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March 281h 2017 City of Miami – City Clerks 3500 Pan American Drive Miami, FL 33133 Contracting Officer: Charles Johnson USIII Jose L Gonzalez SVP, Employee Benefits USI Insurance Services, LLC. 201 Alhambra Circle, Suite 801 Coral Gables, FL 33134 786-454-2080 Direct Line Re: Request for Proposal for Employee Benefit Consulting Services RFP# 678384 On behalf of USI, we are extremely delighted to be considered by The City of Miami in your search for an employee benefit consulting firm to represent your employee benefits objectives. USI is built upon a tradition of integrity, industry leadership, and excellence. We are committed to delivering tailored benefit solutions with thoughtful, strategic planning, valuable professional services, and technology-based solutions that result in sustained customer and employee satisfaction. Through initiative and follow-through, we help our customers find answers, implement solutions, and anticipate consequences. USI has served over 100,000 clients meeting their property & casualty, employee benefit, personal risk and retirement needs nationwide, We have more than 100 years of consulting and brokerage experience through our acquired agencies, with our local office dating back in Miami - Dade County as far back as 1935. USI combines industry leading national capabilities delivered through longstanding, passionate and committed local service teams. USI stands for Understand, Service and Innovate. At USI we work to Understand the specific needs of our clients, to provide an unparalleled local Service experience, and to Innovate with cutting edge solutions so our clients can continue to invest and grow. In this response, we will address all of the items listed in your RFQ # 678384, either below or by reference to another section within this binder. We have also added a flash Drive as per the stipulations of the RFP. Please note the password is Usi20171 (Case sensitive) Please note that some of our answers are general in nature as the consulting approach we take with each client is based on that client's particular objectives and needs. We are prepared to answer any questions thoroughly and specific to your needs so please feel free to contact us. fly Yours, Jose L. Gonzalez — Sr. Vice President of Employee Benefits ,1 • Con tacts: Request for Proposals Employee Benefit Consulting Services RFP # 678384 Proposer: USI Insurance Services, LLC. FL /N# 13-3771734 RFP Contact: Maria olivo, 954-607-5217 maria.olivio@usi.com Liasion for the Contract: Stephen Roche, 954-607-4025 stephen.roche cDusi.com Presented by: Jose L Gonzalez, VP Employee Benefits iose._gonzalez@usi.com Primary office location: 201 Alhambra Circle, Suite 801 Coral Gables, FI 33134 Business Phone: 305-669-6000 Business Fax. 305-669-6030, wvvw.usi.com Employee Benefit Consulting Services RFP 678384 2. Table of Contents Section 2. Table of Contents............................................................................................. Page(s) : 2-3 Certification Statement..................................................................................................... Page(s) : 4-5 Pricing,,. ................................................ ............................................................................ Page(s) 6 Section 3. Executive Summary...................................................................................... Page(s) . 7-8 Section 4. Proposer's Experience, Qualifications and Past Performance ............... Page(s) : 9-11 Section 4.2 Comparable Contracts Page(s) 12-13 Section 4.3 List of Projects Performed............................................................................ Page(s) : 14 Section 4.4 Pending Litigation.......................................................................................... Page(s) 15 Section 4.5 Two Letters of References............................................................................ Page(s) : 16-17 Section 4.6 Business Tax Receipt...................................................................................... Page(s) : 18 Section 4.7 Subject Matter Experts................................................................................. Page(s) 19 Section 4.8 Exceptions to the terms................................................................................. Page(s) 20 Section 5,1 Key Personnel................................................................................................ Page(s) : 21-22 Section 5.2 Experience................................................................................................... Page(s) 23-25 Section 5.3 Documentation............................................................................................. Page(s) : 26-28 Section 5.4 Job Descriptions............................................................................................. Page(s) : 29-31 Section 6.1 Proposed Approach....................................................................................... Page(s) : -12-35 Section 6.2 aperaional Plan............................................................................................ Page(s) 36-40 Section 6.3 Monitor Performance.................................................................................... Page(s) : 41-42 Section 6.4 Methodology for Compliance..................................................................... Page(s) : 43-44 Section 6.5 US] Recommendations............................................................................... Page(s) : 45 Section 6.6 USI Value Added.........................................................,................................. Page(s) : 46-50 Proposed Pricing.............................................................................................................. Page(s) : 51 RFP Response is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 21 Page Employee Benefit Consulting Services z_ Table of Contents (continued) Appendixes (5eperated by Tab Numbers} Appendix 1— Form B Appendix 2— Why USI? IFP 678384 Appendix 3- Wellness & Population Health Management Case Studies Appendix 4- Pharmacy Benefit Report Appendix 5- USI 3D Reporting Appendix 6- Sample Benefit Guide and Communication Piece/ Sample Service Calendar Appendix 7- ThinkHR and Online Training Modules Appendix S- Benefit Resource Center Appendix 9- USI Presentation with Case Studies Appendix 10- Biographies Appendix 11- USI Consulting Group Capabilities Appendix 12- Certificate of Liability Insurance RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 31 Page Employee Benefit Consulting Services Certification Statement RFP 678384 Please quote on this form, if applicable, net prices for the item(s) listed. Return signed original and retain a copy for your files, Prices should Include all costs, including transportation to destination. The City reserves the right to accept or reject all or any part of this submission, Prices should be firm for a minimum of 180 days following the time set for closing of the submissions. In the event of errors in extension of totals, the unit prices shall govern in determining the quoted prices. We (1) certify that we have read your solicitation, completed the necessary documents, and propose to furnish and deliver, F.O.B. DESTINATION, the items or services specified herein. The undersigned hereby certifies that neither the contractual party nor any of its principal owners or personnel have been convicted of any of the violations, or debarred or suspended as set in section 18-107 or Ordinance No. 12271. All exceptions to this submission have been documented in the section below (refer to paragraph and section). EXCEPTIONS: Please see section 8 We (I) certify that any and all information contained in this submission is true; and we (1) further certify that this submission is made without prior understanding, agreement, or connection with any corporation, firm, or person submitting a submission for the same materials, supplies, equipment, or service, and is in all respects fair and without collusion or fraud. We (I) agree to abide by all terms and conditions of this solicitation and certify that I am authorized to sign this submission for the submitter. Please print the following and sign your name: PROPOSER NAME: USI INSURANCE SERVICES, LLC, ADDRESS: 201 ALHAMBRA CIRCLE, SUITE 801 CORAL GABLES, FL 33134 PHONE: 305-669-6000 FAX: 305-669-6030 EMAIL: SIGNED TITLE: RFP Response is Intended solely for the City of Miami and all information Is considered CONFIDENTIAL 41 Page Employee Benefit Consulting Services Certifications Legal Name of Firm: USI Insurance Services LLC. Entity Type: Partnership, Sole Proprietorship, Corporation, etc. Corporation Year Established: Lon Worth Crow Established in 1935 acquired by U51 who was established in 1994 Office Location: City of Miami, Miami -Dade County, or Other Coral Gables, Miami -bade County Business Tax Receipt % Occupational License Number: BT -0000006246 Business Tax Receipt / Occupational License Issuing Agency: City of Coral Gables Business Tax Receipt f Occupational License Expiration Date: 09/30/2017 Will Subcontractor(s) be used? (Yes or No) None at the moment RFP 678384 Please list all addendum/addenda received. List the addendum/addenda number and date of receipt (i.e. Addendum No. 1, 7/1/07). If no addendum/addenda was/were issued, please insert N/A. Addendum No. 1 received March 23, 2017, Addendum No. 2 received March 23, 2017 Has Proposer reviewed the attached Sample Professional Services Agreement (PSA)? Yes Does Proposer acknowledge that the attached PSA is an example of the standard Agreement used in conjunction with the provision of these services? Yes RFP Response Is Intended solely for the City of Miami and afI information is considered CONFIDENTIAL 51 Page Employee Benefit Consulting Services Line: 1 RFP 678384 Description: Proposers are not required to enter a unit price on this line. Proposers shall submit their proposed prices on Form B, Price Proposal Schedule, located under the Header/Notes and Attachments Section of this Solicitation, in the OracleliSuppiier Sourcing System Category: 91800-00 Unit of Measure: Dollar Unit Price: $ $180,000 Number of Units: 1 Total: $ 180,000 Employee Benefit Consulting Services 3. EXECUTIVE SUMMARY RFP 678384 USI has reviewed the scope of work proposed in Request for Proposal (RFP) #678384 and we are confident we can provide all requested services as well as provide new and exciting solutions to the health and welfare benefit plan. It is our pleasure to respond to the RFP# 578384 for Benefits Consulting Services. USI offers a unique approach with a powerful assembly of resources, creativity, and expertise. We are committed to introducing solutions that will reduce your workload, help you expand your competitive benefits program in order to retain and recruit top talent. We look forward to meeting the needs of the City of Miami and are excited to have the opportunity to present ourselves as your best advocate and business partner. USI has the knowledge, aptitude and resources to address all your benefit needs. More importantly, we will be your advocate and work at all times to promote your interests and help you achieve your goals. USI will help guide you through the many significant changes that may Impact your benefits program via Health Care Reform. Our team will continue to listen to your needs as we build a long-term strategic plan that we can measure against and execute on during the next few years. Like The City of Miami, USI realizes that our most valuable asset is our associates. We believe that adhering to our corporate values and delivering our best to all aspects of our clients' needs sets us above our peers. USI is committed to continuous improvement and ongoing professional development and we take great pride in delivering the highest quality, user-friendly insurance services. You have our assurance that each member of your account team will strive to exceed your expectations. Since 1994, UST's unique team service model design has ensured that all aspects of our service delivery are met in a timely manner. Our model was created in house and addresses the specific and unique needs of a benefits program. USI provides services in each major consulting practice: health and welfare benefits, retirement plans, compensation, communications, investment advisory and other human resource consulting disciplines. Within the health and welfare practice, USI specializes in providing solutions that mitigate trend without sacrificing quality. We have extensive experience crafting high performing group benefits programs that focus on results. UST's value proposition revolves around USI ONEr", which is a fundamentally different approach to risk management. Combining proprietary business analytics with a networked team of local and national experts, USI is better equipped to understand the City of Miami's healthcare's needs as a client through a consultative planning process that generates targeted recommendations for improving your employee benefit plan, to include financial impact, as well as providing excellent service and bringing new and innovative ideas to you. USI ONE'" Advantage — Our Multi Year Benefits Strategy (Please see Appendix 2 Omni — Proprietary, one -of -a kind tool built by USI subject matter experts which provides a real-time interactive solutions platform capturing the experience of more than 100,000 clients, thousands of professionals and over 100 years of business. Network — Local and National resources networked together to provide best in class solutions to all USI clients. Enterprise — Team based strategic planning with a core focus on building a multi-year benefits strategy aligned with City of Miami's needs. USI's Enterprise team includes resources such as Underwriting and Analytics, RFP Response Is Intended solely for the City of Miami and all Information is considered CONFIDENTIAL 7 1 P a g e Employee Benefit Consulting Services RFP 678384 Compliance Attorneys, Wellness Consultants, Pharmacy Consultants, Retirement Experts, Actuarial, Claims Experts, and Communications Experts, of which all are USI employees, not third party contractors. USI encourages you to visit our website at www.usi.com to learn more about our organization's philosophy and our core business values. From many great individuals USI has become one unique industry leader. USI began in 1994 with a single office of $6.5 million of revenue and 40 associates. Today, USI has over $1 billion of revenue with more than 4,400 associates in over 140 offices across the country. USI has served over 100,000 clients meeting their Property & Casualty, 'Employee Benefits, Personal Risk and Retirement needs nationwide of which over 128 are Public Entities. We have more than 100 years of consulting and brokerage experience throughout the United States, with local offices dating back in their communities as far as the late 1800s. Our Coral Gables office since 1935 has served our community. USI combines industry