Manufactures Opinion Letter
Manufacture’s Opinion Letter
Date:
August 2018
To:
sam® Distributors
From:
James S. Molinaro, Chief Commercial Officer
Re:
sam® Pro 2.0 Rentals - Consumable and Replacement Costs
For distributors who are renting the sam® Professional units through Insurance Claims; the following are our guidelines based upon our experience with renting the sam® device to multiple patients.
1.0
BASE UNIT COST and WARRANTY
1.1
Base sam® Pro 2.0 Unit Price to the Distributor (SA271): $2,822
1.2
Base Unit Includes: sam® Pro 2.0 Unit with Dual Applicator/Transducer and Charger
1.3
Warranty: 12-months or 9 Rentals on Applicators/Transducers from Date of Shipment from Factory
2.0
CONSUMABLE ITEMS; Including Damage and Loss
2.1
sam® Gel Capture Patches (UB-14-24): $120/Pack (24-pcs per Pack); 2-Pcs per Day
2.2
sam® Power Controller: replacement or loss after 4-rentals; $230/unit
2.3
sam® Applicator: WC patients accidentally throw the Applicators away with the Coupling Patch; our opinion is this will happen at least two-times during a 12-month rental usage; 2-Applicators per sam® Professional Unit: $295/Applicator
2.4
sam® 2-Oz Tube of Gel (S1007-AC): issued with each Patient Rental; $6/Tube
2.5
sam® Y-Adaptor (S1003-AC): WC patients accidentally break the Y-Cable when removing the Applicators; our opinion is this will happen two happen at least three during the 12-month usage; 2-Applicators per sam® Professional Unit: $45/Y-Adaptor
2.6
sam® Charger (S1005-AC): Typically, patients lose the Charger; would expect for this to happen at least twice per year; 2-Applicators per sam® Professional Unit: $75/Charge
www.samrecover.com | ***@***
Page 1 of 3
3.0
PATIENT DISPENSING, RETURNS and CLEANING COSTS
3.1
Delivery of sam® Professional Unit/Patches to Patient and Instructions of Use:
3.1.1
Travel Time (Nominal 30-miles RT): 30-miles x 0.575 = $17.25
3.1.2
Instruction of Use to Patient (30-60 minutes): $75 Labor Cost
3.2
sam® Unit Return; Shipping Box + Pre-paid Postage: $55/Patient Rental
3.3
Patient Follow-up Calls (2-weeks & 4-weeks): $75 Labor Cost
3.3
sam® Unit Inspection and Clean-up:
3.3.1
Cleaning Supplies/Swabs: $15/Patient Rental
3.1.2
Inspection, Clean-up and Re-Pack (30-60 minutes): $75 Labor Cost
4.0
PATIENT RENTALS DURING 18-MONTHS
4.1
Minimum Patient Rental: 36-days
4.2
PATIENT DISPENSING, RETURNS and CLEANING COSTS: 5-days/Rental
4.3
MAXIMUM PATIENT RENTAL DURING 12-MONTHS: 10 Rentals
5.0
PATIENT NON-RETURNS and DENIED CLAIMS
5.1
Patient Non-returns: Of the 10 Patients Renting the units it should be expected that at least 1-Patient will not return the sam® Pro 2.0 unit
5.2
Denied Claims or False Claim: Of the 10 Patients renting the units it should be expected that at least 1-Patient submits a “false claim” or the claim is denied
5.3
Net Rentals per sam® Professional unit: 8-Rentals
www.samrecover.com | ***@***
Page 2 of 3
6.0
SUMMARY RENTAL DISTRIBUTOR COSTS: 12-month Usage (8-Patient Rentals)
Description | Item Number | Qty. | Unit Price | Extended Price |
sam® Pro 2.0 | SA271 | 1 | US$ 2,822.00 | $ 2,822.00 |
sam® Gel Capture Patches PACKS (11-Rentals x 36-Days x 2 Patches/Day) | UB-14-12 | 24 | US$ 120.00 | $ 2,880.00 |
sam® Sport Controller | N/A | 2 | US$ 230.00 | $ 460.00 |
sam® Sport Applicators | N/A | 4 | US$ 295.00 | $ 1,080.00 |
sam® 2-Oz Tube of Gel | S1007-AC | 8 | US$ 6.00 | $ 48.00 |
sam® Y-Adaptor | S1003-AC | 2 | US$ 90.00 | $ 45.00 |
sam® Charger | S1005-AC | 2 | US$ 75.00 | $ 150.00 |
sam® Delivery and Instruction for Use | -- | 8 | US$ 92.25 | $ 738.00 |
sam® Unit Return, Shipping Box/Pre-Pay | -- | 8 | US$ 55.00 | $440.00 |
sam® Inspection and Clean-up | -- | 8 | US$ 92.25 | $ 738.00 |
Patient Non-returns | SA271 | 1 | US$ 2,822.00 | $ 2,822.00 |
|
|
| TOTAL |
|
7.0
SUGGESTED MONTHLY RENTALS TO PATIENTS
7.1
Total Estimated Distributor Costs for 8-Patient Rentals: $ 12,223.00
7.2
Daily Cost per Patient: $12,223.00/8-Patients x 36-days = $ 42.44/Day
7.3
Recommended Cost/Day Rental to Patient: (40% Mark-up) $ 59.42/Day
www.samrecover.com | ***@***
Page 3 of 3
