GlidePath: BCBSM’s Private Exchange Solution

Why GlidePath? 2 It satisfies both employer and employee needs, while providing predictability, choice, and control.

GlidePath Current State Over 10,000 Michigan residents are using the GlidePath platform! Seven active groups – 5,500 members Two retiree groups – 4,900 members Who is eligible for GlidePath? During Focused Release phase, fully insured and self-funded active groups, 51+ FTEs 3

2013 – 5 Product Families Premium Costs HighLow High Coverage

2014 Product Families Menu A*CoinsuranceOOPMPCP OV/SPEC OV/UC/ER PPO HMO Simply Blue 1000BCN %$3,50030/50/60/150 Simply Blue HSA 1250BCN HSA %$2,25080% after in-network deductible, with 20% coinsurance Simply Blue 2500BCN %$5,00030/50/60/150 Simply Blue HSA 3000BCN HSA %$4,00080% after in-network deductible, with 20% coinsurance Simply Blue 4000BCN %$6,35030/50/60/150 Menu B* PPO HMO Simply Blue 250BCN 25020%$1,75020/40/60/150 Simply Blue 500BCN 50020%$2,00020/40/60/150 Simply Blue 1000BCN %$3,50030/50/60/150 Simply Blue HSA 1250BCN HSA 12500%$2,250N/A Simply Blue HSA 2000BCN HSA 20000%$3,000N/A PPOHMO Rx Option A15/50/50%/20%/25%4/15/40/80/20%/20% Rx Option B10/40/80 Pharmacy Options: *2014 menu options are dependent on OFIR approval 5

2014 Sponsored Dental and Vision Options 6 Note: Sponsored Ancillary Options require a minimum monthly contribution. Dental: $15 - Vision: $ Both: $16.65 (This is a per subscriber contribution ) Vision: Dental:

2014 Voluntary Dental and Vision Options 7 Vision: Dental:

GlidePath Process 8 This process “engages” employees in the health insurance buying decision

Significant GlidePath Results 66% of employees substantially “bought down” on the exchange 62% of employees took the GlidePath Decision Support survey 79% of members believe their enrollment experience is as good as or better than last year 9

Working with GlidePath Advisors GlidePath Advisor Available 8 am – 11 pm Eastern time Seven Days a Week! Licensed Individualized Trusted Customer- focused 10

One-on-one support to navigate the health care system. Consumer health care education and coaching Staffed by registered nurses and other credentialed advisors Available to the entire family, including parents Resource for Employee Empowerment

The GlidePath™ Service Advantage Employer Selection Employee “Shopping” Member Service Broad nationwide provider networks Neutral to agent and consulting partners GlidePath Advisors Online enrollment system Health Advocate™ Customer Service Professionals Walk-in Centers Access to best-in- class providers nationwide 12

A Review of Our Experience With GlidePath 13 Two years of experience operating a private exchange serving Michigan Companies Provide stability before market introduction Satisfied group references