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Code of Ethics


Advamed (Advanced Medical Technology Association), the representative of the majority of those working in the $71 billion healthcare industry in the United States, has recently approved a revised Code of Ethics on its interactions with Health Care Professionals (HPCs). Advamed's members produce nearly half of $169 billion worth of healthcare technology purchased worldwide and the repercussions of the code are far reaching and potentially devastating to the lucrative entertainment industry that has for so many years happily wined and dined its medics.

The Code, which became effective on January 1 2004, is entirely voluntary and Advamed was quick to stress not a legal document "to define or create legal rights, standards or obligations". It is intended to support 'ethical behavior' for industry interactions with HCPs and is in response to heightened scrutiny of its industry members by healthcare fraud enforcement. Advamed stressed that although the vast majority of healthcare and industry professionals have always behaved responsibly and ethically, the transgressions of a few have drawn increased attention, first to the pharmaceutical industry, and now - potentially - to the relationships between HCPs and the medical technology industry that serves them.

In the brochure Advamed sent out to HCPs across the United States, it states that the new Code of Ethics "provides a roadmap for ethical business practices and socially responsible industry conduct". It sets new limitations that include restrictions on entertainment, meals, meeting locations, donations and gifts. The brochure states that now "Members may provide hospitality only in the form of modest meals and receptions and may pay reasonable travel and modest lodging costs for attending HCPs, but not for their guests." Hospitality at conferences should be "modest in value and subordinate in time and focus to the conference" and the same is true for sales and promotional meetings. These meetings, it stresses, should be held in "locations appropriate to the business being conducted. Generally, it is not appropriate to conduct these meetings at resort locations." The giving of gifts has received the same opprobrium. "Members may provide modest, occasional gifts to HCPs, if they benefit or serve a genuine educational function and have a fair market value of less than $100 (text books and anatomical models are excepted). Golf balls, tee shirts, flowers, gift baskets and wine are examples of items that are neither related to the HCP's work nor for the benefit of patients. Cash or cash equivalents are not appropriate gifts."

This new Code sets out clear expectations for ethical interactions between industry and healthcare providers regarding training, education, sales and marketing, gifts to physicians and other aspects unique to the HCP-medical industry relationship. "How each company is implementing this code is the meat of the matter, however", said an unnamed source within the industry.



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Monday, 21 May 2012


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