leading national capabilities delivered through longstanding, passionate and committed local service teams. The power of USI, and our ability to bring best -in -class solutions and services to our clients and our communities, is achieved through the collective knowledge and experience of our professionals coming together as ONE. ONE also means that we are committed to improving the communities we serve—actively sharing aur time, talent and resources with many local non-profit organizations and worthy causes throughout the Magic City and the United States. USI, Insurance Services, LLC with support of our professionals and lead consultants like Jose L Gonzalez, phone: 305-669-6000 will: • Leverage our large book of business during bid and renewal negotiations to procure the very best administrative, claim cost and customer service commitments from the carriers and vendors; • Actively listen to and learn the core values and unique characteristics of City of Miami; • Proactively offer City of Miami creative and timely solutions in the form of a service calendar to control costs and implement policies that will insulate the city from penalties caused by the Affordable Care Act; • Educate and effectively communicate your program coverage, costs, and value to staff and management; • Offer integrated solutions to managing the health risk of your population, including wellness and creative plan design optiens that have financial impact; • Professionally advocate for your interests; • Protect the interests of City of Miami as they relate to compliance, claims dispute resolution and carrier demands; • Provide best in class wellness consulting with proven outcomes; • Engage our team of Benefit Specialists in our Benefit Resource Center to provide responsive resolution to all staff benefits inquiries; • Create value for City of Miami by offering additional services not listed in your scope and thus exceeding your expectations. (Please refer to Appendix 9 pages 9-13 for a list of 24 proposed solutions that may save the City of Miami close to $fi million dollars.) We wish to convey to the City Management that USI is willing to examine alternative compensation options to those currently in e t may, in fact, be more favorable to the City. Signed x Date: ft I RFP Response !s inten ed solely for the City of Miami and all information Is considered CONFIDENTIAL 8 1 P a g e Employee Benefit Consulting Services RFP 678384 4. Proposer's Experience f Qualifications I Past Performance 1. Describe the Proposer's organization history and structures, past performance and state the number of years proposer and/or firm has been in business providing similar service(s). Provide the number of employees and the primary markets served A. Organization (Local and National) Local Office: Since 1935 USI Insurance Services, LLC 201 Alhambra Circle Suite 801 Coral Gables, FL 33134-5108 45 employees Serving South Florida Ft. Lauderdale: Since 1982 USI Insurance Services, LLC 2400 E. Commercial Blvd, Suite 600 Ft. Lauderdale, FL 33308 150 employees Serving Florida B. Organizational History and Structure Headquarters: Since 1994 USI insurance Services, LLC 200 Summit Lake Drive Suite 350 Valhalla, NY 10595 4200 employees throughout U.S. Serving the United States Over 140 offices (see mop p.10) Founded in 1994 and headquartered in Valhalla, New York, USI is the 3rd largest privately -held independent insurance broker—and the 9th largest broker overall-- in the United States, and the 13th largest insurance broker in the world. We employ more than 4,400 associates in over 140 offices. UST's private equity partner, Onex, is one of the oldest and most successful private equity firms In the world. USI Is a market leader in each of its core business—Employee Benefits, Commercial P&C, Retirement Consulting, Personal Risk Services. USI has grown to its current size and breadth through strong organic development and an acquisition strategy of selecting only firms with significant presence and a long-standing reputation within the local or regional insurance marketplace. Many of our acquired agencies have been established in their respective markets for 50-100 years bringing incomparable breadth and depth to our teams across the country. USI provides both Property & Casualty, Employee Benefit brokerage, Personal lines and Retirement consulting services to our clients, and more than 46% of USI's revenue is derived from Employee Benefit brokerage, consulting and administration services. USI's organizational structure allows us to provide services in each major benefits consulting discipline: health & welfare benefits, retirement pians, compensation, communications, investment advisory and strategic human resource consulting. Throughout each of these disciplines, USI professionals cooperate within highly responsive, client -oriented, entrepreneurial teams. By working in a collaborative manner across disciplines and geographic boundaries, USI has avoided both the complacency and the lack of accountability that can often erode the spirit of large organizations- USI's teams cooperate on national, regional and local levels to provide the expertise and service responsiveness necessary to meet the needs of clients like City of Miami. Our local office has been operational since 1935 in Miami -Dade County under the name of Lon Worth Crow, then acquired by Summit Global Partners in 2000 and aquired in 2005 by USI. The average tenure in the Coral Gables office is 15+ years. RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 9 1 P a g e Employee BeneFit Consulting Services Financial Overview •:• $1 Billion total revenues •:• 13% compound annual growth rate Strong client retention (90%+) •:• Diversified Revenue Mix; • Employee Benefits (46%) • Property & Casualty (54%) r` Nationally RFP 678384 r +' J. v - T EVj�• • 1 40+ offices nationwide X, `1 • 4,400 employees • National Excellence Award for Consumer Satisfaction • 3`a largest privately -held independent brokerage in the U.S. • Largest benefits communications and enrollment firm USI's Southeast Region and Local 440 Regional employees and 180+ in South Florida. Our local office has an average tenure of 20+ years. With an average retention rate of 92%. We currently provide consulting services for over 300 clients. Dedicated analytics, underwriting, wellness and compliance experts who make up the region's Technical Resources Team and available locally, Regional offices located in Coral Gables, Ft. Lauderdale, W. Palm Beach, Vero Beach, Tampa, Ocala, Jacksonville, Savannah, GA, Columbia, SC, Charlotte, NC, Memphis, TN, Tuscaloosa, AL, Birmingham, AL, Atlanta, GA US] Insurance Services ("USI"), our insurance brokerage and consulting entity, is organized into eight geographic regions, each with a full complement of skilled employee benefit experts providing regional expertise to clients. In addition, USI's Coral Gables office provides local client service and consulting as well as local market knowledge and expertise. To provide a full range of service and expertise to City of Miami, U51 will engage the Southeast regional resources. Relationships with more than 50 carriers, TPA's and benefit related vendors on a national/regional basis. Because of our national presence and combined book of business, we have preferred relationships with the major healthcare companies in operation today. USI Consulting Group Our Consulting Group (CG) is located in Glastonbury, CT, and is a wholly owned subsidiary of USI Holdings Corporation (USI). For over 35 years, the CG has provided actuarial services & consulting expertise in both the retirement & welfare plan areas. The CG currently provides services for approximately 1400 clients nationwide which consist of public & private sector employees as well as Fortune 500 companies. The CG has approximately 200 employees and their staff includes top professionals with significant consulting, insurance, financial and accounting backgrounds, along with Actuaries, Consultants, Attorneys, AIFs, CAIAs, CESS, CFAs, CIMAs, EAs, FSAs, QPAs, RPAs* and Benefit Plan Administrators. On average, our senior consultants possess 15 years of hands-on experience. USI Consulting Group has a department dedicated to meeting employers' "Other Post - Employment Benefits" (OPEB) financial needs, including compliance with the accounting standards; FAS 106, FAS 112, RFP Response Is Intended solely for the City of Mlaml and all Information Is considered CONFIDEN77AL 101Page Employee Benefit Consulting Services RFP 678384 GAS 43 and GAS 45. This dedicated group of associates provides actuarial and consulting services to our 200 OPEB clients. (Please see Appendix 3 for CG Organization Structure.) The City of Miami's Team In addition to our own talented professionals and specialized value-added services, USI has a wealth of resources available to us through our national affiliations. The resources available to us through these affiliations allow us to gain access to regional expertise and leverage in the market. City of Miami will have a dedicated USI team to provide the full array of services requested. The team will provide data analysis and recommendations as needed. As outlined below, each team member will have primary responsibility for a portion of the service delivered to your account. Constant interaction will provide for peer review and escalation of issues when appropriate. USI Team Members Include but not limited to: ■ lose Gonzalez, Lead Consultant ■ Stephen Roche —South Florida Employee Benefits Practice Leader ■ Jim Dunn, CEO Southeast Region ■ Annette Kok- Director of Operations & Team Leader Southeast Region ■ Dean Hitsos— Account Executive ■ Raul Sanchez- Account Manager ■ Jennifer Showers & Cassie Salomone — Southeast Region Wellness Consultants ■ Joe Plummer— Southeast Region Underwriter ■ Scott Segal, JD — ERISA Attorney • Patricia Bowen —Pharmacy Practice Leader ■ Doug Patron, MD or Daniel Samo MD,- Medical Director ■ Jonathon 2eiger— Vice President, Retirement Services 403(b) ■ Jessica Quesada —Assistant Account Manager ■ Benefits Resource Center- Claims Liaisons and Benefit Experts ■ Debbie Morton — Enrollment and Communication Expert ■ Ann Ramirez—Analyst ■ Adeniyi Olalya —Actuary Experience and Past Performance can be found ahead on the next sections 2 & 3. Pages 11-13 of this RFP. RFA Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 111 Page Employee Benefit Consulting Services RFP 678384 Id i. Client ii. Description of work iii. Total dollar value of the contract iv. Dates covering the term of the contract V. Client contact person and phone number Vi. Statement of whether proposer is/was the prime contractor or subcontractor. If Proposer was the subcontractor, name the prime. Vii. Detail Proposer's responsibilities and the results of the project Specify whether or not the scheduled completion time for each project was met; if not met, please provide an explanation. Health Benefit Consulting Services City of Savannah Joy Wilkinson, Interim Human Resources Director P.O. Box 1027 Savannah, GA - 31401 512-651-6925 iwilkinsonCR savannahg3.gov # of employees — 2000 USI EB Consultants since 2016 Chatham County Board of Commissioners Carolyn Smalls, Human Resources Director 123 Abercorn St Savannah, Ga 31401 912-652-7930 csmalls@cha.tha mcounty.org USI Consultants # of employees —1,800 USI EB Consultants since 2016 Augusta Richmond County Contact Name: Timothy E. Schroer, CPA Contact Title: Deputy Director, Finance 535 Telfair Street, Suite 400 Augusta, Ga 30901 Phone: 706-821-1741 Email: Tschroer@augustaga.gov augustaga.gov # of employees: 220D USI EB Consultants since 2010 Health Benefit Consulting Services & Actuarial The GEO Group Contact: Susan Napoiitano One Park Place, Suite 700, 621 NW 53`d Street Boca Raton, Florida 33487 TEL: 561999 7435 snapolitano@geogroup.com # of employees -- 7,000 USI EB Consultants since 2007 (Miami) Fraternal Order of Police - Lodge #20 Contact: Lissette Priegues-Granado 400 NW 2nd Avenue Miami, Florida 33128 TEL: 305-372-4605 FOP20insurance@earthlink.net # of employees — 2000 USE EB Consultants since 2006 Dade County Firefighters Insurance Trust Contact: Mike Kramer 8000 NW 21st Street Miami, Florida 33122 TEL: 786-437-2560 mkramer@loca11403.org if of employees — 2600 USI EB Consultants since 1980 RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 121 Page Employee Benefit Consulting Services Pension Knox County Retirement and Pension Board Contact: Kim Bennett 400 Main Street, Room 371, City -County Building Knoxville, Tennessee 37902 TEL: 865-215-2969 Kim.benne_tt@knoxc_ounty,ore # of employees — 2,400 pension benefit recipients, 6,000 active members Commencement of consulting relationship —1980 Eastern Band of Cherokee Indians / Tribal Casino Gamine Enterprise Contact: Adele Jacobs -Madden 777 Casino Drive Cherokee, North Carolina 28719 TEL: 828-497-8235 amadden cherokee.harrahs,com # of employees — 400 pension benefit recipients, 4,500 active members Commencement of consulting relationship — 2007 The Archdiocese of New York Contact: Art Motegari 1011 First Avenue New York, New York 10022 TEL: 646-794-3045 Art. mon teen ri 2 a rcgny. o rg # of employees —10,200 pension benefit recipients, 13,500 active members Commencement of consulting relationship —2003 UP 678384 ■ Eastern Hand of Cherokee Indians, North Carolina, 4,600 active members/400 Pension benefit recipients — Pension • The Archdiocese of New York — New York, 13,500 active members/10,200 Pension benefit recipients —Pension ■ The Knox County Retirement and Pension Board, Tennessee, 5,000 active members/2,400 - Pension benefit recipients — Pension Because of the competitive nature of our industry and due to the availability of this RFP via Florida Sunshine Law FL. CHAPTER 286.011 PUBLIC BUSINESS: MISCELLANEOUS PROVISIONS we will provide you with an estimate of the costs for services. Fees are determined based on employee count, services and scope and can range. Information for fees and commission can be found at: https://www.efast.dol.gov/portal/app/disseminate?execution=els6 Completion times for all projects were met on schedule and USI/USICG is the Prime Contractor on all accounts listed and resulted in successful consultation, implementation and delivery of similar scopes to the City of Miami's request as stated in RFP 678384, Section 3 for scopes of services. RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 131 Page Employee Benefit Consulting Services RFP 678384 3) Where possible, list and describe those projects performed for government clients or similar size private services. USI, has in its database over 128 Public Entities clients that it is currently doing business with. Please note that the 128 count does not include Private Entity clients, or Colleges and or Universities which have similar size employees. USI consults for these clients in all aspects of insurance from Employee Benefits to Financial Advisory, USI Consulting Group (USICG). USI's employee benefit practice is designed to optimize benefit plans through comprehensive