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Wellness-Driven Outcomes Driving Participation & Rewarding Outcomes Healthways-Core Commitment To support evidence-based programs across all product lines that improve health and provide meaningful clinical and financial outcomes. Acquired MyHealthIQ Diagnostics June 2005 Whole Population Solution Care Support Health Support Outcome Risk Disease No or Low Claims Intense and Frequent Claims Low Healthy High Family History Lifestyle Issues Acute Persistent Chronic Terminal Catastrophic Palliative Catastrophic Care Complex Case Management Disease Management Decision Support Screening and Secondary Prevention Education and Information Sharing Health Promotion, Wellness and Primary Prevention Evidenced Based Patient/Physician Interventions Behavior Change Rx Scalable Analytics and Knowledge Engines Specificity Common Systems and Database Platforms Integration Copyright © 2006 American Healthways, Inc. Wellness Models: HRA Driven Model Health Risk Assessment Worksite Health Fair/Finger Stick Medical Screening/Venipuncture Self-Directed Content: No Intervention Self-Directed Interventions No Incentives Coaching HRA Only Scoring Lab and Biometric Scoring Outcomes Incentives HRA Data Collection Worksite Health Fair Content/Web Tools Interventions Self-Directed Interventions Coaching HRA Scoring Scoring/ Incentives & Outcomes Wellness Models: Portal/ASP Model Wellness Models: Medical Exam Model Objective Data Improves Participation From a random sample of 12,000 participants that completed the MHIQ HRA and Worksite Medical Exam: 74% could not self report their cholesterol, blood pressure or body fat. 42% more participants tested “positive” for Nicotine than self-reported they smoked. 33% self-reported “good or excellent” self-perception of health but unknowingly had 3+ clinical risk factors 28% self-reported “good eating habits” but had dangerous blood fat levels Biomedical Stratification & Support Participation: Avg. 80% HRA, Exam/Labs, Score, $$$ Incentives (Support Self-Directed Participants) MHIQ LOW Low/No Risk HIGH Early Signs At Risk Symptoms Cost Avoidance Pro-Change Readiness Preparation Lifestyle Interventions Evidence-Based Outcomes Event Chronic Cost Reduction Disease Management (Nurse Coaching) Capture Employee’s View Health Risk Assessment-HRA • Univ. of Mich. HMRC Research Criteria • CDC Prevention Assessments: -CHD, Diabetes, Cancer • Full Medical History & Current Conditions • Lifestyle and Mental Health Assessment • Readiness For Change • Health Plan Access and Satisfaction • Highly Valid-Not Scored or Incentivised • Used to Correlate Lifestyle & Lab Results Compare and Contrast to Medical Data Worksite Medical Exam • Serum Cotenine-Tobacco • Full Lipids-Heart Disease • Glucose-Diabetes • Triglycerides-Heart Disease • GGT-Alcohol Abuse • Body Fat/BMI-Obesity, Heart Disease • Blood Pressure-Hypertension, Heart Disease • 20 Chem. Panel: Vital Organ Test Make The Correlation…Continually! Hypertension Obesity Worksite Medical Exam • Serum Cotenine-Tobacco • Full Lipids-Heart Disease • Glucose-Diabetes • Triglycerides-Heart Disease • GGT-Alcohol Abuse • Body Fat/BMI-Obesity, Heart Disease • Blood Pressure-Hypertension, Heart Disease Not Enough Exercise Personal Health Score & Incentives Features of Employee’s IQ Report Health IQ Score: Quantifies modifiable risk factors that impact health care claims 100 is best score: no risk factors 71 recommended minimum score to qualify for incentives in Y2 •Baseline Score •Summary of Lab Results •Scores weighted: “Impact on Claims” •Rank by Severity: Red Alert prompts action • Modifiable Risk Factors • Clear/Visual Prompts Base Year Score 57 Incentives That Work Year 1: Apply and Reward Financial Incentives Year 2: Mandate Spouse Participation for $$$ Year 3: Reward Health Improvement Maintain Low-Risk Health Score Improve Health Score by at least 5pts Have MD Certify Compliance Reward Intervention Enrollment Messaging: “We are Targeting Risk Factors That Diminish Health Clearly articulate your objectives. “We need your help to improve the health of our organization.” Share the Facts…the Costs Smokers average $3,400 per year in excess medical claims The risk of death from Cardiovascular Disease increases 30% if you smoke Source: CDC It’s silent…how would you know? High Blood Pressure is the leading cause of disability and death from stroke, heart attack and kidney failure Untreated Hypertension results in 33% more sick days Source: CDC It’s silent…we want you to know! Cholesterol is a leading indicator of heart disease. A 10% reduction can lower risk of Cardiovascular Disease (CVD) by 30% Source: CDC Obesity…it will kill you. That’s why we care. Medical costs from obesity are higher than adding 20 years to your life. Obese patients spend 77% more on medications Source: CDC Bad Food, No Exercise=Diabetes! Do you have it…because 1 in 3 adults have a lifetime risk of diabetes: Medical claims for those with diabetes are 6x higher…than the “have-nots” Source: CDC Communicate, Communicate, Communicate…. When, Where, How and Why? Confidential! Confidential! Confidential! What Does MyHealthIQ Do That Others Don’t Over 90% of the Health IQ participants improved 3 or more clinical metrics after one year of participation Over 50% of Health IQ participants improved 6 or more clinical metrics after one year of participation Objective Data & Report Card Motivates Change Y1 Employees With Scores Under 71pts Test Result after 12 months (Y2) No other Intervention than HIQ • 12% Y2 Negative