Neurophet's AI-backed brain disorder solutions win health insurance coverage in Japan

Neurophet, a Korean AI solutions maker for brain disorders, said on Thursday its products have been designated for health insurance coverage in Japan.

This marks the first instance of Neurophet's products receiving such coverage internationally.

According to the company, two Neurophet's products -- Neurophet AQUA and Neurophet SCALE PET -- have been officially recognized for enhanced reimbursement under Japan's health insurance scheme.

Neurophet AQUA is a software medical device designed to analyze abnormal brain atrophy in Alzheimer's disease patients using MRI (magnetic resonance Imaging). It offers brain imaging analysis across various demographics, including different races, ages, and genders.

Neurophet SCALE PET uses PET (positron emission tomography) imaging to measure the deposition of amyloid-beta proteins, which are associated with Alzheimer's disease, in specific brain regions. Both products received certification from Japan's Ministry of Health, Labour and Welfare (MHLW) as medical devices in 2022.

The company stressed that Japan's health insurance system includes additional reimbursement for advanced medical technologies.

“Since 2022, Japan has supported the use of AI software in CT and MRI scans through the "Imaging Diagnostic Management Enhancement 3" category, which provides additional reimbursement for medical institutions using qualified AI software,” the company said.

As eligible medical institutions in Japan can now claim additional fees when using Neurophet AQUA and Neurophet SCALE PET, Neurophet expects increased revenue in the Japanese market.

"This is the first instance of our products being covered by health insurance,” Neurophet CEO Been Jun-kil said. “The insurance coverage for our main products, Neurophet AQUA and Neurophet SCALE PET, will serve as a crucial momentum for increasing our overseas sales."

The company will strengthen its collaboration with local partners to actively promote sales and marketing efforts, Been added.