Welcome

1. Welcome The appropriateness and legal permissibility of the wellness programs and strategies discussed in this presentation should be confirmed independently by groups before undertaking. All results described are for purposes of example only. Actual program results will depend on various factors and cannot be guaranteed. Today’s presentation will begin shortly. In order to hear the audio for this presentation, please turn up your speakersor click on the “Info” tab above this presentation in the upper-left hand corner of your screen. The toll-free dial-in number and access code can be found under this tab. All lines have been placed on mute. If you’d like to ask a question, please use the chat feature in the bottom right corner and send your question to “all panelists.” A PDF of this presentation will be available at http://group.anthem.com/360health24-hours after the event.

2. Proving Wellness is Important to your Business Strategy May Employer Webinar

3. Healthier employees, healthier companies • 1. U.S. Department of labor, Bureau of Labor Statistics website, American Time Use (June 2010), www.bls.gov • Your employees are your most valuable asset. You want them to be healthy, but there’s more to it than that. When your employees are healthy… • Productivity can increase • Premiums or total medical spending may be reduced • Wellness programs and a corporate “culture of health” can help employees change their lifestyle and improve their health • Providing wellness solutions for employees is a sound business strategy and can help control costs • According to the Bureau of Labor Statistics, the average person spends 53% of their waking hours at work.¹

4. A case for 360° Health: Lifestyle behavior “There is clear evidence that the major chronic conditionsthat account for so much of the morbidity and mortality in the U.S., and the enormous direct and indirect costs associated with them, in large part are preventable-and that to a considerable degree they stem from, and are exacerbated by,individual behaviors. In particular, overweight and obesity, lack of physical activity, and smokinggreatly increase the risk of developing the most serious chronic disorders.” “By changing the way they live, individual Americans could change their personal health status and the health landscape of the Nation dramatically” Source: Prevention Makes Common Cents” DHHS http://aspe.hhs.gov/health/prevention/ accessed 5.2.2012

5. The Business Value of Wellness 8th Annual Study of Employee Benefits Trends, Findings from the National Survey of Employers and Employees, MetLife 2010 • Helping your employees improve their health is one of the best long-term strategies for reducing your health care costs. Based on a 2010 study, • Nine out of ten wellness program participants said they had success in losing weight and getting regular checkups • More than 80% said that they had increased their level of exercise, improved their diet and nutrition, or managed blood pressure, cholesterol levels, and stress • More than half (57%) of employees who participated in their companies’ health & wellness programs said they are very effective at impacting their productivity

6. Employees Expect Wellness • Faircloth, Inc 2009) • SOURCE: HMC Building a Culture of Health study. Q3 2008 (outcomes validated Q4 2008. Results do not relate to Empire members. • 2008 Survey of Health Care Consumers. Deloitte Center for Health Solutions. • 89 % of employees expect their workplace culture to promote healthy lifestyle concepts1 • 91% of employees believe employers have a responsibility to maintain and improve the health and well-being of their employees2 • Nearly two out of three individuals are interested in participating in wellness programs and 20% are even willing to pay extra for a wellness program3

7. What is Wellness • Concrete goals • Onsite health coaching • Internally Published Metrics • Formal Wellness Committee • Tobacco Free Workplace • 24/7 NurseLine • Preventive Health Services • On-site classes Employer Perception of Wellness • An opportunity to change the lives of employees for the better, resulting in a healthier business through increased productivity and reduced medical Member Perception of Wellness: • Wellness is having the energy and vitality to be productive and feel our and perform our best. • Definition of a Culture of Health? • A Culture of Health as one in which your employees know that it is important to you/the company that they make decisions and behave in such a way as to help them be as healthy as possible.

8. What are the Financial Impacts of Having a Culture of Health? From 2006 to 2008, what was the averageannual percent change in your medical trend? Large = 1,000+ Employees HMC Building a Culture of Health study. Q3 2008 (outcomes validated Q4 2008). Based on 2009 telephone survey of 400 company decision makers to ask whether they were working to build a “Culture of Health” and, if so, what kind of outcomes they were having. Note that results depend on various factors and cannot be guaranteed. Large companies with a Culture of Health have a greater impact on their medical trend over time

9. What Other Benefits Could my Company See with a Culture of Health? 10-point scale: 1= My company is much worse than peer group; 10= My company is much better than peer group HMC Building a Culture of Health study. Q3 2008 (outcomes validated Q4 2008). Based on 2009 telephone survey of 400 company decision makers to ask whether they were working to build a “Culture of Health” and, if so, what kind of outcomes they were having. Note that results depend on various factors and cannot be guaranteed. Companies with a Culture of Health may experience greater outcomes than their peersPerceived Positive Outcomes Compared to Peer Companies (mean Agreement score)

