Insurance coverage underwritten by UniCare Life & Health Insurance Company  Registered Mark and SM Service Mark of WellPoint, Inc.  2005 WellPoint, Inc.

Introducing

NOTICE All information and charts described in this presentation are brief descriptions of features and benefits of the plans when using participating providers, unless otherwise noted. For a more detailed description of the plans’ features, benefits, exclusions and limitations, please refer to the specific Plan Booklet and/or Certificate of Coverage. In addition, should there be any discrepancies between the information provide herein and the specific Plan Booklet and/or the Certificate of Coverage, the terms of the Plan Booklet and/or the Certificate of Coverage shall govern.

500 Ded 80% Coin 1000 Ded 80% Coin 2000 Ded 80% Coin 2500 Ded 70% Coin Saver % Coin 1000 Ded 80% Coin 2000 Ded 80% Coin Saver % Coin 1000 Ded – 80% Coinsurance 2650 Ded – 80% Coinsurance 5000 Ded – 100% Coinsurance 2650 Ded – 100% Coinsurance Tax Savings Low Costs Lower Cost Core Benefits Rich Benefits Maximum Protection

Michigan Small Group Plans Small Group plans are grouped into three categories; Small Group plans are grouped into three categories;  Premier Flex Plans  Flex Advantage Plans  HSA-Compatible Plans (High Deductible Health Plans) (High Deductible Health Plans)

– Premier Flex Plans – Flex Advantage Plans – HSA-Compatible Plans (High Deductible Health Plans) (High Deductible Health Plans) Michigan Small Group Plans

Premier Flex (PF) Plans for groups of 2-99 Lives Premier Flex (PF) Plans for groups of 2-99 Lives –PF PPO plans consist of five (5) plans with selected deductibles and varying co-insurance offering rich, valuable benefits that are competitively priced.

– Premier Flex Plans – Flex Advantage Plans – HSA-Compatible Plans (High Deductible Health Plans) (High Deductible Health Plans) Michigan Small Group Plans

Flex Advantage (FA) Plans for groups of 2-99 Lives Flex Advantage (FA) Plans for groups of 2-99 Lives –FA PPO plans consist of three (3) plans with selected deductibles and varying co-insurance; all offering important core benefits that are affordably priced to meet the growing demands of employees and employers in today’s rising health care market.

– Premier Flex Plans – Flex Advantage Plans – HSA-Compatible Plans (High Deductible Health Plans) (High Deductible Health Plans) Michigan Small Group Plans

Health Savings Accounts ( HSAs ) Health Savings Accounts are not insurance policies, but separate agreements between an eligible individual and a qualified financial institution. For convenience, UniCare has partnered with JPMorgan Bank, N.A. (Chase) who can offer this service to your clients, however, it is not a requirement to use the Chase HSA to apply for UniCare’s HSA-Compatible Plans. Your clients may establish an account with any qualified financial institution. First a word about HSAs

Health Savings Accounts ( HSAs ) President Bush signed into law on December 8 th as part of the Medicare RX bill ( Eff. 1/1/2004 ) President Bush signed into law on December 8 th as part of the Medicare RX bill ( Eff. 1/1/2004 ) Who is eligible to open an HSA? Who is eligible to open an HSA?  Anyone who is covered under a qualified High Deductible Health Plan (HDHP)  Generally anyone under the age of 65 (not Medicare eligible)  Cannot be claimed as dependent on another person’s tax return  Not covered by any other health plan

What are the contribution rules and tax treatment of an HSA?  An HSA is generally exempt from tax (like an IRA) as long as a HDHP exists  Contributions may be made annually up to the lesser of the HDHP deductible amount or $2650  Individuals, employees or employers may contribute to the HSA account  The HSA account is owned by the individual, not an employer  Withdrawals may be made without tax consequences to pay for medical expenses and in some instances for insurance premiums  Un-used account balances may carry over from year to year Health Savings Accounts (HSAs)

What is an HDHP?  In order to qualify for an HSA, your client must be enrolled in a qualified HDHP. An HDHP is a health insurance plan that meets the following U.S. Treasury requirements: –Annual Deductible of at least $1,000 ($2,000 family) –Annual Out of Pocket not in excess of $5,100 ($10,200 family) –No first dollar benefits-Deductible must apply to all benefits HSA-Compatible Plans (High Deductible Health Plan)

–UniCare’s HSA-Compatible (HDHP) PPO Small Group Plans consist of four (4) plans with selected deductibles and varying co- insurance, which when coupled with a Health Savings Account, offers premium savings, tax advantages*, and investment opportunities. HSA- Compatible Plans (High Deductible Health Plan) for Small Groups of 2-99 Lives *UniCare does not offer tax advice. For further information please consult your attorney or qualified tax advisor.