cost containment, best in class pricing, regulatory compliance and superior account service. These projects include those clients listed in question 2, on page 12 of this RFP but are not limited to: • Underwriting & Insurance Analytics — Analyzing data from multiple sources to manage, contain and negotiate pian costs. • HR Services — Administration platforms, call centers and service calendars to ease administrative burdens. • Population Health Management — Plan design, disease management analysis and aligned incentives to improve health. • Compliance/Healthcare Reform —Tools, expert guidance, and policies to promote compliance with federal and state regulations. • Healthcare Cost_Management— Options for members to make more efficient care decisions without sacrificing quality. • Pharmacy -Benefit Consulting — Solutions to increase transparency and minimize pharmacy costs. • Ancillary Benefit Consulting— Competitive marketing and scoring to drive results for other benefit services. For decades, organizations have relied on USI to help their employees successfully plan and invest for retirement and to assist with the tasks required to enroll and administer their health and welfare employee benefit plans. Our team of highly skilled professionals provides specialized expertise in retirement plan design, administration, consulting, investments, legal & regulatory compliance and employee communications for thousands of clients nationwide. Our clients consist of public and private sector employers, not-for-profit organizations and Fortune 500 companies. Our retirement and benefits solutions include: • Defined Benefit • Defined Contribution • Investment Advisory* • Health and Welfare Administration • Regulatory and Compliance • Employee Communications • Church Plan Solutions Please refer to the detailed list of projects in Section 2 of this RFP on page 12-13. RFP Response Is intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 141 Page Employee Benefit Consulting Services 01 to RFP 578384 USI has not been indicted nor involved in any civil or criminal activity involving a governmental agency. We are in no pending litigation that would affect the performance of the services to be rendered. The City of Miami should feel comfortable that USI and USICG is a leading national middle market broker with over $1.4 billion in revenue. http://www.usi.com/investor-relations/ RFP Response is Intended solely for the City of Miami and all Information is considered CONFIDENTIAL 151Page Employee Benefit Consulting Services RFP 678381 5). Provide a minimum of two {2) references on the letterhead of the client to whom services of a similar nature were provided. The City reserves the right to contact any reference as part of the uualification process. AdrienneArshtCenter Mw ..•cn Err. 2717 T:; whcr, It m,ay cx-no Till cf cr of cc urnm_ndation €s to nlIo5i Ihct ]ose Gc,•'Ecultc s oj.e of -�Itz mod tnotchtft.l. kri<; wledgeablc and r:rafr,.:3iunc people in the I rensfits ,ora `+ C €ndli;tryHe has a pm.iio + in- th= ra�yi�a,�,, devolorn-.pr• :�rd ed_ccrfinn M. benefit nlo,i5, and s one cf my 'o" peep 1= €r tic. € isvi-- rico irdustry. I r` hni kr-rs••vledg cf the rrarkc-, undii l:•Ic.inciino ct curmnf o Ic,: €, ;d nc issue..; need cares tr rnanckn!sly cboji 1•;. rl€rsr-; He c.an be r_ joc on -G delr:e; what ho r,rcrrn€:'es. 3s-yc•nd t* role, he is ready to }.rovido -M.p wid suoperL. "hrrn cry .elect Peoplo I -i orqurrizalons w -+o un.j c.xw Irusi -o carry reiporiAli'ty nrd beti! Svc: it Iht 'rnp.crta^sce Lt` uccoiniabiliiy• c:r-d J*se 5 0-10 Of 1-10Sb (dVICILCI4. Sincerely, rit'.1 PrrsCl�r-. I t!n1C:rt K�tOw'C?5 •„;rl! !stnv'A Mni. n. art.Rt3an+, -1 .IIS!? IALprax 1!!1.a:1i,i+l:a1 Fig •`:`h 4n°.l•;,Ul rrxcv.asMccrr er.arg RFP Response Is Intended solely for the City of Miami and all information Is considered CONFIDENTIAL 161Page Employee Benefit Consulting Services MONUMENT Gerardo Gallo Monument Real Estate Services 5200 Blue Lagoon Drive, Suite 40Q Miami, FL 33134 March 7, 2017 Re: Jose L Gonzalez To whom it may concern - This letter serves to vouch for the personal and professional characterof Jose L Gonzalez. I have knovm 'him both an a perscnal level as well as a professional level and can attest that Mr. Gcnzalez is of high Moral riaracter and incredibly professional and proficient at the arena of Employee Benefrts. I wholeheartedly recommend Jose as a consultant. He has a take -charge attitude and subtle -yet -confident approach that ratted in being immediately embraced by our Human Resources department when we first engaged his services_ Jose is not only creme; he possesses the rare skill of teing able to communicate his ideas and theirassociated bene€rts effectively, which �1 our case resulted in full buy -in from our leadership. S�rnpty put, he gets us the results we demand. During the tune our farm has ccritracted with Jose, we have seen an increase in profits as well as impruved morale. We are convinced that both achievements are largely a result cf .k -se's efforts. He is worth every penny. Please don't hesitate to follow up if I can answer any questions abcut Jose and his shills. Sincerely, may. r Gerardo Gato Chief Financial Officer 5200 Blue Lngaon Drive, Suite 400, Miami, FL 33126 (305) 446-0010 RFP 678384 RFP Response is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 171 Pa r Employee Benefit Consulting Services 6). Provide a copy of Proposer's current Business Tax'Receipt/©ccunational License USI INWFLANCE5EPACES FLCPJDArC U51 ATTN: JEFFREY J RkYrJES 201 ALHAlJ1EtRA CIR, SiE a01 CORAL. GA6LES_ I=L33134 t INSURANCEAGENCY (1 PERS ) 2 S 4 S S S41PJARE FOOTAGE OF SAACE, ITT35SrA1Ci1ECPFA£�Y2►iWL VALIDONLY ATLGCAT1gNFBOYE RECEIPT EXPIAESaw man1r —This rerrrpld0PArat rml ftke"ki+y1%buqenapwWIffgK)hobei/onMIF=s RFP Response is intended solely for the City of Miami and all Information Is considered CONFIDENTIAL R YP 678384 181 Page C04*410MAN0p13PLAYRECEPTINA CCHIP& Ut"C5 CITY OF CORAL CABLES. FLORIDA cusr RaMMs -• � lC�} LOCAL BUSINESS TAX RECEIPT REeevT90. ANNUAL FIRE INSPECTION FEE RECE":PT /�9f�9(9��4}6 2 V � 17E V—L0 THIS I5 NOT?1 SILL -DON 7T PAY (BUSINESS NAM& LIS I .1511RMCE5FAVICSS FLIDAIDA *40 LD=IQN: 2e f J111•tALMRA CIR DNA WAZE !RI ell! OLAS3IfiCAMON: M4.4FMIls MIT9=1IP'fION AYOLINTPAID; t 4920D t INSURANCEAGENCY (1 PERS ) 2 S 4 S S S41PJARE FOOTAGE OF SAACE, ITT35SrA1Ci1ECPFA£�Y2►iWL VALIDONLY ATLGCAT1gNFBOYE RECEIPT EXPIAESaw man1r —This rerrrpld0PArat rml ftke"ki+y1%buqenapwWIffgK)hobei/onMIF=s RFP Response is intended solely for the City of Miami and all Information Is considered CONFIDENTIAL R YP 678384 181 Page Employee Benefit Consulting Services RFP 678384 7j. Describe any relevant industrvlsubiecemattgr expertise, including any experience in the requested services listed herein, and any unique or proprietary project methodologies relevant to the requested services. USI caters to Public Entities With a long history of partnering with public entities, USI understands that risk management in the public sector is not the same as risk management in the private sector. Effectively managing risk in the public sector requires the assistance of a special consultant who understands the distinct exposures of public entities and one who can work with you in developing a program that best meets your needs. Making sound decisions regarding loss control and risk financing requires balancing the often -conflicting objectives of maintaining a desirable tolerance of risk while still meeting obligations to provide services, and doing so within a limited budgeting horizon and under what can sometimes be a great deal of political scrutiny. USI is prepared to assistyou with all your risk management needs whetheryou are a State, County, City Government, Town or Township, School District or Special Purpose District. As stated in Section 3 of this RFP, USI, has in its database over 128 Public Entities clients that it is currently doing business with. We have thousands of Private Entity clients, Colleges and Universities, Non -Profit, Not for Profit which have similar size employees, similar scope of services and business issues that we service. USI consults for these clients in all aspects of insurance from Employee Benefits to Risk Management as well as Financial Advisory, with our USI Consulting Group (USICG). USI's employee benefit practice is designed to optimize benefit plans through comprehensive cost containment, best in class pricing, regulatory compliance and superior account service. For specific client subject matter expertise please refer back to Section 4. Question 2 pages 12, 13 & 14 of this RFP. Please see a detailed list of clients and services performed. Also, please revisit Appendix 2, for USI's OMNI Solutions detailing our proprietary methodology. USI has also prepared a detailed PowerPoint tailored to answer many of the questions of RFP 678384. We did this in response of the City of Miami's request for a description of our unique proprietary methodology. Our presentation will demonstrate to the reader UST's robust analytics and solutions relevant to the requested services requested in this RPP. Please refer to Appendix 9 of USI's RFP response which details our subject matter expertise, proprietary methodologies, including financial impact, detailed solutions off ered with relevant case studies of actual USI clients. The solutions offered also contain company background, key challenges, USI solutions and quantifiable benefit to the organization. Case studies can be found on Appendix 9, pages 52-80, RFP Response Is Intended solely for the City of Miami and all information Is considered CONFIDENTIAL 191 Page Employee Benefit Consulting Services RFP 678384 8. Identify if Proposer has taken any exception to the terms of this solicitation. If so, indicate what alternative(s) is being offered and the cost implications of the exception(s). No exceptions at this time. Employee Benefit Consulting Services RFP 678384 5. Key Personnel Performing Services L Key Personnel Performing Services 1. Provide an organizational chart showing the Proposer's Lead Managing Consultant and all Proposer's employeesand an _subcontractors or sub -consultants. This information shall include the general functions to be performed by key individuals and the subcontractors or sub -consultants. Jim Dunn Regional CEO Executive Management Stephen Roche S. FL Benefits Practice Leader Jose L. Gonzalez VP, EB Consultant RFP Response Is Intended solely for the City of Miami and W/ information is considered CONFIDENTIAL 211 Page J Annette Kok Dean Hitsos & Jennifer Showers & Joe Plummer Scott Segal, JD Rau! Sanchez Cassie Salomone Director VP of 1 ERISA Attorney OfI Account Executive Wellness Consultants Underwriting Operations Account Manager t Ann Ramirez Debbie Norton Benefit Adeniyi Claiya, Doug Patron Resource Center I ASA, MAAA MD, FACOEM Claims Liaison Actuary USICG Medical Director Marketing Analyst Communicationj Expert er RFP Response Is Intended solely for the City of Miami and W/ information is considered CONFIDENTIAL 211 Page Employee Benefit Consulting Services RFP 678384 More of your team members are listed below but fall under the supervision of the Practice Leader. Based on Scope of Services as described in the RFP there is no need for Sub -Consultants unless a change occurs to the scope of services or it can save additional revenue to the City with the City's approval. USI Team Members ■ Jose Gonzalez - Lead Consultant ■ Stephen Roche—South Florida Employee Benefits Practice Leader • Jim Dunn - CED Southeast Region • Annette Kok— Director of Operations • Dean Hitsos--Account Executive • Raul Sanchez- Account Manager ■ Jennifer Showers & Cassie Salomone — Southeast Region Wellness Consultants • Joe Plummer—Southeast Region Underwriter • Scott Segal, JD — ERISA Attorney • Patricia Bowen — Pharmacy Practice Leader • Doug Patron, MD or Daniel Samo MD, - Medical Director • Jonathon Zeiger—Vice President, Retirement Services 403(b) • Jessica C+uesada — Assistant Account Manager • Benefits Resource Center- Claims Liaisons and Benefit Experts • Debbie Norton— Enrollment and Communication Expert • Ann Ramirez— Analyst • AdeniyiOlalya—Actuary Please note that more information on your team is provided on section 4 pages 29-31 of the RFP under Key Personnel. Bios on key -employees can be found on Appendix 10. To analyze the City of Miami's business issues and challenges, our benefits team leverages USI ONE', a fundamentally different approach to employee benefits and risk management_ USI ONE integrates proprietary business analytics with a network of local and national technical experts in a team based consultative planning process to evaluate the client's risk profile and identify targeted solutions. Clients then receive tailored recommendations for improving their employee benefits plan through cost reduction and service enhancement resulting in an employee benefit trend advantage. USI's Employee Benefits network includes hundreds of consultants around the country, local and regional account managers, healthcare underwriters, business analysts, compliance/ERISA attorneys, wellness directors, pharmacy consultants, communications experts, claims experts and other specialty service personnel. These professionals access sophisticated tools and strategic planning to design optimal plans, negotiate advantageous pricing, deliver preferred services and keep clients abreast of market changes. Please refer to Appendix 2 for a synopsis and example of USI ONE` RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 221paFP Employee Benefit Consulting Services 2, RFP 678384 Experience and qualifications is provided in the Section 4, page 27-31 of the RFP under Qualifications and Experience of Staff. Bios on key -employees can be found on Appendix 10 with experience and qualifications. However, USI's approach is a unique approach where a knowledge engine and thus a team of USI professionals as described on Appendix 2 utilizes the USI ONE Advantage which sets us apart from the competition. The Lead Consultant has 17 years of industry experience and has worked on self -funding accounts in all facets from, Claims liaison, Account Manager, Sr, Account Manager, Benefit Supervisor, Practice Leader and Consultant. He has a clear understanding of all roles needed and the knowledge and work involved. He has helped champion strategic ideas and coordinate all necessary resources on similar sized cases and has worked with Unions and Municipalities to achieve results. More importantly the lead consultant will work with USI's network of Consultants who handle a multitude of Public Entity clients in order to develop best practices in order to achieve the goals for the City of Miami. USI's Population Health Management (PHM) Consultant will partner directly with the Lead Consultant and The City to conduct a medical claims analysis for the identification of city -specific cost drivers. our Lead consultant will utilize findings from this analysis in combination with results of the organizational assessment