The AASD is the only industry-accrediting body that has created and is fighting for strict standards to be followed by all distributorships with surgeon ownership. Strong evidence exists that endorsing standards like those established by the AASD will protect patients, save hospitals and the healthcare system considerable money, and add true value.
The AASD’s strict standards help ensure POD members are committed to: transparency and full disclosure to hospitals and patients; cost savings and patient outcomes; product quality assurance; strict legal compliance; and submission of costs, pricing, and utilization data for auditing.
Surgeon-Owned Distributor Standards
- Distributorship maintains a business structure consistent with Federal Self-Referral and Anti-Kickback statutes, and reports in compliance with the Physician Payment Sunshine Act.
- Distributorship demonstrates merit by proving to be the lowest average cost vendor of like implants during a comparable contract period.
- Distributorship annual price increases to customers do not exceed 3% above the consumer price index (CPI).
- Distributorship is a legitimate, free-standing stocking Distribution Company with employees, contracts, an address, a business license, and insurance.
- Distributorship demonstrates adherence to the AASD Product Evaluation Policy.*
- Distributorship demonstrates adherence to the AASD Employee Training Policy.*
- Distributorship demonstrates adherence to the AASD Disclosure Policy.*
- Distributorship demonstrates adherence to the AASD Investment and Distribution Policy.*
- Distributorship submits utilization data annually and demonstrates adherence to the AASD Appropriate Use Monitoring Policy.*
- Distributorship has written contracts with hospitals, with pricing that is consistent among hospitals within geographically isolated markets, and contract periods of at least one year.
- Distributorship does not leverage referrals to any hospital or surgery center.
- Distributorship does not require, pressure, or otherwise leverage physician owners’ use of the Distributorship devices.
*Click on each policy for expanded definitions.