10. 360° Health®: Your Total Health Solution

11. 360°Health® Programs • Management • Comprehensive Medical Management: Utilization Management, Case Management, ComplexCare *, NICU * & Transplant • ConditionCare * • End Stage Renal Disease * • Support Programs • MyHealthCoach • Guidance • 24/7 NurseLineSM • Future Moms • Behavioral Health UM • MyHealthAdvantage * • Pharmacy * • Healthy Lifestyles • Worksite Wellness • EAP • Staying Healthy Reminders • Productivity Solutions * • Tools & Resources • Anthem.com • MyHealth Assessment • MyHealth Record • Anthem Care Comparison • SpecialOffers@Anthem® All 360° Health programs are not listed above. Not all programs available to all market segments. The programs listed above are included for fully insured Large Groups accounts (non-bolded). The programs listed in bold are optional and available for Large Group accounts at additional cost. The programs listed with an asterisk (*) may be optional for ASO and may vary by market segment.

12. Anthem resources for you • Wellness Promotion Resources: • Time Well Spent (anthem.com/timewellspent) • Wellness Calendar (wellnesscalendar.anthem.com) • MyHealth Assessment Promotional Toolkit on Time Well Spent • Employer Guide to Wellness in the Workplace • Wellness Topics Employee Survey • Wellness at Work flier

13. Over time Approach to Health Promotion & Wellness • Organizational commitment can maximize engagement and outcome • Multi-year program helps build a culture of health and wellness awareness and participation • Enhances readiness of the population for change • Helps foster level of trust and confidence in programs • Can increase levels of intervention and engagement • Step wise approach can build momentum based on success in prior phases • Multiple modalities provide greater accessibility and drive participation • Incentive based programs (rewards), when permitted, can provide additional encouragement to increase engagement and participation levels Program Components Member Promotional Campaign Health Promotion & Wellness Topics My Health Advantage Worksite Wellness Healthy Lifestyles Incentives

14. Take it to the next level: Integrate wellness into your workplace • Every company is different so you need to discover what wellness programs would mean the most to your employees: • Take a look at your demographics • Examine ways that are best to communicate to your employees and don’t forget about their dependents at home as they are the segment of your population that can drive the most cost. • Evaluate HRA data • Implement an employee survey • Work with your Anthem Account team to analyze your claims information to find trends • Consider environmental changes (no smoking policy, bike racks) The more information you have, the better your plan will be.

15. Employer Guide to Promoting Wellness in the Workplace • Helps you and senior leaders start putting a wellness plan into action – step by step • Build a wellness team • Lay out a specific plan for your wellnesscampaign • Set specific goals and objectives • Develop a timeline • Delegate roles and responsibilities • Itemize a budget • Promote health and wellness ideas • Begin communicating directly to employees • Set up a wellness fair • Evaluate your results

16. Best Practices When You Have a Small Budget • You can encourage healthy behaviors for your employees without a robust wellness budget. Here are some best practices : • Executive support • Build a Wellness Team • Understand what health issues matter most to your employees • Provide Access to Discounts and Health Improvement programs • Ongoing Communication • Create Healthy Competition • Measure Outcomes

17. When you want to Expand your Wellness ProgramSample 3 Year Wellness Strategy Increase Company Paid Wellness Credit Propose: $tbd/associate: $tbd/spouse Results (Be in Healthy Range/Show Improvement) Company Paid Wellness Credit: $400/associate; $400/spouse Participation (Programs + Tobacco-Free or Tobacco Cessation Program) Participation (Programs + Tobacco-Free or Tobacco Cessation Program) Company Paid Wellness Credit: $200/associate Awareness (Screening + Health Assessment) Awareness (Screening + Health Assessment) Awareness (Screening + Health Assessment) Year 3 Year 2 Year 1 • CDH & PPO/Cost-efficient HMOs • Wellness programs • Introduction of Wellness credits paid out as premium credits in the following year

18. Measure Your Results • When it comes time to size up your wellness program, you’re going to need proof that your plan is working and how it’s affecting your company’s bottom line. • Track attendance of events and competition participation • Conduct pre/post surveys to determine the value of the event and if people learned something new or plan to use the information • Your wellness plan could have an impact on attendance, sick leave usage, and employee turnover • Compare pre/post aggregate program results, biometric screening results, or health assessment results • Analyze claims experience and impacts from previous benefit changes • Communicate the results to participants, company leadership, and your Anthem rep!

