1. Welcome Clients and Friends! Wednesday, September 24, 2003

2. Update on Healthcare Costs Average increases have been 25-35% We have seen increases from 9% up to 67% Contributions to High Health Costs Technology advancements Prescription drug costs (new drugs, consumer marketing) Balanced Budget Amendment Act Utilization increases – due to aging population Industry regulation Malpractice crisis Nursing Shortage Cross/Highmark Split

3. PA Bill to Move Back to True Community Rating

4. Health & Wellness Programs Why Important?

5. Did you know? 20% of the population accounts for 80% of the costs in most health care plans. (Source: Disease Management Association of America)

6. Did you know? Over 70% of all these expenses are treatable, they include: Heart Disease Type II Diabetes Lung Cancer High Blood Pressure

7. How does my company save money? Within 5 years of implementing a comprehensive wellness program, returns may be $3 to $8 per dollar invested (Source: Goetzel, R.Z. (2001). AJHP. Vol. 15, No. 5)

8. Health & Wellness Program Success Stories Steelcase, Inc. Conducted a comprehensive wellness program for 8,000 employees and experienced the following outcomes in a five year period: Employee’s average health claims decreased from $1,155 to $537 Participant’s medical claims were 45% lower than non- participants Estimated ROI 6:1

9. Health & Wellness Programs Highmark Blue Shield Capital Blue Cross Health America/Health Assurance Keystone Health Plan Central Geisinger Health Plan

10. HealthPLACE @ Work: Program Model (www.highmarkblueshield.com) Model: Health Awareness (All groups) Health Promotion (Over 50 Employees) Features: Targeted Health Education Literature Phone based and self-help tobacco cessation with $50 incentive Internet based resources: Online Health Risk Appraisals, Discount Directory, Tools and Calculators Blues on Call Resources Efforts to move to the Health Promotion Model Everything in Health Awareness Model PLUS: Wellness Committee Training Personal Wellness Profile and Biometric Screenings Health Bus Executive Summary Individual Summary Cost: No Cost$35 per employee for NON-Highmark Blue Shield Members, plus cost of program instructors

11. Capital BlueCross www.capbluecross.com Online Health Information/Health Links/Health Tips Health Information Kits Provides detailed information on specific topics (i.e. aging, cancer prevention, nutrition, weight management, etc.) Smoking Cessation Discount Health Networks Gym memberships, Weight Watchers, etc. Preventive Health Weight Management Programs

12. Capital BlueCross www.capbluecross.com 24 hour Nurse Line Information, questions, education, access to Disease Management Programs, Health Information Library Precious Baby Prints Support during pregnancy, birth, and follow up care education, identify risk factors, etc. Disease Management Programs Asthma, Coronary Heart Disease, Congestive Heart Failure, Diabetes Case Management

13. Keystone Health Plan Central www.khpc.com Preventive Health Programs Women’s Health, Immunization programs to increase awareness Maternity Management Programs Nicotine Cessation SmartSurgery Detailed information on what to expect before, during, and after surgery Wellness Discounts

14. Keystone Health Plan Central www.khpc.com Keys to Wellness Disease Management Programs Depression, Diabetes, Asthma, Heart Failure, Chronic Obstructive Pulmonary Disease Health Education Programs HealthLink* Information Line 24 hour, 365 days a year over the phone audio system providing access to over 1,100 health related topics

15. HealthAmerica/HealthAssurance www.healthamerica.cvty.com Disease Management Programs Diabetes, Heart, Lung, and Respiratory, Cancer, Asthma, Oncology, Gerontology, Trauma, Transplants Preventive Health Guidelines Member’s Choice Programs – Discount Services The Center for Organ Recovery and Education Complete and factual information on how the donor program works Wellness Reminder If members sign up – the member gets email reminders when they need to receive their wellness tests

16. HealthAmerica/HealthAssurance www.healthamerica.cvty.com About Your Health Educational information on specific illnesses WebMD Provides wellness and disease information designed to educate you and help improve your health Health Education Classes Reimbursement for weight management, smoking cessation, etc. Living Well Magazine Pregnancy Program

17. Geisinger Health Plan www.thehealthplan.com 24 Hour Nurse Line Disease Management Programs Asthma, Diabetes, Tobacco Cessation, Congestive Heart Failure, Hypertension, Osteoporosis, Chronic Obstruction Pulmonary Diseases Accessories Program Discounts on health items and services

18. New Programs Available

19. Capital BlueCross and Keystone Health Plan Central Preauthorization plan for prescription drugs HRA’s New Plan – PPO 123

20. Highmark Blue Shield HRA’s – BlueAccount BlueChoice 90/70 or 80/60 – PPO/POS Plan Designs

21. HealthAmerica/HealthAssurance HRA – Flex Choice HMO’s with deductibles and coinsurance available January 2004

22. How Can Alpha Help? Call Christine at (717)303-0300 extension 102 for more information. To download a copy of this presentation, please visit www.alphabenefits.com/seminar