to develop a targeted, multi-year wellness program strategy for The City of Miami. This detailed USI -proprietary strategy document will include; a list of City -specific business issues, USI solutions to address each issue, post -program goals, specific budget spreadsheet (in cases where client or carrier wellness funds are to be utilized) and a written, step-by-step implementation timeline. By deploying USI's recommended strategy, The City can expect to experience maximized wellness program engagement, broadened program outreach, mitigation of high medical claims stemming from culprits such as, unnecessary emergency room visits, inpatient days, improved compliance for age/gender cancer screenings, gap closure for preventive care specific to those with diabetes and heart disease to name just a few. Additionally, The consultant will provide The City with a USI proprietary easy to read, year- over- year outcomes report, which will demonstrate whether the strategy indeed yielded desired outcomes. This yearly progress report will also present opportunity to fine tune The City's strategy over time. At USI, we utilize our PHM Consultant who would collaborates with your designated USI -account manager and CIGNA to ensure a "true partnership" is upheld. USI southeast region is amply staffed with bilingual professionals and para -professionals to satisfy the diverse needs of our clients. USI'S PHM Consultants are well versed with respect to wellness programming and compliance. Furthermore, in RFP Response Is Intended solely for the City of Miami and all information Is considered CONFIDENTIAL 231 Page Employee Benefit Consulting Services RFP 678384 cases where out of the ordinary compliance scenarios arise, the USI team has easy access to the City of Miami's dedicated ERISA Attorney. Best practice guidance with respect to precautions related to wellness programing and unions is an added area in which USI is well equipped. USI provides all clients with a monthly wellness newsletter at no added cost while some clients choose to utilize a USI recommended third -party provider for their monthly communications and/or specific -wellness program branding needs. USI's PHM consultants are experienced in health and behavioral survey design. Surveys can often times aid in educating a population and/or provide the tools necessary for learning what will and will not work within a given population. USI Consulting Group is one of the nation's largest retirement and benefit consulting and administration firms servicing mid-sized organizations and is a wholly-owned subsidiary of U51 Holdings Corporation ("U51") — the third largest privately -held insurance broker in the United States, US] Consulting Group provides def ned Benefit and Actuarial Services to approximately 500 clients ranging in size from 20 - 40,000 employees. We provide the full array of Defined Benefit Services for all plan categories including, but not limited to corporate, not-for-profit, ERISA, non -ERISA, municipal, state, governmental, religious affiliated, qualified, non-qualified, etc. Our mid -market client focus is delivered through a highly experienced actuarial staff of 20 actuaries (averaging more than 15 years of experience) supported by 45 analysts and technicians, Our team -based service approach provides dedicated resources to you and your plan participants. Retirement & Benefit Solutions For more than 35 years, organizations have relied on us to help their employees successfully plan and invest for retirement and to assist with the tasks required to enroll and administer their health and welfare employee benefit plans. Our team of highly skilled professionals provides specialized expertise in retirement and employee benefit plan design, administration, consulting, investments, legal & regulatory compliance and employee communications for approximately 1,400 clients nationwide. Our clients consist of public and private sector employers, not-for-profit organizations, as well as Fortune 500 companies. RFP Response Is Intended solely for the City of Mlaml and all Information is considered CONFIDENTIAL 24(Page Employee Benefit Consulting Services RFP 678384 Executive Benefits and Non -Qualified Deferred Compensation Plan Consulting USICG has a long history of partnering with organizations to design executive benefit programs, USI Consulting Group understands that a properly designed program can help attract, motivate, reward and retain your key executives. Effectively managing executive benefit and non-qualified deferred compensation plans requires the assistance of retirement plan consultants who understand the unique structure of your organization and can work with you in developing a program that is compliant, cost-effective and best meets your needs. Our executive benefits consulting services include: Non -Qualified Deferred Compensation Plans Plan Design, Documentation, Installation and Administration ► Plan Benefit and Funding Modeling Cash Flow, Economic and Accounting Projection$ Rased Upon the Census of Eligible Participants Web Based Account Management Other Executive/Corporate Benefits Supplemental Disability Key Person Insurance RFP Response Is Intended safety for the City of Miami and all Information Is considered CONFIDENTIAL 25 1 rage Employee Benefit Consulting Services RFP 678384 3. Provide information or documentation to Proposer's qualifications and experience from which the City of Miami can benefit under this contract. Please refer to Appendix 3, for Wellness & Population Health Management Case studies. Please refer to Appendix 4, for a detailed Pharmacy Benefit Report that we provide our clients and the City would benefit from. Please refer to Appendix 5, for a breakdown of Claims and Pharmacy through USI's proprietary tool USI 31). Please refer to Appendix 6, for a Benefit Guide that US[ will create for the City of Miami for electronic distribution to all its employees. The document will have barcodes forsmartphone/ tablet capabilities as well as a link for Audio and Video play for any employee or spouse to access 24 hours a day, 7 days a week year round. Please refer to Appendix 7, for tools that will be provided to the Risk Management Staff for insight, learning and training 1n over 200 online courses, 23 Wellness courses and real time assistance in regards to benefit and HR related questions. Please refer to Appendix 8, for S case studies from our proprietary Benefits Resource Center which gives access to all City employees a personal benefit expert, claims liaison and health care advocate. Please refer to Appendix 9, for USI's proposal to the City of Miami for all its services and qualifications with actual case studies. Please refer to Appendix 10 for all qualifications and Experience from each team member in the farm of a Biography. Please refer to Appendix 11, for a list of services that the USI Consulting group would provide. In most large companies or municipalities, the health plan consumes the most amount of time, as it represents a significant expenditure for both employer and employee. Consequently, a substantial amount of involvement and resources are spent on health plan benefit review, claims analysis and projections including IBNR development and quarterly assessment. USI is amply equipped to handle all your needs as seen in the Appendixes listed above. USI also provides access to USICG who provides but is not limited to: Health Actuarial_ Services / Health Benefit Consulting Services - As a standard practice, USI provides monthly reports for our fully insured, self-insured and minimum premium clients over 200 lives. Reporting is a big part of the financial services that we offer our clients. We build our quarterly meetings with clients around the plan financials because medical and dental plans make up, collectively, one of the largest expense items of the client's annual budget. RFP Response is Intended solely for the City of Miami and at! lnformatlon Is considered CONFIDENTIAL 261PagE, Employee Benefit Consulting Services RFP 678384 Our financial reports track claims and premium by number of lives monthly to see how the group is running. The ASO report tracks monthly expenditures, separating them into fixed expenses (administration charges, network access fees, reinsurance, and claims paid). At the end of each month, we compare plan expenses and claims to plan income/ liability and develop a monthly and YTD surplus or deficit picture in relationship to the accrual rates established at the beginning of the plan year. We also include the changes in employee contribution within our reports, which show the employer's true estimated cost of the plan. The reports are used generally to: • Forecast future funding needs as early as the first quarter of the new year and continue monthly throughout the year, eliminating funding surprises. • Determine the impact of large claimants on current and future funding needs and maintain a history of such claims activity from year to year. • Allows Rx costs and rebates to be tracked separate from FFS claims in looking at the overall monthly and YTD claim picture. • Testadequacy of reinsurance levels and "premium to claim" value of optional reinsurance attachment points. • Maintain funding rate (including all components) and employee contribution history, providing substantiation of COBRA rates. • Determine the impact of enrollment increases or layoffs on plan experience. • Preserve a continuous, historical database (claims, expenses, reinsurance, pian design changes, etc.) of self-funded plans. • Assist in evaluating "Incurred But Not Reported" claim liability on a continuing basis. Experience The GEO Group A national firm with approximately 6,000 employees located in multiple states. They run, operate and manage correctional institutions. They are self-funded through a major health care provider and USI assists in various aspects of the management of the account. Areas of direct involvement have been in the area of: • Funding analysis & projections & ultimate rate development for budget purposes • Evaluating the impact of plan design changes on funding • Evaluating the impact of acquisitions on funding • Assessing the impact of Health Care Reform on plan funding USI evaluates, on a quarterly basis, the "Incurred But Not Reported" Claim liability. RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 271 Page Employee Benefit Consulting Services RFP 678384 Health Actuarial Services only FOP Miami Adeniyi provides actuarial services for FOP Miami, separate from the Healthcare consulting provided by USI. We are responsible For the FOP's IBNR calculation. GASB 45 Consulting The CG provides GASB 45 Consulting to the following clients: • New York State Thruway • Town of Hamden, CT • Sumner County • Town of Oyster Bay Please see Appendix_2 for suggestions that the City of Miami would benefit from on this contract Pension Services Vital to proper administration of the defined benefit plans is financial management, which is provided through actuarial forecasting and a determination of what the future costs of the plan might be — so that performance can be measured in terms of specific goals and timely adjustments can be made accordingly. Our actuarial staff provides these analyses, and other studies, ranging from basic to complex. All actuarial services are not the same. Actuaries often use standard methods and assumptions, or have difficulty customizing and communicating their approach to suit the needs, goals, constraints and special circumstances of their clients. Our approach is different; we take a closer look at data, run alternative scenarios and provide creative and flexible solutions. Our objective is to arrive at more meaningful and understandable results for our clients. RFP Response is intended solely for the City of Miami and all Information is considered CONFIDENTIAL 281PaUe Employee Benefit Consulting Services RFP 678384 4. Provide_ resumes, if available, with job descriptions and other detailed qualification information on the Lead Managing Consultant and all key personnel who will be assigned to this proiect. Qualifications and Experience of Key Staff The USI Account Management Team that would be dedicated to the City of Miami is located in Coral Gables, In Miami -Dade County. in addition, this team will be assisted by associates from USI's Ft. Lauderdale office. The Coral Gables office has 42 employees that are financial service professionals while the Ft. Lauderdale has office has 150. On average, our employees have 20+ years of employee benefit experience and purposefully come from a wide variety of backgrounds. Some come from other consulting/brokerage houses, some from insurance carriers and others from companies where they served as human resource or benefit specialists. All contribute specific expertise and add the knowledge from different viewpoints to assist in proactively addressing the challenges you face. Your team is led by Jose L Gonzalez — VP, Employee Benefits and former Employee Benefits Practice Leader to the Coral Gables office In Miami -Dade County. In this role, Jose directs the team of resources and service providers. He is also responsible for working with the City of Miami to develop a coherent benefits strategy, to select the appropriate benefits products, carriers and services, to negotiate pricing with vendors and coordinate the placement of insurance products, and to coordinate the USI team of communications, administration and service professionals that would provide services to the City of Miami. Jose has over seventeen years of insurance experience and has worked with clients that have ranged from 200 employees to 5000. In the Employee Benefits arena he has handled many complex, self-funded accounts throughout his career and has provided outside the box solutions to insulate clients from penalty and provide substantial premium reductions to assist with the bottom line. The day-to-day contact for the City of Miami will be divided between two of USI's finest. Your Account Executive, Dean Hitsos and your Account Manager, Raul Sanchez. Dean Hitsos has 13 years of insurance experience and 14 years of HR experience. His focus is as a specialist to municipalities and governmental agencies. Dean has his MBA with a concentration in Human Resources. Raul's role is to manage the day-to- day account activities including claims, billing, and carrier liaison. Raul also manages the marketing and renewal process as well as implementation of new benefits and carriers. Raul has 20+ years of experience in employee benefits. The Account Management Team is led by Annette Kok, Director of Operations. Annette joined the USI team in 2024. In her role as Director of Operations, Annette is responsible for the management and servicing of large national accounts. Annette's responsibilities and strengths include how to improve the operational systems, processes and policies in support of organizations mission -- specifically, support better management reporting, information flow and management, business process