Data Integration and New Age Efficiency

1. Data Integration and New Age Efficiency

2. Nebraska.Gov - WorkWell Relationship created to take WorkWell�s Health Risk Assessment tool from a labor intensive paper process to a streamlined online process. Why is this important? Makes the data more accessible. Easier to breakdown, easier to correlate, and easier to integrate. This has enabled WorkWell to expand access to their tool to multiple states. This means more data. More statistically valid data.

3. Who is Holmes Murphy? Insurance Broker. Ranked in the top 25 nationally, yet privately held. Do you have a picture in your head for who we are and what we do? We provide Employee Benefits, Property & Casualty, Workers Compensation, and Financial products in the Commercial marketplace. Do you have an idea now?? I work on the Employee Benefits Side. I sell Group health insurance and help Employers manage their Employee Benefit programs. You all have a picture in your mind of what I bring to the table. Right?

4. Why should you listen to me on this topic? I have seen the power of data integration. I have seen how something as simple as putting a paper form online, has transformed WorkWell�s business and their future. I have seen it transform what I do, and how I serve our customers. I sell insurance to employers. Expensive insurance that limits profitability every day for businesses in this country.

5. Opportunity Because of the work Nebraska.Gov has done, WorkWell has shifted their paradigm. They has moved from thinking locally, to thinking nationally. They have moved from providing limited feedback to participating groups, to providing data correlations that employer groups couldn�t possibly understand without WorkWell�s data integration. And it all started with something as seemingly simple as putting a paper form online. Data Integration equals Opportunity.

6. How do we apply this? How do we recognize opportunity? I�ll give you an example of how data integration has shifted our paradigm at Holmes Murphy

7. Things we know� Healthcare costs are increasing at a double digit clip. Insurance premiums have increased 4 times faster than inflation. The old way of doing business hasn�t flattened the trajectory of medical inflation. Meanwhile, our country continues to demand more healthcare. We continue to develop chronic illness at a record pace. Which causes insurance utilization to skyrocket on a parallel path.

8. 8 Addressing �Top Line Growth�

10. Medical Complications of Obesity

11. Controlling Future Costs - Addressing the �Top Line Growth�

12. Obesity and Medical Cost

13. Keep the 70% in healthy status and shift other risk buckets to green status Keep the 70% in healthy status and shift other risk buckets to green status

14. 14 Controlling Future Costs - Addressing the �Top Line Growth�

15. 15 Integrating Biometric Risks Data for Targeting

16. 16 Know Your Numbers

17. 17 Implications Presence of at least 3 risk factors is a much greater indication of the body�s susceptibility to disease than any single factor 5x more likely to develop diabetes 3x more likely to develop heart disease

18. 18 Holmes Murphy�s Risk Clustering

20. Holmes Murphy Vision: Well Workforce Initiative On-line web based technology platform Creates single one-stop platform to access: Wellness Data aggregation Benefits On-line enrollment Ability to own data and obtain real time reports Freedom to plug-n-play best in class vendors Ability to customize Holmes Murphy & Associates - private & confidential

21. Employee Screening Population Results from voluntary screenings for large regional grocery retailer. Scatterplot of actual employee data showing the average medical cost for each quadrant. Very scary stuff when you begin communicating the lower right hand quadrant of people who are essentially diabetics and don�t know it. Notice the numbers that are depicted in each quadrant; these represent the % of the population in each quadrant and the corresponding average medical claims per employee in that quadrant. $3,426 for the diabetic quadrant, and $2,035 for the healthy quadrant. This empirical data will allow us to assign actual $ savings from shifting the unhealthy population via intervention. The yellow dot represents the mean of the sample and the circle around it the standard deviation of the mean. Clearly the goal of the intervention would be to shift the dot to the upper left while shrinking the standard deviation to reign in the at risk outliers. Note: This screening includes people with fasting and non-fasting glucose levels so the data may be a little skewed based on these results.Results from voluntary screenings for large regional grocery retailer. Scatterplot of actual employee data showing the average medical cost for each quadrant. Very scary stuff when you begin communicating the lower right hand quadrant of people who are essentially diabetics and don�t know it. Notice the numbers that are depicted in each quadrant; these represent the % of the population in each quadrant and the corresponding average medical claims per employee in that quadrant. $3,426 for the diabetic quadrant, and $2,035 for the healthy quadrant. This empirical data will allow us to assign actual $ savings from shifting the unhealthy population via intervention. The yellow dot represents the mean of the sample and the circle around it the standard deviation of the mean. Clearly the goal of the intervention would be to shift the dot to the upper left while shrinking the standard deviation to reign in the at risk outliers. Note: This screening includes people with fasting and non-fasting glucose levels so the data may be a little skewed based on these results.