Nicotine (Positive Y1) • 58% Improved Diastolic BP • 48% Reduced Glucose • 59% Reduced LDL • 62% Lowered Total Cholesterol • 44% Reduced Body Fat Source: Healthways Informatics Research. December, 2005 data from statistically significant sample of company database. Results may vary with different groups and incentives. Medical Wellness…Objective…Supporting Objective Data (Lab and Physical Exam) Drives Risk Assessment Premium Reduction Incentives Activate Consumer to Engage Population Participation Rates >80% Year 1 Customized Self-Directed Behavior Change Tools and Support Outcomes Driven Wellness that Works Improved Health Lower Costs Improved Productivity Copyright © 2006 American Healthways, Inc. Prove It’s Working Measured Health Improvement From Year-to-Year Medical Results 56% 49% Reduced “At Risk” Population Baseline Year 1 Copyright © 2006 American Healthways, Inc. Represent Significance…Satisfy the Skeptics. Population: Improvement in Risk Scores: Baseline to Year 1 Statistically Significant Improvement Any Improvement At Risk Total О О О О О О О О О О О О О О О О О О О О О О Factors Total Cholesterol HDL Cholesterol LDL Cholesterol Total Cholesterol/HDL Ratio BMI Systolic Blood Pressure Diastolic Blood Pressure Triglycerides Glucose Nicotine Body Fat Percentage Copyright © 2006 American Healthways, Inc. Tobacco Cessation Outcomes Of the members who had Baseline Scores (“at risk”), 41% tested positive for nicotine 12% Positive Negative From this group of members, 12% tested negative by year 1. This outcome is at least twice that of results experienced from typical tobacco cessation programs. Copyright © 2006 American Healthways, Inc. Weight Management Outcomes Of the members who had Baseline Scores (“at risk”), 92% had an unfavorable body fat percentage, based on their age and gender Not At Risk 46% At Risk From this group of members, 46% improved this measurement by year 1. Copyright © 2006 American Healthways, Inc. What do we know from History…RELAPSE! Have a Support Plan…Educate Employees about Behavior Cycles Interventions Blood Pressure Compliance Lipid Management Compliance Mild Anxiety and Depression Self-Directed Desired Behavior Change Exercise and Physical Activity Stress Management Nutrition and Body Composition Tobacco Cessation Platform Copyright © 2006 American Healthways, Inc. Give them Objective Data, Tool Kits and Expectations Give them a Chance…Give them a Choice. •We make your employees Healthier •Healthy employees are more productive •Healthy employees cost less to insure. Product Snapshot Personal Program Portal 24/7 access to health content, tools, reports, lab results and online support Account Admin Online Q & A Archive of Assessments Confidential Report Access Personal Health Content “Push” Medline Health Search Current Test Status Health Support: In “Action” Phase Score, Educate, Support, Measure Health Support-Tools Score, Educate, Support, Measure Risk Specific Messaging and Support Score, Educate, Support, Measure Medline/NIH Health Search Resource Score, Educate, Support, Measure “Readiness” Messaging for Ambivalent • Over 16,000 Possible Personalized Pro Change Report Iterations Telephonic Support AMHC's Care Enhancement Center: Outbound Alert High-Extreme Cases Guide To Resources, Support, Monitor Self-Actuate: Unlimited Inbound Support Primary Care Referrals 6 of 10 participants tested do not have primary care physician 74% surveyed, reviewed their HIQ report with a physician Mail Support All participants are provided 24/7 access to their reports,health content, tools, lab results and online support on the web, plus… –Printed Reports Are Confidentially Mailed to Participants’ Homes –Quarterly Targeted Mailings can be Distributed to all Participants –Outbound Counselors Call High/Extreme Cases –All Reports Refer to Healthwise Self-Care Guide (included) Individual Reporting Score, Educate, Support, Measure Stakeholders Support 99% of all MHIQ participants allow their PHI to be shared with other providers in their plan 2 Analytics/Consultants 3 1 Health Plans Mental Health-EAP AMHC Informatics 5 4 Smoking, Weight Loss, CoachingContractors Health History, Labs, Symptoms-DM Methods of Measuring ROI HSS Published Guidelines for Financially Incentivized Bonafide Wellness Programs April 2003. • Companies measure ROI Differently: • Against “Cost of Doing Nothing” with annual double digit premium inflation-Engage Employees-Reduce Trend •Net Cost after shifting higher premiums to non-participants •Reduction of Average Medical Claims •Reduction of STD, Workers Comp, Absenteeism, Presenteeism-Estimated at 3x Cost of Programs. Financial Outcomes: Claims Reduction In 12 months from initiating the program and scoring lab and biometrics Y1 to Y2: 83% Participation Rate 52% reduction of participants with Extreme Risk Status 47% reduction of participants with High Risk Status Year-over-year reduction in average medical claims of $1,440. Source: MHIQ Customer, March, 2005 data from statistically significant sample of company database. Results may vary. Financial Outcome: Lowering Renewals In 12 months from initiating the program and among users from Y1 to Y2: 85% Participation Rate MHIQ Incentive Structure made the program cost neutral 6% reduction in claims in Y2 vs. a 9% increase forecasted based on trend Source: Culver Academy, June 2005 data from a statistically significant sample of company’s database. Results may vary. Discussion Thank you for your consideration For More Information Contact: Darren Hodgdon, SVP 615.565.5909 [email protected]