and organizational planning. Manage and increase the effectiveness and efficiency of Support Services (Account Management, Marketing and Enrollment Communications), through improvements to each function as well as coordination and communication between support and business functions The Account Management Team is supported by Joe Plummer, Vice President, and Senior Underwriter. Joe is responsible for underwriting the medical plans, analyzing claim data, monthly financial reporting, and RFP Response Is Intended solely for the City of Miami and all Information is considered CONFIDENTIAL 291 Page Employee Benefit Consulting Services RFP 678384 assisting with strategies to manage the cost of the City of Miami's benefit plans. Joe has over 20 years of experience in employee benefits, on the employer side as well consulting. Stephen Roche, ChHC, RHU is the Employee Benefits Practice Leader for South Florida. He oversees the client management teams, concentrating on developing operational efficiencies, best practices and innovative strategies that bring results to our clients. As the CEO for USI's Southeast Region, Jim Dunn is responsible for leading all offices in the region. Jim's primary responsibility is to lead organic growth by ensuring that clients are delivered the vast array of U51's products and resources while adding new clients that need these services. In addition, Jim partners with like-minded insurance agencies/brokers to join USI and expand their client solutions. Jim brings more than 20 years' experience to his role as southeast regional CEG and will be key in USI's continued push to be the clear leading middle market broker nationally. Your Wellness Consultant, will be Jennifer Showers. Jennifer is a recognized leader and pioneer in the corporate -based health, productivity and wellness arena with 25 years' experience. As the Associate Wellness Director at the University of Miami, Miller School of Medicine for 13 years, Jennifer paved the way to the development of their first employee -based wellness program. This initiative eventually led to the groundbreaking and construction of a 17 million dollar state of the art Medical Wellness Center. She co-chaired the University of Miami's first Integrative Medicine Symposium and EXPO, has strategically developed and implemented dozens of customized corporate health programs and produced and directed a myriad of large-scale sponsor -driven special events. Her formal education includes a Masters of Education in Mental Health Counseling from the University of Miami and a Bachelor's of Science In Corporate -based Wellness and Exercise Physiology from Penn State University. Also assisting on Wellness is our local Wellness Consultant Cassie 5alomone. In her role as Wellness Consultant for USI, she develops strategies to help clients contain and avoid costs through the design and implementation of worksite health promotion programs. Bringing her Fortune 100 experience to population health management, she has extensive knowledge of the factors leading to chronic disease and is passionate about educating populations in prevention. Cassie previously worked at Motorola where she helped implement their wellness program. Doug Patron, MD is another addition to the USI Resource team. Since 1994, he has provided his medical expertise to numerous Fortune 100 companies, and has been instrumental in designing, developing, and improving their medical management processes. He has had major involvement in return to work initiatives, has chaired a committee that assessed and reported on hazards with a company's products, ensuring regulatory compliance and corporate responsibility and is currently serving as medical director and providing consulting services for several large companies with extensive international operations. Doug brings a wealth of value to the US] team by being available to consult and negotiate difficult claim and safety issues for our clients, among numerous other services. Dr. Patron received his BA in Biology and Biochemistry from the University of Colorado, and his MI) from George Washington University School of Medicine in Washington, D.C. He completed his Internal Medicine RFP Response is intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 301Pare- Employee Benefit Consulting Services RFP 678384 residency at St. Joseph Hospital in Denver, completed a fellowship in Occupational and Environmental Medicine and earned his MSPH at the University of Colorado Health Sciences Center. He is Board Certified in Occupational and Internal Medicine. Scott Segal, JD has seventeen years of experience advising clients in the area of employee benefits, executive compensation and ERISA, including: the design and drafting, qualification and ongoing administrational issues of defined benefit, 4131(k), profit sharing and health and welfare benefit plans; the design, qualification and drafting ofnonqualified deferred compensation plans (including plans for limited liability companies and compliance with Code Section 409A); the effect of corporate mergers and acquisitions on benefit and compensation plans; plan transfers, mergers and terminations; fiduciary matters; executive compensation; and ERISA related litigation; Representing clients in matters with the Internal Revenue Service and the Department of Labor. Clients include public and private companies, nonprofit companies and governmental employers. Negotiating, preparing and reviewing agreements on behalf of both management and executives, including employment, severance, consulting, change -of -control, confidentiality, and non -compete and other restrictive covenant agreements. RFP Response is Intended solely for the city of Miami and all Information is considered CONFIDENTIAL 31[Page Employee Benefit Consulting Services RFP 678384 G. Proposed ApQroach to Providing the Services 1. describe Proposer's approach to project organization and management, including the responsibilities of Proposer's Lead Managing Consultant and Proposer's key personnel, and key personnel of subcontractor or sub-consultant, that will perform work in this proiect. Why USI? USI has remained committed to creating value, managing risk and building net worth for companies and individuals. As we have grown during recent years, we have maintained the philosophy that has long been the hallmark of USI: value in long-term relationships with our partners; commitment to the community; investment in our associates; and a belief in respect and authenticity. The City of Miami would benefit from a national broker with customized service and significant leverage in the local and national marketplaces but staffed locally with a team of local professionals who are committed to your long-term success by creating the best value for City of Miami, Employee Benefits Service Model In order to craft the right solutions, the Lead Consultant makes it a point to first understand your core values, needs and concerns. We pay attention to the details unique to you in your industry. Our proactive approach to consulting is evidence -based with an understanding of City of Miami culture and past benefits strategies. Using our proprietary analytical tools, we take this information to develop a multi-year, easy to digest benefits strategy that combines the needs of the Human Resource team and the financial side of the organization. As part of this strategic plan, we bring reasonable and attainable solutions relative to funding analysis options, predictive modeling of benefit designs, customized wellness programs that are sound and include achievable targeted contribution schemes, as well as comprehensive, customized employer and employee com munication tools. RFP Response Is Intended solely for the City of Mlaml and all Information Is considered CONFIDENTIAL 321 Page Employee Benefit Consulting Services RFP 678384 USI has a proven track record of setting itself apart from the competition in four critical areas: Compliance, Underwriting, Human Resource and Clinical outcomes. Plan Management From an employee benefit perspective, we understand that effective plan management means that benefits are not an annual event, but rather a year long process. We often refer to this process as a 3606 Service Continuum (see illustration, below) which always begins by working with you to develop a clear definition of the goal of your benefit plans. On -Going Consulting and Day -to -Day Program Management As day-to-day benefit plan management issues arise, U51 is available to all of the members of our client's benefits staff, working as an adjunct. Our efforts focus on such areas as budgeting and finance issues, interpretation of plan documents and contract language, federal and state compliance issues, and the resolution of complex or sensitive claims issues. Our recommendations are grounded by financial analysis and full consideration of your organization's objectives and administrative realities. RFP Response Is Intended solely for the City of Miami and all information is considered CONFIDENTIAL 33 1 Pag(2 Employee Beneriit Consulting Services Specialist Knowledge RFP 678384 Specialist knowledge requires insight, experience, and access to leading resources. Our professionals understand risk management, benefits tools and meet regularly to discuss current client issues and market conditions. We keep pace with legal changes and market conditions, solve problems, anticipate potential risks and most Importantly, ensure that you are properly prepared for the ever changing health care environment. City of Miami will have direct access to our team of experts with personalized attention to every aspect of your benefits program. Our analytical team shares market trends, carrier knowledge, strategies, creative funding approaches, contribution and reporting offerings with our clients. We will monitor your plan performance monthly and report to you on a quarterly basis to ensure that no "surprises" arise at renewal time due to unfavorable claims experience. Our sophisticated financial analysis capabilities allow us to forecast future renewal costs months in advance, allowing time to make educated and timely decisions. With this insight, based on City of Miami data, USi will lead you to design evidence -based programs to achieve short-term and long-term goals. USI's Benefits Practice is staffed by Benefits Professionals who demonstrate not only outstanding experience and credentials, but also a hunger to be on the cutting-edge of current benefit strategies, concepts and practices. As we provide fresh ideas for our clients we help them more effectively deliver benefit programs to their employees. With the future of uncertainty of Health Care Reform, UST's leadership is alert, aware and influential in the legislative and regulatory arenas both on Federal and State levels. We are working with clients to ensure not only compliance with the requirements of Reform, but also implementation of cost control mechanisms available. Within the framework of Health Care Reform lies the potential for employers to encourage significant improvement in employee health and well-being through the implementation of creative benefit solutions _ and USI is in the forefront of this movement. The effectiveness of our Thought Leadership is demonstrated as we educate and encourage healthy employee behaviors, yielding both a lower incidence of chronic medical conditions and significant savings for both employers and employees, it is in USI's corporate DILA to be forward -thinking. This starts with our leaders in our corporate, regional, and retail offices and continues to the consultants and sales professionals on the ground. As we continue our discussions as City of Miami benefits consultant, we will introduce to you the ideas we see forming the landscape of the employee benefits world in the next three to five years. Included with our team of professionals, The Benefit Resource Center is primarily responsible for assisting USI Health and Welfare clients in claims resolution. These Claims Advocates work with your employees to resolve outstanding claim issues in order to facilitate a resolution which is both favorable and in the best interest of the employee/employer. RFP Response is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 341 Page Employee Benefit Consulting Services USI Team Approach RFP 678384 USI takes a team approach and integrate highly consultative team meetings with U51's Omni analytics. The City of Miami will always have a broad resource network to build a multi-year benefits strategies aligned with its business needs. U51 Team and Synopsis of Responsibilities 330+ AW_ W. 14+ 2}. 3 1p+ 10+ CarauQan+s Accrnrrrst Underwrrters � Wearesr McOca? prxirr`� cy Ckxm Corrins practice leads &Arcrym mkwwys3 oire rsrs I 01re!cto-S ComLftntExperts :2 nA4 F it r�e'rrs levdc+s :X-101.1 C;:;WEP: i CLY` ra.*.