Study: In-Office Ear Tube Procedures With Hummingbird TTS Reduces Costs

A health economic study shows a 65% cost savings associated with in-office pediatric ear tube procedures.

The study assessed the financial impact of shifting pediatric tympanostomy tube (ear tube) procedures from the operating room to in-office settings. Published in the Journal of Medical Economics, the analysis demonstrates significant cost savings potential for commercial and Medicaid health insurance payers that provide access to in-office ear tube placements with Preceptis Medical Inc.’s Hummingbird Tympanostomy Tube System (TTS).

Key findings from the study:¹

• Ear tube surgeries cost the U.S. healthcare system an estimated $3.5 billion annually:
  • Ear tube surgeries in a hospital outpatient department (HOPD) on average cost more than $5,700 for a commercial plan and $2,100 for a Medicaid plan
  • Higher costs of OR-based surgeries are driven by costs of the operating room, anesthesia, pre- and post-surgery care, and additional pre-operative testing
• Shifting ear tube procedures from the OR to the Office could save:
  • Up to $3,743 per patient (65% cost savings) for a commercial health plan
  • Up to $519 per patient (24% cost savings) for a Medicaid health plan
• The procedural cost savings were significant even after accounting for the increased costs of pediatric in-office ear tube procedures, including the costs of the Hummingbird TTS

Pediatric ear tube surgeries historically have been performed in the operating room (OR) under general anesthesia. However, the procedure can be safely and effectively performed in an office setting by using the Hummingbird TTS, helping pediatric patients avoid risks associated with operating room surgeries and general anesthesia exposure.² This analysis demonstrates that in addition to the important clinical and safety benefits, payers may also experience significant cost savings.

“Shifting ear tube placement into the office with the Hummingbird Device has improved patient access and offered families an important alternative to OR-based surgeries,” said Dr. Gene Liu, a pediatric otolaryngologist at Cedars-Sinai Medical Center. “This analysis demonstrates that payers can also realize meaningful cost savings, even when accounting for the additional resources required to treat children in-office. My hope is that these findings encourage payers to establish sustainable reimbursement rates that expand access to this safe and cost-effective option.”

To support patient access to pediatric in-office ear tube procedures with tympanostomy tube delivery devices, the Centers for Medicare & Medicaid Services (CMS) established add-on HCPCS Code (+G0561) in the 2025 Physician Fee Schedule.³ CMS stated in the 2025 PFS, “These minimally invasive, in-office procedures can offer significant benefits, including reduced risks associated with general anesthesia, quicker recovery, fewer infections, and improved access to care.” The new add-on G code facilitates fair reimbursement to providers for the incremental work and practice expenses (including device costs) involved in performing pediatric ear tube procedures in-office. This is the first economic study to evaluate the economic impact of utilizing the add-on code +G0561.

“This study reinforces what we have seen in our health system, where we have been offering in-office ear tube procedures with the Hummingbird Device since 2021,” stated Dr. Mark Gerber, a pediatric otolaryngologist at Phoenix Children’s Hospital. “Providing a mechanism for reimbursement for the incremental costs of the pediatric procedure will remove a significant barrier to utilization and save healthcare dollars.”

Founded in 2011, Preceptis Medical is a medical technology company that provides less invasive ear tube procedure options for pediatric patients. The U.S. Food and Drug Administration-cleared Hummingbird Tympanostomy Tube System streamlines ear tube placement, which enables the procedure to be performed with only a topical anesthetic. The Hummingbird is indicated for use in patients 6 months of age and older.

References
¹ Moynihan, M., Ross, R., Delgado, J., Gerber, M., & Liu, G. (2025). Economic impact of in-office pediatric tympanostomy tube placement using a tympanostomy tube delivery device in a commercially- and Medicaid-insured US population. Journal of Medical Economics, 28(1), 899–909
² Truitt MD, Theodore O., et al. “In-office insertion tympanostomy tubes in children using single-pass device” Laryngoscope Investigative Otolaryngology. 2021;6:325-331.
³ Centers for Medicare & Medicaid Services (CMS) CY 2025 Physician Fee Schedule (final rule)