More information regarding HSA Administration Services can be found on the following Web sites: More information regarding HSA Administration Services can be found on the following Web sites: – – UniCare/WellPoint Integrated HSA Program with JP Morgan Chase Bank UniCare/WellPoint Integrated HSA Program with JP Morgan Chase Bank HSA-Compatible Plans

SM

Choice, affordability and Flexibility for your Bottom Line. – Defined Contribution Options – MemberFlex Options – Section 125 Premium Only Plan (POP) BusinessFlex SM

– Defined Contribution Options – MemberFlex Options – Section 125 Premium Only Plan (POP) BusinessFlex Key Features

Defined Contribution Options Designed to help employers manage the contribution level toward employee benefits  Defined Contribution (DC) gives employers more power to control benefit costs and to better plan budgets for their growing businesses  For Medical Benefits, employers may choose from four contribution levels (DC 80, DC 100, DC Select & Traditional)  For Dental Benefits, employers may choose from three contribution levels (DC 15, DC Select & Traditional)

Defined Contribution Options  Defined Contribution 80 limits employer share of monthly premium to no more than $80 per employee  Defined Contribution 100 limits employer share of monthly premium to no more than $100 per employee  Defined Contribution Select empowers employer to contribute any fixed monthly amount in excess of $100 per employee (in increments of $5.00)  Traditional Contribution enables employers to contribute 50% or more of the total monthly premium per employee

– Defined Contribution Options – MemberFlex Options – Section 125 Premium Only Plan (POP) BusinessFlex Key Features

MemberFlex SM Option Designed to give your employees choices  Employers can offer one, a few or all 12 plans to their employees  Employees can choose from rich-benefit plans with low deductibles, economy plans with high deductibles and HSA-Compatible (HDHP) plans  By extending to employees the ability to choose their coverage, everyone can get the protection they need at a price they can afford

– Defined Contribution Options – MemberFlex Options – Section 125 Premium Only Plan (POP) BusinessFlex Key Features

Section 125 P.O.P. Option POP offers you and your employees the opportunity to save tax dollars  Employees can use pre-tax dollars to pay their premiums  Employers can reduce their taxable payroll, FICA and other tax obligations  $125 annual fee Administrative services for the Premium Only Plan are provided by Ceridian Benefits Services, Inc., an independent company that is not affiliated with UniCare. UniCare does not provide tax advice. For tax information please consult your legal counsel or qualified tax advisor.

UniCare’s Small Group Dental Insurance Plans provide affordable coverage for dental care including: Access to quality care at discounted fees Access to quality care at discounted fees A wide range of dental services for preventive, diagnostic, basic and major dental care A wide range of dental services for preventive, diagnostic, basic and major dental care Freedom to choose any dentist Freedom to choose any dentist Additional savings for visiting an independently contracted, in-network dentist Additional savings for visiting an independently contracted, in-network dentist Choose from twelve (12) plans with varying deductibles and co-insurance Choose from twelve (12) plans with varying deductibles and co-insurance

Affordable Term Life Insurance Available to groups of 10 or more enrolling employees Available to groups of 10 or more enrolling employees Employer may elect to provide employees with choices of Basic Term Life, Accidental Death & Dismemberment, Supplemental Life and optional Dependent Life insurance Employer may elect to provide employees with choices of Basic Term Life, Accidental Death & Dismemberment, Supplemental Life and optional Dependent Life insurance Life and AD&D coverage amounts are available from $15,000 to $250,000 per employee Life and AD&D coverage amounts are available from $15,000 to $250,000 per employee Employer can choose between Flat dollar amounts or Benefits Graded by job title Employer can choose between Flat dollar amounts or Benefits Graded by job title Premiums for life insurance are consolidated with the medical premium bill for ease of administration Premiums for life insurance are consolidated with the medical premium bill for ease of administration

Marketing Strategies We have an agent who sells life on almost every medical plan he writes, using this incredibly simple approach. We have an agent who sells life on almost every medical plan he writes, using this incredibly simple approach. After getting agreement on the medical sale, he immediately moves into the life sale, using the following approach: After getting agreement on the medical sale, he immediately moves into the life sale, using the following approach:  “The usual employee benefits package includes $15,000 of Life insurance; but if you would like to offer something special that really makes the benefits you provide really stand out, perhaps you might want to offer your employees $25,000 instead?” The most common response is “No, the $15,000 will be fine.” The most common response is “No, the $15,000 will be fine.” This is an “assumed consent close.” It is presented in such a matter-of-fact approach, that employers seldom offer any resistance or reject the life offering. This is an “assumed consent close.” It is presented in such a matter-of-fact approach, that employers seldom offer any resistance or reject the life offering. Try this on your next small group medical sale: Contributed by: Chris Laliberte, VP ISG Sales & Marketing

Marketing Strategies The key to adding Life or other ancillary benefits to any sale is simply mentioning them! The key to adding Life or other ancillary benefits to any sale is simply mentioning them! Often, agents are so excited about getting the medical sale that they are in a hurry to get out of the door (perhaps surmising that if they say anything else, they may lose the sale). Often, agents are so excited about getting the medical sale that they are in a hurry to get out of the door (perhaps surmising that if they say anything else, they may lose the sale). Other times agents just simply forget to offer them. Other times agents just simply forget to offer them. Make it a habit of offering your valued client something that will make his or her company “the best place in town to work”. Make it a habit of offering your valued client something that will make his or her company “the best place in town to work”. Should they lose one of their employees due to an unfortunate event, your client could become a client for life and would proudly refer you to other business contacts. Should they lose one of their employees due to an unfortunate event, your client could become a client for life and would proudly refer you to other business contacts.

Key Features to Look For in an Agent Agreement Future renewals based on commission schedule in force when case was written. Renewals paid for as long as case is in force. Ownership and assignment provisions.

Our Commitment to You: Your UniCare Agent Agreement Ownership contract Ownership contract (six cases issued) Corporations can be licensed Corporations can be licensed Renewal commissions are same percentage as First Year commission rates Renewal commissions are same percentage as First Year commission rates

Commission Schedule

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