•':.r G'CN ;'F HEt7 ,; i�CnC C Rr TG rxL-Cti;A 1'}1 Cr A. populobon Compliance/ ! Underwrsting & HP. B Heafth Heolthcare I ` dare Pharmocy enefits i i Anolylics Services' ManeQement RcEorm f Intervention Benefi Fleao ation & ' Adrrinistratscn Wetlr,ass Tools. expert I ! Ooho s to jcrutons Jo ComoelAive rncsnagement plaHerms- call design, dise-me ¢v°dance, and memo -n to increase markefing to conicir, I centers and manoVerrent P016es io make more trcr-4perency and scoring alan costs service analysts and promote elf6dr:i care and mirrirrde dr1VCs results coles,dan tc o5gned cotnpiiarce s0161 decs ars pharmacy for aiher ease Yaur incentives to federa! and 4Whout casts I p cn services admiristrafrve imptave health state reouia-ions sccrific€ng burdens quos I Your lead Consultant will utilize a real-time interactive solutions platform built by USI experts capturing the experience of more than 100,000 clients, thousands of professionals and over 100 years of business activity through our acquired agencies, Providing the City of Miami with an Actionable, Quantifiable Data Engine to Drive Decision Making, RFP Response Is Intanded solely for the City of Mtaml and all Information Is considered CONFIDENTIAL 351 Page Employee Benefit Consulting Services 2. how the Proposer plans to ¢ )nal Ulan must detail how th RFP 678384 A comprehensive PowerPoint will be added to Appendix 9 that will illustrate our operational plan for the City of Miami's employee benefit practice and is designed to contain cost, promote regulatory compliance and deliver superior account service. Our comprehensive pian uniquely specifies the issue, solution, financial impact as well as provide you with a USI case study. We couple this with a USI's client specific customizable service calendar in order to adhere to our critical deliverables and facilitate advanced planning. Program: Renewal Analysis: On behalf of our clients, USI initiates and directs renewal negotiations with each plan administrator far in advance of the renewal date. Our high level of renewal activity makes us keenly aware of industry trends, We rely heavily on previously negotiated cost components and a variety of renewal formulas. Our experience and aggressive renewal posture continuously yields non-recourse savings to our clients. Contract/Document Analysis: We work with clients and their various plan administrators to determine inadequate or missing documentation for all plans. USI coordinates and reviews all group contracts, plan documents, certificates and booklets. We routinely Identify areas where contractual language disproportionately favors the carrier/vendor, and have had success in negotiating more equitable terms on behalf of our clients. In addition, we carefully review "right to audit" language to ensure that our clients can thoroughly monitor the performance of their administrators. It Regulatory Compliance Services: Federal and State regulation of the employee benefits field has created a complex web of rules to which plan administrators must comply. USI assists our clients by providing information on current regulations as needed, and by keeping our clients up-to-date on new legislation, landmark court cases, and other important regulatory developments. ■ Health Care Analysis: Evaluating health care networks can be complex and challenging, involving many variables that impact an employee's health care experience. Drawing employees into the healthcare process as "consumers" is a rapidly evolving trend that is transforming the healthcare marketplace. Our focus is to assist our clients in defining and implementing the approach best suited to achieving their objectives. An important step throughout the plan year is to monitor plan performance to goals. We will track and measure operational results, clinical outcomes, financial controls, claim/member services, and best practices/quality of services among other key areas, Some of the measurements will come from external sources, although most can be obtained from your data. Additionally, to ensure the vendors are providing the highest levels of customer service, we propose surveying the employee population. RFP Response Is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 41 361 Page Employee Benefit Consulting Services 9110.1[91:11! The outcome measurements from the program's financial analysis will provide evidence against baseline trends, costs, outcomes and other indicators to compare improvements. Our project outcomes will have a targeted effect that can be measured and adjusted as needed. We will provide reports on a monthly, quarterly and/or annual basis. These reports will assist us in monitoring the plans performance and highlighting any areas that need to be reviewed in future years. The level of detail included in each of these reports varies depending on the amount of claims experience agreed upon during the marketing process but may include the following reports: Monthly_Reports • Claims analysis ■ Budget performance analysis ■ Inflationary trend information Midterm Reports ■ Budget projections ■ Rate promulgations • Reserve adjustment analysis ■ Actuarial opinions Financial Services/Claims Review Quarterly Reports ■ Financial overview Claim utilization • Claim trend analysis • Reserve analysis • Stop -loss deductible and attachment point tracking Year End Reports ■ Full financial overview • Reserve calculation with actuarial opinion provided ■ Cost comparisons (historical and industry wide) • Budget and rate update and review ■ Deficit/surplus analysis Proactive program decisions can only be made when fully informed of the program's current and projected financial performance. USI monitors and tracks costs associated with each plan administrator on a quarterly basis. We provide a quarterly review of claim data and charged expenses measuring the performance of the plans throughout the plan year. our review of claim data allows us to track and assess utilization patterns as well as significant claim occurrences and outcomes. To assist our clients in the task of forecasting benefit budget levels, USI performs quarterly claim reviews that provide the basis for renewal projections, Discussions regarding financial performance begin well before the renewal and continue throughout the renewal negotiations. At the completion of each policy period, we prepare a year-end financial summary report encompassing design, utilization, performance guarantee metrics and the associated financial aspects of the program. in addition, this year-end report focuses on strategic issues relative to plan design and funding which may be considered during subsequent renewal negotiations. Request for Proposal (RFP) r We will work jointly with you to identify potential markets that serve your needs and assist you with analyzing carrier networks for adequate physicians and hospitals In the areas where your employees live. Vendors will also be selected for their quality of service, available funding options, level of claim detail they will provide and their willingness to implement performance guarantees. Your USI team will RFP Response is intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 371Page Employee Benefit Consulting Services RFP 678381 formulate an RFP based around: your objectives and performance expectations, current census, experience, pian design data and a questionnaire addressing each vendor's capabilities in multiple areas. This RFP will help you make informed choices about the carriers and vendors interested In servicing your benefits. The quality of the RFP is an essential aspect of any competitive bidding since it is the primary source of Information about each plan. The primary purpose of the RFP is to create a competitive environment and describe "risk" (if any) as clearly and accurately as possible. A quality RFP will clearly delineate and rank the critical objectives of the marketing effort. In our experience, a quality RFP increases the likelihood of receiving a broad range of competitive bids from qualified carriers who fully understand the program requirements and expectations. Proposal Analysis and Carrier Selection We ensure that the carrier selection process Is performed at a level that meets the professional standards of our clients. To this end, USI works closely with our clients to develop criteria upon which proposals are evaluated. We perform our analysis of each proposal based upon criteria developed in conjunction with our client. The result of this comprehensive process is an extensive written report which provides background on the project, describes the process used in analyzing proposals, and applies client -specific evaluative criteria to each of the proposals submitted. We are also available to present our findings in person to members of the client's management team. Such a meeting may include a discussion outline supporting our verbal comments and serving as a supplement to the written report. Coordinating carrier finalist interviews is a standard part of our involvement in the marketing efforts. We are present at as many interviews as deemed necessary by the client and participate as much or as little as desired. Regardless of our level of interaction with each finalist during the review, we prepare an agenda and questions designed to differentiate one finalist from another by highlighting proposal features, inconsistencies, and peculiarities, We are also available to help prepare for, and if appropriate, attend any internal client meetings as support in making final recommendations. Plan Transition and Implementation If a client chooses to work with a new carrier, it is imperative that commitments made during the proposal process be kept during the transition period. We routinely participate in implementation meetings with our client and the selected carriers/vendors. Program Renewal Analysis Upon completion of the renewal negotiations, we provide a thorough renewal analysis report focusing on the financial impact of the renewal to the client, contribution strategies, specific recommendations for contract renewal, and appropriate alternatives. If the terms of a renewal are anticipated in advance to be unacceptable to our client, a competitive marketing will be initiated to secure an alternative cost effective benefit solution. RFP Response Is Intended solely for the city of Miami and all Information is considered CONFIDENTIAL 381 Page Employee Benefit Consulting Services Actuarial Services RFP 678384 our actuarial resources enable us to assist you with the development of reserves for incurred but unpaid benefits for all self-insured plans, and actuarial certification of reserves for a VERA trust, Calculation of COBRA and "working" rates for self-insured medical, dental and vision plans. Employee Communications Review USI's employee communication process will run concurrently to the carrier implementation process. Working jointly with your USI benefits team, you will have the expertise and resources to design strategies and materials to effectively communicate your programs, throughout the plan year. USI offers a full range of communication products from traditional print -based products (folders, handbooks, posters, etc.), to web -based communication products (employee communication, enrollment and administration). Each product is uniquely designed with you in mind and carries your brand, logo and company colors. The USF Consultative Process is very thorough and provides a formal structure to help us monitor your programs. It is quite likely that we would be in various stages of the process when providing guidance on more than one of your programs. USI consultants routinely work with organizations on multiple plans with various challenges. The USI Consultative Process lays the foundation from which we build short and long term strategies to help you better manage your costs RFP Response Is Intended solely for the City of Miami and all Information is considered CONFIDENTIAL 39I?Ga�r: Employee Benefit Consulting Services Service Calendar & Deliverables RFP 675384 USI's works directly with the City of Miami to establish a working 12 month calendar which specifies timely deliverables by both parties. Unrkr�hlrg 4Wec'hi A^,C,rta h1 ,r r_t R ,v., 1 CCr+c rC lr'C:rr� P x YGCYnC#.ti . Wetness Breast ■ Reinsuranu ■ Ust Holiday' ■ Reinsurance Fee ■ US] Holiday ■ Wetness. Cancer and Mental Infammatlon Christmas Payment President's Day Nutrition Hearth Awareness Submission Reminder ' Wei€ness; Reminder ■ Wetness: Heart Gomplianca • Compliance, Keeping Calm + USI Holiday NMv Health Updates Medicare PaR D ■ Reinsuranca Fee Years Day Filing Payment lance Claim Updates Updates • USI Halifax MlJC and Utilization and lltH&atton • Compliance • USI Holiday Day Review Updates ihanksgivinq • Wellness: Weight + Compliance • RevieviMsInbute • Wetness: Breathe Loss Updates Contracts 8 Eary Booklets Compliance ■ Post Renewal Updates hteet[4 + Compliance Updates • USI Holiday . Usi How ay Wetness. POOR Fee ■ Wetness Dental 2 USI Kolidax Let spring Holiday Memorial Day Diabetes Payment Huth Day • Weaness. • Wetness. Akrgy Awareness . USI Holiday ■ Enrollment • Wetness Physical Activity and Jsituna ■ Compliance Independence Day Materials Preventive Cane Compliance • Compliance Updates . WeMess. Sun • Finalize Rates Wetness Updates Updates ■ Pre Renetvaf Safety • Request[Revinv Meet� Renewal Meeting sac ■ Revtevr renevral Request Census projections • Compliance . Compliance ■ CompEiance Updates Updates * Revieve Updates Contribution Strategy 201 Alwrbra tkie, NaMI.08de County 305-Mg•5000 RFP Response Is Intended solely for the Clty of Miami and all Information Is considered CONFIDENTIAL 401 Page Employee Benefit Consulting Services RFP 678384 3. Describe in detail the manner in which Proposer will monitor the performance of the Qy's self- funded medical plan. USI's underwriting and analytics solutions integrate superior assessment, analysis and benchmarking with expert market negotiation to identify and increase transparency around insurers' profit sources. On a quarterly basis USI will produce a performance monitoring report filtered by benefit plan and total with dashboard, outlining: • Budgeted claims • Actual claims • Fixed cost 40 Net position to budget (quarterly, semiannually, annually) • Retrospective change (quarterly, semiannually, annually) • Large claim analysis including stop loss reimbursement monitoring • PEPY analysis • Enrollment analysis Current experience observations USI's independent renewal underwriting analysis identifies cost saving opportunities and provides a basis to negotiate pricing ■ Analyze 15-20 technical components within rate calculation • Create full transparency for each cost component • Negotiate each cost component based on best In class industry standard • Establish rate caps and guarantees where appropriate USI conducts an Independent Review to Identify Errors and Carrier Profit Sources Analyze both historical and predicted large claims data and premium cost Evaluate individual and aggregate stop loss level adequacy through benchmarking and risk tolerance level ■ Negotiate contractual terms and pricing with carve -out carriers USI's independent review and forecasting of Large Claims reduces inflated projections, driving reductions in premium or stop loss rates and claim liability Impact and Benefit: • Ellmination/reduction of the impact of High Dollar claimants can lead to premium reduction of an estimated 1.336 • Elimination/reduction of Stop Loss lasers and reduced Stop Loss premium (self-insured) • increased subrogation and COB recoveries • Ability to target health risk management initiatives • Improved budget forecasts RFP Response Is Intended solely far the City of Miami and all Information Is considered CONFIDENTIAL 411 Page Employee Benefit Comdtin- Services Claimant -specific High Dollar Claim Review UP 678384 • %c`riw':r all Ic work cIcim ICre=cam^ in;, '-ireF�ir r L, -car c _=r_ L-S:Lifi r F -c •alw ,i:'fi �n w',:>c c'^i:;^, la:wr; ec..• Gt ■ Fer-:ar.�n* • C.3r''C:G C :104r:y c dt arc Claimtic;b ''11 31rxe:_ar : c_c_rd,!nf ■ Ell -d : cla: ;iirrfin c_ve�e� Coe, i rc_i a .d a•a c • %c`riw':r all ■ Int��:at_;,�._cd cIcim ICre=cam^ in;, '-ireF�ir ■ �.-ra'w ■ Qz.—..:-,aerlsr: F -c •alw ,i:'fi �n w',:>c c'^i:;^, la:wr; ec..• Gt :rmCh^mM Claimtic;b ''11 31rxe:_ar : cla.