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HR Specialty Products & Services Catalogue Executive Summary

Patented Process for Beneficially Managing Mental Health (Psychotropic) Drug Usage by Plan Members   . HR Specialty Products & Services Catalogue Executive Summary A No Frills Distillation of Vendor’s Marketing Collateral Thomas A Ference President & CEO

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HR Specialty Products & Services Catalogue Executive Summary

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  1. Patented Process for Beneficially Managing Mental Health (Psychotropic) Drug Usage by Plan Members    HR Specialty Products & Services Catalogue Executive Summary A No Frills Distillation of Vendor’s Marketing Collateral Thomas A Ference President & CEO Human Resources Mining & Distribution Co Locating, Validating and Accelerating HR  Innovation Office: 219-662-0201 Cell: 630-240-2583 Fax: 219-661-0236 e-mail: tference@hrmdco.com Website: www.hrmdco.com

  2. Patented Process for Beneficially Managing Mental Health (Psychotropic) Drug Usage • Typically 15% to 20% of healthcare plan members are being prescribed mind altering drugs by non-specialized / regular physicians (not psychiatrists) • No scientific assessment of either the initial diagnoses or the propriety for continued usage as symptoms change • Among the top 5 therapeutic classes of drugs, psychotropics are the: -third largest representing 21% of the total spend -largest overall in terms of number of written scripts • Employers’ indirect costs include unnecessary claims in healthcare, disability and workers comp plus lost productivity and outweigh direct Rx costs.

  3. Rx consultancy deploys a comprehensive and patented process that also incorporates mental-health-coach-supported and telephonically-delivered Hospital Anxiety / Depression (HAD) screenings. • The HAD screenings are used for both initial and ongoing diagnoses in close coordination with the members’ prescribing physician on clinical outcomes. • A free upfront analytic for employers assesses the scope of problem and establishes the requisite and at-risk-for-success pepm. • In one case, savings in the targeted psychotropic drug spend was reduced by 30% with a similar reduction in percent of indirect savings in healthcare spend. Patented Process for Beneficially Managing Mental Health (Psychotropic) Drug Usage

  4. Only 12.7% of individuals seeking mental health treatment in the general medical setting received minimally adequate care compared to 43.9% of patients treated in the specialty mental health sector • Of 74 (short-term) studies on antidepressants registered with the FDA, 38 reported a positive outcome and 36 reported a negative outcome (Which do you think were published for peer review?) • 38% of the patients properly enrolled in the largest trial ever remitted during one of the four stages of drug treatment. Only 3% of the patients remitted and then stayed well throughout the 12-month follow up (108 of 4,041.) The remaining patients either failed to remit, relapsed during the follow up or dropped out. The Research

  5. Establish a secure two-way data feed with the PBM • Filter on drug data to identify potential candidates • Coordinate a targeted member outreach • Decide - “stick” or “carrot” benefit plan design approach • Manage Concurrent Authorization process with the PBM • Provide telephonic evaluations, screenings and coaching • Provide clinical outcomes to prescribing physician • Coordinate with EAP for free psychotherapy and other resources • Monitor side effects and drug adherence • Provide education and feedback to participants and physicians Implementation Plan and Metrics:

  6. 96 percent higher medication compliance for EBT participants at 1 year • 29.4 percent overall average reduction in total medical claims costs for the EBT participants in the year after enrolling in the EBT compared to prior year 96% 29.4% Case Study - Arizona-Based Hospital System’s Health Plan • 200 percent average increase in EAP engagement over 4 years 200% • 60 percent of the EBT participants scored reduced symptoms based on multiple standardized screenings 60% • 30 percent reduction in the EBT target drug spend within 15 months 30%

  7. This product/service is contained in the HR Specialty Products & Services Catalogue™ • Operational level details about this particular service provider can be obtained in conference with the vendor • The HR Mining &Distribution Co. is an independent and contracted representative of the vendor • Upon your request, we will arrange for an introduction that can range from a simple, quick conference call to a services overview / system demo • Tom Ference 219-662-0201 (Chicagoland area) or tference@hrmdco.com • Thank you for your potential interest in this fresh thinking Next Steps

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