Cost Savings in CKD Screening Using MATLOC

Executive Summary

Chronic Kidney Disease (CKD) affects over 120 million individuals in North America, yet fewer than 50% of at-risk patients are screened 1,2 . The MATLOC point-of-care (POC) device is designed to reverse this trend by offering lab-equivalent results at a fraction of the cost—at the point of care. Early screening with MATLOC enables earlier diagnosis, faster intervention, and significant downstream savings for both healthcare providers and payers.

1. The Economic Burden of CKD

- Chronic Kidney Disease (CKD) imposes a significant burden on the U.S. healthcare system. According to the United States Renal Data System (USRDS), Medicare spending on beneficiaries with kidney disease—including both CKD and end-stage renal disease (ESRD)—was approximately $130 billion in 2022, representing 24% of total Medicare spending¹.

- Of this amount, approximately $52 billion was spent specifically on ESRD (dialysis and transplant), with the remainder attributed to earlier stages of CKD and associated comorbidities.

- Late-stage CKD and dialysis are approximately 10 times more expensive than early-stage treatment².

- The economic burden of undiagnosed or untreated CKD is further compounded by increased emergency room visits, hospitalizations, and higher mortality rates³.

2. The Screening Gap

- KDIGO and National Kidney Foundation (NKF) guidelines recommend screening high-risk patients (e.g., those with diabetes, hypertension, or over age 60) using uACR (urine albumin-to-creatinine ratio) and eGFR (estimated glomerular filtration rate) tests 4,5 .

- Traditional workflows lose patients at multiple steps: lab requisition, sample submission, and follow-up.

- Even with 85% adherence at each stage, only ~52% of high-risk patients are successfully screened and treated 6 .

3. MATLOC’s Cost-Saving Potential

- Single-visit testing streamlines a 4-step workflow into one encounter.

- Point-of-care testing eliminates lab processing and logistics costs.

- At a projected cost of ~$20 per test, with Medicare reimbursement set at $36, MATLOC offers margin potential for clinics 7 .

4. Evidence of Cost-Effectiveness

- Ferguson et al., Kidney International (2017): Screening in Canadian Indigenous communities using POC approaches was cost-saving even under conservative models 8 .

- Cusick et al., Annals of Internal Medicine (2023): U.S.-based modeling found CKD screening to be cost-effective across most population segments 9 .

- Curtis et al., Kidney International Reports (2021): Canada’s Kidney Check initiative, a POC- based program, demonstrated improved outcomes and significant cost savings 10 .

5. System-Level Benefits

- Reduced ESRD incidence through earlier identification and treatment.

- Lower hospitalization and emergency intervention rates among diagnosed patients.

- Alignment with Value-Based Care models, such as Ontario’s QBP system and U.S. CMS QPP metrics 11 .

6. Operational Barriers and MATLOC’s Solutions

- Adoption of new diagnostic tools can be hindered by:

1. Long staff training requirements.

2. Disruptive system integration.

3. Inflexibility in clinic settings.

- MATLOC addresses these barriers with:

1. Minimal staff training—intuitive design with minimal onboarding.

2. Seamless integration into existing workflows.

3. Portability for use in diverse and remote care environments.

7. Sustainability and Scalability

- MATLOC’s affordability and compact design allow it to scale effectively across:

- Urban, rural, and remote clinics.

- Underserved communities with limited access to traditional lab testing.

8. Impact Beyond Financial Savings

- Early detection prevents CKD progression to ESRD, improving patient quality of life and reducing long-term care costs 12 .

- Clinics catch more cases earlier, leading to better health outcomes and lower rates of hospitalization 14 .

9. Conclusion: Financial Alignment with Clinical Impact

- MATLOC’s POC model delivers measurable cost savings while improving patient outcomes. It reduces diagnostic barriers and aligns with payer and provider incentives in both Canada and the U.S. For investors and healthcare systems alike, MATLOC represents a pre-commercial innovation with clinically and economically validated potential.

Bibliography

1. United States Renal Data System (USRDS). (2023). 2022 Annual Data Report: Epidemiology of Kidney Disease in the United States. https://usrds- adr.niddk.nih.gov

2. Canadian Institute for Health Information (CIHI). (2022). Cost of Dialysis vs Early Intervention Programs.

3. Golestaneh, L. et al. (2017). The economic burden of chronic kidney disease in the U.S. PharmacoEconomics, 35(9), 1005–1011.

4. KDIGO. (2020). Ibid.

5. National Kidney Foundation. (2023). Ibid.

6. Curtis, B. M. et al. (2021). Kidney Check: Implementing Point-of-Care Screening in Indigenous Communities. Kidney Int Rep, 6(6), 1572–1580.

7. CMS Clinical Laboratory Fee Schedule. (2024). uACR and eGFR Reimbursement Rates. https://www.cms.gov

8. Ferguson, T. et al. (2017). Cost-effectiveness of Kidney Check screening in Canadian First Nations. Kidney Int, 92(1), 128–136.

9. Cusick, M. et al. (2023). CKD Screening Cost Effectiveness in the U.S. Ann Intern Med, 176(2), 144–153.

10. Curtis, B. M. et al. (2021). Ibid.

11. CMS. (2024). Quality Payment Program (QPP) Overview. https://qpp.cms.gov

12. Chen, T. K. et al. (2019). CKD diagnosis and outcomes: why early detection matters. Clin J Am Soc Nephrol, 14(3), 469–479.

13. Vassalotti, J. A. et al. (2016). Benefits of early CKD diagnosis. Am J Kidney Dis, 67(1), 1–3.