-nfundir.a exp a _tclfc-: *Please see Appendix 9 pages 15-20 to see in more detail our approach to Underwriting and Analytics. RFP Response Is Intended solely for the City of Miami and all Information is eonsldered CONFIDENTIAL 42�'ag� Employee Benefit Consulting Services RFP 678384 4. describe the methodology that will be used in order to audit the plan's compliance with all contractual / regulatory requirements. USI employs a national team of 14 ERISA attorneys to ensure our clientele have all the direction and information they need to get and remain in regulatory compliance. Each attorney is strategically located within a region in order for our clients to have direct access in person or via phone or email to ensure they get the best, most accurate and up-to-date information when they need it. USI provides compliance and technical/legal support to its clients in all areas of employee benefits through a network of in-house professionals with broad and significant experience in the legal and regulatory framework that surrounds employer-provided benefits. This group actively monitors developments atthe Federal, State and local levels and provides information, training and support to our consultants and clients on an ongoing basis. Advising clients of national and local trends and emerging trends in the benefits industry is an ongoing service your USI team will provide. At USI, we strive to keep our employees informed regarding industry trends, new products and services and upcoming legislation. In addition, at our stewardship meetings, we provide a report highlighting trends in the insurance marketplace, and summarizing certain industry studies. ■ Team of Locally Based, Nationally Networked Compliance Attorneys ■ Monitoring of all Facets of Health and Welfare Guidance, Including Statutes, ■ Regulations, and Case Law • Health and Welfare Pian Compliance Education • Health Care Reform (ACA) Impact Analysis Tools ■ Ongoing Articles, Workshops, and Seminars • State and Local Benefits -Related Issues USI provides client specific assistance on compliance issues USI's local and regional attorneys work directly with clients to provide guidance on specific issues affecting employer sponsored plans ✓ Attorneys work alongside our underwriting, population health and account consultants to recommend client specific solutions Comprehensive Compliance Review USI's national compliance team identifies exposures and offers remedies to assist clients' compliance with state, federal and health care reform laws ✓ USI's local attorney identifies key areas for compliance review ✓ Reviews status to key federal welfare law compliance issues ✓ Discusses issues identified through the review ✓ Proposes action items to address issues and mitigate potential risks RFP Response is Intended solely for the City of Mlamt and all Informatlon is considered CONFIDENTIAL 431Page Employee Benefit Consulting Services Comprehensive Employer Guides and Toolkits • In-depth analysis and guidance to help employers navigate through complex rules, regulations and plan strategy decisions ✓ National compliance team provides employers with a detailed road map to the multitude of requirements affecting health and welfare plans ✓ Tactical advice regarding implementation and consequence management Legislative & Regulatory Updates U5I's national compliance team monitors, interprets & communicates federal, state, and local legislative developments ✓ Timely Health Care Reform updates and general compliance alerts ✓ Employee facing communications Reporting & Disclosure Requirements • USI's national compliance team regularly monitors and communicates pending compliance filing deadlines ✓ Identify appropriate compliance and disclosure filing requirement based on employee size, location and coverages ✓ Interpret and communicate impact and required actions by employers ✓ Timely reminders of filings and fee payments, i.e., PCORI, 5500s, reinsurance fee Workshops, Seminars and Webinars • USI also provides informative webinars and seminars regarding legislative developments and interprets impacts to employers ✓ Regular national and regional seminars and webinars with live and recorded access ✓ Focus on the most pressing issues of the day ✓ identify key takeaways and next steps Please see pages 35 - 41 in Appendix 9 RFP 678384 RFP Response is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 441 Page Employee Benefit Consulting Services RFP 678384 5. Describe how Proposer applies the proposed prosect approach in comparable contracts to make recommendations to improve programs, and describe the net effect of those recommendations. Please refer to the section in Appendix 9 on Pages 52-80 where USI has placed these approaches in the form of actual USI client case studies where a quantifiable net effect amount is given based on USI recommendations to actual USI clients. As a specific example, please refer to the example on Appendix 9, page 55 the below occurs. COMPANY BACKGROUND A 500+ employee self-funded group specializing in medical diagnostic testing, research and manufacturing, with distribution units in several states and sales teams throughout the United States. KEY CHALLENGES Due to multiple large claims, the Company faced a significant rise in self-funded medical plan costs that would negatively impact profitability and drive a significant increase in employee contributions. The insurance company classified the high -dollar claims as "continuing", and anticipated similar claims in the corning year USI SOLUTIONS OFFERED USI team obtained and reviewed detailed high -dollar claim data that exceeded 50% of stop loss deductible while protecting personal health Information (PHI). ■ USI team reviewed our proprietary 3D data to evaluate continued risk factors and probability of future claims focusing on employee/dependent status, i.e. active, retired, disabled, age -limit, expected return to work dates, etc. ■ US] medical director and underwriter evaluated the likelihood of future large claim expenses. It USi team negotiated removal of one large claim from renewal projections resulting in a Lower claim projection. ■ USI was able to lower the stop loss deductible (laser), and also reduced specific and aggregate stop loss premiums. QUANTIFIABLE BENEFIT TO THE COMPANY The Company reduced claim projections by $150,000, eliminated an additional $150,000 deductible, and saved $60,000 in Stop Loss premium. ■ Total anticipated savings were $360,000 on initial renewal cost of $2,500,000, or 14%. RFP Response is intended safety for the City of Miami and all Information Is considered CONFIDENTIAL 451 Page Employee Benerit Consulting Services RFP 678384 In order to craft the right solutions, we make it a point to first understand your core values, needs and concerns. We pay attention to the details unique to you in your industry. Our proactive approach to consulting is evidence based with an understanding of City of Miami's culture and past benefits strategies. Using our proprietary analytical tools, we take this information to develop a multi-year, easy to digest benefits strategy that combines the needs of the Human Resource team and the financial side of the organization. As part of this strategic plan, we bring reasonable and attainable solutions relative to funding analysis options, predictive modeling of benefit designs, customized wellness programs that are sound and include achievable targeted contribution schemes, as well as comprehensive, customized employer and employee communication tools. We are able to provide local, customized service and national expertise to City of Miami, while remaining a powerful business partner with significant leverage in the marketplace. We are staffed by a team of professionals who are committed to your long-term success, Our goal is to develop, facilitate and maintain long-term business partnerships. Additional Services that USI can perform:. 3. Rx. Solution USI has successfully implemented viable programs that manage healthcare costs for a number of our clients. Our RX Solution is one such concept that may prove beneficial to City of Miami. The USI Rx Solutions Analytics Predictive Model Program has changed the pharmaceutical procurement industry with our latest innovation, Average Script Price Guaranteed Contracts. Championed by our Pharmacy Practice Leader, Patricia Bowen. We have eliminated the gamesmanship that PBM's exploit by offering discounts off Average Wholesale Price (AWP). Employers are realizing that discounts are meaningless if the price is not under control. Nowhere else in the Health Insurance system does the party processing the claim also help set the price. The USI Rx Solutions Analytics program will save you money) RPP Response is Intended sorely for the City of Miami and all Information Is considered CONFIDENTIAL 461 Page Employee Benefit Consulting Services 2. Benefit Resource Center RFP 678384 Additionally, our services include the Benefit Resource Center (BRC), our toll-free one -call benefits information hotline. The 8RC was specifically designed to act as a single point of contact for all benefit questions and claim issues, Outsourcing benefit questions and claim issues helps streamline your benefit administration and cut costs, while providing your employees and families with better benefit -related support services. Our Personal Benefit Advocates will be able to: • Answer benefit plan/policy questions ■ Assist with eligibility and claire problems with carriers ■ Provide claim appeals information and explain the process ■ Explain allowable family status election changes (adding newborns, marriage, divorce, etc.) ■ Provide vendor plan contact information Your USI Service Team will focus on such areas as day-to-day plan management, budgeting and finance issues, interpretation of plan documents and contract language, federal and state compliance issues, and the resolution of complex or sensitive claims issues. Our recommendations are grounded by financial analysis and full consideration of your organization's objectives and administrative realities. 3. ThinkHR USI has teamed with ThinkHR, the leader in live HR advice, to give you answers you can trust. When you call the HR Hotline with your HR questions you will speak directly to SPHR/PHR certified consultants. You can get immediate guidance and best practices advice to handle the toughest HR issues swiftly, and get right back to business. You also have unlimited access to self -paced training with over 200 on -demand employee training courses available. In addition, ThinkHR offers a comprehensive online HR Library which has step-by-step guides for federal and state law compliance, COBRA, FMLA and thousands of invaluable templates, forms, guides and online tools. In addition, your access to our ERISA attorney is always available for complex and specific questions. 4. Verisk 3D – Data Drives Decisions We combine clinical data and analytical expertise using advanced technology and customized consulting to help our clients manage the performance of healthcare. USI 3D software—used in concertwith variety of additional proprietary methods and tools—supplies the insights required to solve complex problems and provide measurable results. USI 3D CREATES RESULTS USI 3D provides a three-dimensional view of claims to offer exceptional insights into clinical patterns unique to a plan's participants. Armed with these insights, we protect future risks and costs over time and make recommendations that positively affect future plan utilization. RFP Response is Intended solely for the City of Miami and all Information Is considered CONFIDENTIAL 471Page Employee Benefit Consulting Services USI 3D drives results by: RFP 678384 ■ Accessing and employing a client's actual claims data to inform the future design of programs, ■ benefits and member outreach and engagement initiatives reflective of the client's unique challenges and opportunities ■ Evaluating the objective cost, quality and utilization of programs and vendors ■ Designing healthcare strategies based on unbiased Insights into drivers of cost, quality and utilization within the client's population ■ Improving accountability and metrics for all vendors charged with managing costs System Highlights Real -Time Claims Data — A continuous claims feed gives our team of professionals' up-to-date information and facilitates early identification of trends and areas of opportunity. Segmentation — USI 3D offers the flexibility to divide and distill data in a variety of ways, including: experience period, service type, service location, provider divisions/locations, member type and chronic disease prevalence/care, This allows for meticulous analysis of utilization patterns—all within a HIPAA- compliant secure data environment. Utilization Tracking — The ability to see and measure utilization patterns of plan participants, as well as sub - populations within the participant base, helps determine the effectiveness of programs like wellness initiatives and disease management. At -Risk Identification — Using predictive modeling and reporting, we help clients find and highlight trends that indicate potential at -risk populations. We also help locate gaps in care for current at -risk populations. USI 3D enables our team to provide easy -to -understand, customized reports based upon the client's unique needs and plan performance. With this tool and the expertise of our analytical team, we can clearly identify the drivers behind the costs and integrate this information into solutions designed to moderate trends. By continually monitoring plan performance against the stated objectives, we help our clients measure overall effectiveness and make sound, informed decisions for the future. RFP Response Is Intended solely for the Cfty of Miami and aft Information Is considered CONFIDENTIAL 48jPage Employee Benefit Consulting Services S.HR Solutions: Account Management • Service Calendar • Implementation & Project Timelines • Carrier Interaction and Accountability HR Tools & Resources • Employee Hotline/Benefit Resource Center • Benchmarking/Benefit Statements • Employee Discount Programs • Employer Websites Benefit Administration Consulting ■ HR Enrollment Platform Consulting HR TPA Services Consulting Private Exchange Consulting Employee Education & Enrollment Services • Customized Benefits Education and Engagement Strategies • Employee Communications including Guidebooks, Meetings, Webinars • Multiple Benefit Enrollment Options (On-site, Telephonic, Web Services) • Personalized Campaigns • Employee Meetings, Websites RFP 678384 RFP Response Is Mtended solely for the City of Mlamf and all information Is considered CONFIDENTIAL 491 Page Employee Benefit Consulting Services 6. Compliance / Healthcare Reform Timely, Comprehensive Analysis RFP 678384 USI's National Compliance Team, including our network of in-house ERISA attorneys, provides expert guidance on new developments and ongoing requirements aFfecting health and welfare pians. We understand that staying in compliance with the constantly changing regulatory landscape is a monumental task. Our experienced team is here to identify risks and offer compliance solutions that align with your business needs. USI's Legal and Compliance team of 14 locally based, nationally networked Attorneys provides clients with a wide range of in-house services including: • Monitoring Relevant Facets of Health and Welfare Guidance, Including Statutes, Regulations, and Case Law • Health and Welfare Pian Compliance Education • Health Care Reform (ACA) Impact Analysis Tools • Ongoing Articles, Workshops, and Seminars • State and Local Benefits -Related Issues • Compliance Guides, Templates and Sample Documents • Assistance with Notice and Disclosure Requirements 7. Access to USI National Stop -Loss Consortium • No New Lasers at renewal with a specific renewal cap ■ Mirroring riders ensuring stop loss matches the underlying benefit plan • Ability to bind