point at; longer than a 510(k), usually needs clinical data
DME
durable medical equipment — equipment a patient uses at home, such as a pump or a stimulator, that Medicare pays for under its own rules
DME MAC
durable medical equipment Medicare administrative contractor — one of the four regional contractors that process Medicare's home-equipment claims and write its local coverage rules
DMEPOS
durable medical equipment, prosthetics, orthotics and supplies — the Medicare benefit and fee schedule that home equipment is paid under
E####
a HCPCS code for durable medical equipment — one billing code for a piece of home equipment; the letter E and four digits
EMG
electromyography — reading the electrical activity of a muscle
ETS
electrical tissue stimulation — the FDA's name for the product family of stimulators
FDA
US Food and Drug Administration — the US regulator that clears or approves a device before it can be sold
FFS
fee-for-service — the traditional form of Medicare that pays per item or service
HCPCS
Healthcare Common Procedure Coding System — the US billing codes for equipment, supplies and some services; a code is how a payer recognises what to pay for
IP
intellectual property — patents and the other rights that let a company stop others copying it
K######
an FDA 510(k) clearance number — the public record of one cleared device; the letter K and six digits
MA
Medicare Advantage — Medicare delivered through a private insurer; must cover at least what Medicare covers
Medicare Advantage
Medicare Advantage — Medicare delivered through a private insurer; must cover at least what Medicare covers
Medicare Part B
Medicare Part B — the part of Medicare that pays for outpatient care and equipment used at home
NCD
national coverage determination — a Medicare rule, valid everywhere in the US, saying whether and when something is covered
NCD ###.#
a Medicare national coverage determination number — the public id of one national coverage rule
NICE
National Institute for Health and Care Excellence — the English body whose guidelines say what the NHS should use
NPI
new product introduction — taking a design into manufacture: tooling, suppliers, first production
PDAC
Pricing, Data Analysis and Coding contractor — the Medicare contractor that decides which billing code a specific product falls under
PT
physical therapist — a physiotherapist
RTM
remote therapeutic monitoring — billing codes that pay a clinician for following a patient's use of a device from a distance
RVU
relative value unit — the unit Medicare uses to price a clinician's work
USPTO
United States Patent and Trademark Office — the US patent office