STRATA Skin Sciences Seeks Accelerated Medicare and Private Payer Coverage for XTRAC Excimer Laser Treatment

STRATA Skin Sciences is working with the Centers for Medicare & Medicaid Services to obtain temporary codes that would accelerate access to reimbursement for its XTRAC excimer laser treatment. The American Medical Association's CPT Editorial Panel has approved updates to codes, expanding reimbursement eligibility for XTRAC treatments to include all inflammatory and autoimmune skin conditions. By securing temporary CMS codes, STRATA aims to make these expanded indications reimbursable as early as 2026, effectively tripling the addressable patient population to over 30 million.

STRATA Skin Sciences (NASDAQ: SSKN) has made significant strides in accelerating access to reimbursement for its XTRAC® excimer laser treatment. The company is working with the Centers for Medicare & Medicaid Services (CMS) to obtain temporary codes that would expedite the implementation of expanded reimbursement eligibility for XTRAC treatments.

The American Medical Association's CPT Editorial Panel recently approved updates to codes 96920-96922, expanding reimbursement eligibility for XTRAC Excimer Laser treatments to include all inflammatory and autoimmune skin conditions, such as vitiligo, atopic dermatitis, and alopecia areata, in addition to psoriasis. This expansion is set to take effect on January 1, 2027. By securing temporary CMS codes, STRATA aims to make these expanded indications reimbursable as early as the 2026 rule cycle, effectively tripling the addressable patient population to over 30 million.

The strategic move to secure temporary codes is part of STRATA's broader initiative to enhance access to its non-drug, non-systemic treatment options. This expansion will not only increase the total addressable market but also improve the economic model for providers. Dermatologists will be financially incentivized to use XTRAC therapy, for which they receive direct reimbursement, rather than prescribing medications that do not generate provider revenue. This creates a powerful economic alignment that could drive adoption rates across the expanded indication set.

Recent peer-reviewed research further strengthens STRATA's market position. Two studies highlight XTRAC's efficacy when combined with JAK inhibitors for vitiligo treatment, demonstrating 100% overall response rates and 96% pigment stability in one multicenter trial. This positions XTRAC as complementary to, rather than competitive with, emerging drug therapies.

The company is also involved in ongoing litigation against LaserOptek regarding alleged false advertising. Recent favorable court decisions could result in significant damages awarded to STRATA, aimed at protecting its market position against competitors making potentially misleading claims about reimbursement eligibility.

STRATA's intellectual property portfolio, which includes issued patents covering combination therapies involving JAK inhibitors and Excimer laser treatments, positions the company to benefit from emerging treatment protocols in dermatology.

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[1] https://www.stocktitan.net/news/SSKN/strata-skin-sciences-moves-to-accelerate-medicare-and-private-payer-t7pddud6zcju.html