22. Health Cost by Risk Factors This chart shows the upward trend�more risk factors = higher medical claim dollars. Notice the average cost of people who are unscreened�it appears to be an unhealthy portion of the population.This chart shows the upward trend�more risk factors = higher medical claim dollars. Notice the average cost of people who are unscreened�it appears to be an unhealthy portion of the population.

23. Employee Health ? Work Comp This one is the hammer that brings together the correlation of employee health to work comp claims. I would make sure to preface this slide with an explanation of Metabolic Syndrome. The story seems to be understood if you tell the Metabolic syndrome/wellness story prior to all these dashboard slides so they begin to understand the whole picture. The top pie charts essentially show your population�s health and a breakdown of # of factors and which metS factors. I don�t need to tell you how powerful the bar chart is below. This essentially validates the Duke study to a certain extent, except for the dip in average work comp dollars for employees with 4 and 5 risk factors. What does this tell us? I have some ideas, explanations, assumptions and conclusions that I have personally drawn from this that we can discuss.This one is the hammer that brings together the correlation of employee health to work comp claims. I would make sure to preface this slide with an explanation of Metabolic Syndrome. The story seems to be understood if you tell the Metabolic syndrome/wellness story prior to all these dashboard slides so they begin to understand the whole picture. The top pie charts essentially show your population�s health and a breakdown of # of factors and which metS factors. I don�t need to tell you how powerful the bar chart is below. This essentially validates the Duke study to a certain extent, except for the dip in average work comp dollars for employees with 4 and 5 risk factors. What does this tell us? I have some ideas, explanations, assumptions and conclusions that I have personally drawn from this that we can discuss.

24. 24 Blood Pressure Impact on Medical and WC Claims Dollars From here, we can really drill into each risk factor and how its population is impacted claims. This is where we really begin to see the cause and effect and interdependency of each risk factor to claim dollars. The bar charts show an employee count of people at risk in terms of blood pressure. The squiggly lines represent average claim dollars for medical and work comp.From here, we can really drill into each risk factor and how its population is impacted claims. This is where we really begin to see the cause and effect and interdependency of each risk factor to claim dollars. The bar charts show an employee count of people at risk in terms of blood pressure. The squiggly lines represent average claim dollars for medical and work comp.

25. 25 Glucose Impact on Medical and WC

26. 26 Triglycerides Impact

27. Obesity, Medical, and Workers Comp Cost

28. Obesity, Medical, Workers Comp, and Lost Time

29. 29 PC Claims by Division This shows claims by each division. Division 3 shows the highest frequency and 2nd highest severity so lets explore�This shows claims by each division. Division 3 shows the highest frequency and 2nd highest severity so lets explore�

30. 30 Work Comp by employee tenure This slide shows the workers compensation claims by employee tenure. We can also drill by causes of loss, body part, gender, age, day of the week and by state. From here, my discussions in the work comp world is where I begin to segue into how the health of employees correlates to work comp claims and health claims.This slide shows the workers compensation claims by employee tenure. We can also drill by causes of loss, body part, gender, age, day of the week and by state. From here, my discussions in the work comp world is where I begin to segue into how the health of employees correlates to work comp claims and health claims.

31. How Do We Integrate This Knowledge? This is where I would put somewhat of a segue slide in that brings the person back into the health world and the impact Metabolic Syndrome has on your health and work comp claim costs. Now I�ll get into the stuff that you�re really looking for on the health side and then eventually tie everything back to Work comp�This is where I would put somewhat of a segue slide in that brings the person back into the health world and the impact Metabolic Syndrome has on your health and work comp claim costs. Now I�ll get into the stuff that you�re really looking for on the health side and then eventually tie everything back to Work comp�

32. Consolidating the DataNext Generation Modeling

34. Facing the Firing Squad

35. High Level SummaryAlmost 3,000 Pages of Legislation on 1 Page $2000 penalty for employers (50+ EEs) who don�t offer coverage No mandate on amount of premium employer must pay Penalties for individuals who do not purchase coverage Eliminates pre-existing conditions Covers children to age 26 Eliminates (unreasonable) annual and lifetime maximums Creates an �Exchange� for individual and small group purchasing Expands Medicaid Subsidizes coverage for individuals under 400% of FPL Charges �fees� to industries Taxes �cadillac� plans Taxes high income individuals Charges industry �fees� on insurance, Rx, and medical devices

36. Nebraska.Gov You thought I sold insurance. You thought I showed up with a spreadsheet illustrating a few companies and advised people to buy the cheapest product. Right? If you haven�t explored the power of data integration and data aggregation, then you really haven�t considered all of your potential. Opportunity is knocking. Are you listening?