19. ROI and The Broader Picture ROI is difficult to measure, however it’s better to take a comprehensive look at programs to understand the full benefits. • Engagement/ Participation Rates • Employee Satisfaction & Retention • Improved Health • Biometrics and Clinical Measures • Enhanced Productivity • Reduced Absenteeism • Reduced Benefit expense (Workers Comp. & Disability included) • ROI

20. Success Stories

21. Worksite Wellness: Case Study • Client: • 5250 employees, Primary manufacturing -- specializing in marketing and publishing services • Multiple locations, employees include off site sales teams and seasonal workers. • Worksite Wellness Strategy: • Offer Health Screenings: Total Cholesterol, HDL, LDL, Triglycerides, Blood Glucose, Blood Pressure, BMI • Held 30 on-site events. Added physician fax back options to reach off site employees. • Employees received financial incentive for participation in addition to monthly premium contribution based on scoring results. (Additional incentives were available for participation in other wellness programs). • Email, communications from on-site coordinators, letters to the home. In all cases, results depend on various factors and cannot be guaranteed.

22. Worksite Wellness: Case Study • Population Participation: 47.7% (=2504/5250) • Screening Results and Satisfaction*: • 37.2% of participants had an obese BMI ** • (compared to 34.1% of American adults 2003 - 2006) • 8.1% of participants had high total cholesterol ** • (compared to 16.3% of American adults 2003 - 2006) • 8.1% of participants had high blood pressure ** • (compared to the 2003 - 2006 U.S. average of 17.9%) • 98% of the attendees found the health screening useful • 86% of the attendees learned something new about their health • 90% said they would share the information they learned with their physician • 89% said health screening motivated them to make at least one healthy behavior change *2,325 satisfaction surveys were returned (return rate of 93.8%). Percentages include the number of members who “agreed” or “strongly agreed” with the statements. ** Compare to the most recent U.S. estimates by the Centers for Disease Control and Prevention (CDC)

23. Case StudyLifestyle Management Client Example Client: • 3,922 employees, financial institution- locally owned, multiple locations across two states • 65% female, average age 41 Lifestyle Management Strategy: • Launched Healthy Lifestyles Complete which includes Online, Telephonic and Gym network in January 2008 • Drove participation by adding incentives Results • 22% of enrollees participated in lifestyle campaigns, which is the highest among benchmark • 900K total estimated savings for both health care and productivity during 2010 • Estimated 2.8 million saving from 2008 thru 2010 In all cases, results depend on various factors and cannot be guaranteed.

24. Case StudyLifestyle Management Client Example Telephone coaching program results are considered for each program year. The 2010 program year is still in progress and will conclude on December 31, 2011 to allow individuals to complete 12 months of coaching support. Telephonic Coaching Risk Reduction • 2010 program year enrollees reported a total of 994 health risk and have improved or eliminated 36% of those risks. • In the 2009 program year 1,119 health risks were reported and enrollees improved or eliminated 33% of those risks. • In the 2008 program year, 2,541 health risks were reported and participants improved or eliminated 29% of those risks.

25. It Doesn’t Take Much to Move the Needle 1 National Diabetes Education Program Provider toolkit Your Game Plan for preventing type 2 diabetes 2003 2 Henke, R.M., Carls, G.S., Short, M.E., Pei, X., Wang, S., Moley, S., Sullivan, M., and Goetzel, R.Z. (2010) The Relationship between Health Risks and Health and Productivity Costs Among Employees at Pepsi Bottling Group. Journal of Occupational & Environmental Medicine, 52(5), 519–527. 3 American Heart Association’s 49th Annual Conference on Cardiovascular Disease Epidemiology and Prevention 2009 Once you have wellness programs for your employees, you can have a greater impact on future health care costs • For people with pre-diabetes, lifestyle changes, including a 5%–7% weight loss and at least 150 minutes of physical activity per week, can reduce the rate of onset of type 2 diabetes by 58%1 • A 1% reduction in health risks such as weight, blood pressure, glucose, and cholesterol risk factors would save $83 to $103 annually in medical costs per person2 • For every gram of salt that Americans reduce in their diets daily, a quarter of a million fewer new heart disease cases and over 200,000 fewer deaths would occur over a decade3

26. Sign Up for Other Events in 2012 Sign up at: http://group.anthem.com/360health • June 20th Wellness on a Dime: Low or No cost Wellness tools to help you build your Wellness Strategy • July 18th Amp it Up- What you can do to get your employees engaged: Employer success stories and Open Enrollment opportunities • August 15th Walking the Walk: How to plan a health fair and other on-site wellness events • September 19th Free Wellness Tools on Anthem.com: Online resources to help employees manage their health stop smoking and lose weight

27. Q & A Session If you would like to pose a question to our presenter, please type in the Q&A box to the right side of your screen and send to all panelists Anthem Blue Cross and Blue Shield is the trade name of Community Insurance Company. Independent licensee of the Blue Cross and Blue Shield Association. ® ANTHEM is a registered trademark of Anthem Insurance Companies, Inc. The Blue Cross and Blue Shield names and symbols are registered marks of the Blue Cross and Blue Shield Association.

28. Thank You! • If you have further questions, please contact your broker or Anthem representative.