coverage early with an "Early Lock" on underwriting and Claims processing guarantees. • Access to Best in Class Contracts and underwriting terms Please refer to the Appendixes 2-9 for materials describing all of USI Value Added offerings RFP Response Is Intended solely for the City of Miami and ail information Is considered CONFIDENTIAL 501Page Employee Benefit Consulting Services Proposed Price - RFP 678384 Proposer shall state its price for providing all services as stated within this Solicitation. Proposer shall submit pricing stated as a flat, fixed fee per year, which shall include all expenses necessary for the requested services, Proposer must use the Price Proposal Form. Employee Benefit Consulting Services The Proposer shall state the not -to -exceed price for providing all employee benefit consulting services as stated Request for Proposal. The price includes all costs associated to provide these services. The below fee does not include retirement services. Please refer to appendix 1, For proposed prices as indicated on the RFP under Form B and amounts for USI and USICG. USI has submitted a flat $180,000 per year as a Consulting fee. RFP Response is Intended solely for the City of Miami and au information Is considered CONFIDENTIAL 511 Page What Makes USI Different? USI ONE Advantage' Sets the Company Apart from the Competition. • What sets USI apart • as a premier middle market insurance brokerage and consulting firm? A0ONE. a simple word with • three powerful elements. The O represents Dui- Omni engine; N is for our `network; and F for our Enterprise planning. Each of these elements is unique at t?SI, and how we bring it all together sets US[ apart from the competition. lNe call it the USI ONF Advantage, or simply — USI ONF"". Why is Omni such a game -changer in the industry? The USI Omni 1`nowledge Engine gives us something fundamentally different to say. Orl which means "air, is USI's one ofa kind krio'wwledge engine, created from all the years vve've been solving clients problems (over 100), from all the clients we've served (over 100,000), and from all our professionals (over 4400 in more than 140 offices across the United States). Omni is real time, interactive, dynamic and evolving, and customized for each client. We are able to bring unique solutions, explain them in terms that are easv to understand and we demonstrate how the solutions can have positive economic impact for our clients. How is the Network unique at USI? Unlike other brokers, at USI we've made a very large investment in local resources and technical expertise that are networked nationally— over 4,400 professionals connected nationwide to build integrated client -centered account teams. USI has more than 2,500 national property and cativalty professionals including our personal risk and program teams and more than 1,500 national employee benefits professionals including our enrollment, retirement and wholesale teams. Small firms can't match the breadth and depth ofour local resources on the ground and large firms often keep the resources remotely in national practice groups. As a result of our deep property -casualty .and employee benefits expertise we are able to deliver the Omni solutions we customize for our clients. What is Enterprise planning and how does it connect to the Omni and Network? At USI we put you, our clients. at the center of our world. We access our proprietary Oi4.1NI engine for broad and deep solutions customized for each client. b e gather our unique Network of nationally connected local expert resources. And we engage in a disciplined, focused analysis centered on OMNI LDel & Na 4o^a,4 ._......._. _.._.._, a es� m eased SUS, y ' "s ,j k?f21�.t u & ent Cfls s+ 1B, d }' ChA—g- .: Custom zed actionable,""`" measurable SOILNons - wit1.. bottom line impact to your business. h our clients' specific issues and challenges. USI's Enterprise planning develops apowerful plan to deliver Bottom- line impact to our clients so they can Contnnue to invest and grow. How is USI ONE having an impact on clients? bVe've used the proprietary 01il process to create cost-saving programs and effective risk management plans with many clients and in many diflcrent areas — from companies looking to reduce the rising cost oiemployee benefit plans; assess their compliance with ACA mandates; understand their exposure to cyber -attacks; manage natural catastrophe risks; to individuals seeldng to protect theirpersonal property and avoid potential personal liability risk. Property & Casualty I Employee Benefits I Personal Risk I Retirement Consulting ,12Wb-10i J5: bis:ran.e iety . A- Yl--._ About USI Insurance Services US] is a leading local and national insurance brokerage and consulting firm, delivering property and casualty, employee benefits, personal risk and retirement solutions throughout the United States. Headquartered in Valhalla, New York, USI has over $1.0 billion in revenue, employs more than 4,400 professionals and operates out of 140 local offices serving every state. USI has become a premier insurance brokerage and consulting firm by leveraging the USI ONE Advantage, an interactive platform that integrates proprietary and innovative client solutions, networked local resources and enterprise -wide collaboration to deliver customized results with positive, bottom line impact. USI attracts best -in -class industry talent with a long history of deep and continuing investment in our local communities. For more information, visit www.usi.com. The USI ONE Advantage4 What truly distinguishes USI as a leading middle OMNI market insurance brokerage and consulting firm is the USI One Advantage, a game -changing value proposition that delivers clients a robust set of risk C_ - management and benefit solutions and exclusive resources with financial impact. USI ONE" represents Omni, Network, Enterprise—the three key elements that create the USI ONE Advantage and set us apart from the competition. USI ONE Advantages Omni — USl's Proprietary Analytics Omni, which means "all," is USI's one -of -a -kind solutions platform—real time, interactive, dynamic and evolving, and customized for each client. Built in-house by USI subject matter experts, Omni captures the experience of more than 100,000 clients, thousands of professionals and over 100 years of business activity through our acquired agencies into targeted, actionable solutions. Network — U51's Local and National Resources USI has made a very large investment in local resources and technical expertise, with more than 4,400 professionals networked nationally to build strong vertical capabilities and integrated account teams. Our local and regional experts ensure account team availability, hands-on service, and ongoing diligent follow-through so we can deliver on the solutions we customize for our clients. Enterprise — US!'s Team Based Strategic Planning US1's enterprise planning is a disciplined, focused, analysis centered on our client's issues and challenges. Highly consultative meetings integrate USI's Omni analytics with our broad resource network to build a risk management strategy aligned with client business needs. Our enterprise process is proven method for identifying, quantifying and minimizing client risk exposures. The USI ON E Advantage—our Omni knowledge engine, with our Network of local and national resources, delivered to our clients through our Enterprise planning process gives USI fundamentally different solutions, the resources to deliver, and a process to bring superior results to our clients. Health Risks Drive Cost. The current rate at which healthcare costs are rising is unsustainable, making employee healthcare benefits less and less affordable for employers to offer. On average, 75% of costs are related to chronic diseases linked to modifiable risk factors. USI takes a multi -faceted approach with respect to claims cost reduction strategies. Wellness and disease management consultation is a core component that hundreds of USI clients are taking advantage of across the country. Our Southeast team consists of two full-time wellness consultants. In addition, USI's national team of 18 seasoned experts with over 200 years combined experience, meet on a regular basis to share best practices supported by the Wellness Councils of America (WELCOA), North America's premier resource for worksite wellness. We are leaders in the population health management arena. Municipality (703 FTEs) After years of onsite biometric screenings resulting in no year -aver -year change, the organization offered a 20% premium differential to those who completed an annual preventive visit, age/gender cancer screenings and tobacco affidavit. Based on demographics and field -work environment, one might have projected a 30% engagement rate. Instead, during the first year of instituting USI's Core Health Strategy, this employer experienced an impressive 90% engagement rate. Following only 1 -year of having introduced USI's Core Health Strategy, the percentage of gaps in care for members with diabetes has been reduced by 7.4%. This is encouraging given diabetes accounts for approximately 11 % of the groups overall claims. Manufacturer (280 FTEs) This manufacturing organization has nine locations scattered across the southeast, which would make onsite biometric screenings logistically challenging if not impossible therefore, with the assistance of UST's wellness consultant, the organization introduced a successful strategy to drive primary care physician biometrics collection/preventive care for early detection. Given this employers particularly high tobacco usage rates, USI also assisted with introducing a premium discount -based tobacco affidaviticessation program. Financial Institution (1800 FTE's) This Florida and NY -based financial organization with more than 90 locations had no wellness prior to partnering with USI. After 1 -year instituting USI's Core Program, 60% of enrolled empioyees earned a 10% premium differential for having completed both an online health risk appraisal and preventive care visit. High claims related to cancers with this group were no surprise since age -gender screening compliance ran lower than the norm. Incidence of diabetes ran well above the norm when compared to similar populations As a result, year two of the program will also include age -gender cancer screenings and tobacco cessation. Hospital System (585 FTEs) Doctors and healthcare workers demonstrate some of the worst health habits of all industries, and have some of the highest rates of obesity, hypertension, and diabetes, A Reuters study found that the average cost of healthcare for hospital employees and their dependents was an additional $538 per year than other similar size organizations. This client did not have a wellness program in place prior to hiring USI yet knew they needed to institute a strategy, which was low-cost yet also positively impactful to the bottom line. USI's wellness consultant immediately devised a multi-year strategy to drive better preventive care compliance, chronic disease management and an overall healthier culture, After less than 1 -year with USI, the client now has a premium -differential -based wellness program requiring annual check-ups. They formed a company -wide wellness committee, officially branded the wellness program and launched engaging online challenges tied to their onsite fitness center. Auto Dealer (245 FTE's) Following only a few months of engagement with USI's wellness consultant, this auto dealer launched a premium differential connected to participation in the wellness program. After three years of implementing USI's low-cost/high-impact model, 56% of those enrolled in the company's health insurance earned a discount for wellness program participation. Based upon program aggregate data, the number of individuals with 3-4 separate risk factors has been reduced by nearly 50%. This is significant with respect to future cost avoidance given individuals with 3 or more risk factors operate with much greater odds for catastrophic claims via metabolic syndrome. Additionally, the percentage of individuals with elevated Al C levels (Al C is a 3 -mo. average of glucose), dropped by an impressive 38%. These outcomes suggest a sizeable reduction in future risk for catastrophic claims resulting from diabetes & heart disease. this =CLrnent and its ccntenfs ere prcrrietary la USI Insurance Ser`/ices LLC. 0 USJ nmance Services LLC - 20 14. All Righis Rawrre,d. USI Pharmacy Benefit Report for ABC Company Presented by; USI Analyst Date: 02/17/2017 W. STANDARD I AS(,'Gamp.irty 'i V Start Date: 07/01/2017 Employees: 927 Covered Lives: 1,854 Retail Network: Broad Mail Order Utilization: Low Specialty Program: Exclusive Formulary: Open Plan Design; 3 -Tier Average Annual Costs: $1,985,157 Incumbent: Opturn Rx Current Funding: Self -Funded Carve -out Penalty: $6.00 PEPM Data Date Range: 02101120T6-02/0112017 Medical Credit: NIA Current Rebates: $0 CVS'VPS1_.1Z�_ CAREMAPkK I Deal Type: Traditional Average Annual Cost $1,554,056 Magellan Rx MANAL3EMENT. Deaf Type: Traditforial Average Annual Cost: $1,600,280 MagellanRx MANAGEMENT. Deal Type: Pass -Through Average Annual Cost: $1,633,725 ENV] S I CNR, Deal Type: Pass -Through Average Annual Cost: $1,642,595 Deal Type: Pass -Through Average Annual Cost; $1,725,713 OPTUMRx' Custom Offer: Scripffodd OptumRx Renewal Average Annual Cost: $1,770,316 21.7211/o Average Savings 19.391/8 Average Savings 17.45% Average Savings 17.26% Average Savings 13.07% Average Savings 10.82% Average Savings USIRX.COM I INFOCa)RXCHGiCE,C0fvI 1 (800) 930-3698 1 QUOTE ID 9871 1 Page 2 of9 $5Mk S4( C* 5. ,y. - V • . 3.; � � apt � I [ t F ^� ! n .�.,a~ Retail Brand 30 Discount 1750% 17.35'3 15.SC% 16.78'.0 MOM 18.50% Retail Generic 30 Discount 80.N% 78.00% 79.00% 77.40;6 77.2516 74.3G% Retail Brand 30 Dispensing Fee $0.80 $1,10 $1.35 $1.30 $1.2S 51.20 Retail Generic 30 Dispensing Fee 50.30 $7.10 $1.35 $1.40 $115 $12f1 Recall Brand 90 Discount 21.50% 19.10"3 20.00% 20.79 h 16.00% 20.503b Retail Generic 90 Discount 80.00% 78.00% 79.0G% 78137,6 77.25% 74.50°3 Retai Brand 90 Dispensing Fee $0.00 $0,50 $0.75 $0.00 $1.25 S11.20 Retail Generic 90 Dispensing dee $0.00 $0.50 50.75 $0.00 $1.25 $1.20 Mail Brand Discount 23.5096 24.3511 2d,co% 21.20% 24,00% 24501.6 Mail Generic Discount 82,CO% 80.CCe3 79.00% 80.20ahi 782546 77.5006 klail Brand Dispensing Fee S0.00 $0.00 SOHO ZOO $0.00 50.E Mail Generic Dispensing Fee $0.00 50.00 $0.00 $0.00 $0.00 50.00 $36.72 $44.68 $70.62 541CO $27.50 Retail 30 Rebate Per Brand Claim Per 3rand Ctaim Per Brand Claim Par Brand :Ta.m Per Bnnd Claim $38.72 $127.20 $185.32 5111.50 $2750 Retail 90 Rebate Per Brand Claim Per Sracd Claim PerBtand Claim Per Brand Jam Per Brand Claim $105.60 S'170.33 $205.18 $124.00 $88.00 Mail Rebate Per Brand Claim Per 3r3nd Claim Per Brand Claim Per Brand Claim Per Brand Claim $100.00 $257.58 $213.23 $98.44 $165.00 Specialty Rebar" Per Claim Per Claim Per Brand Claim Per Brand Clairn Per Claim $2,85 $4.60 Admin Fee Per Claim P°P4i $0.95 $0.95 $0.95 $0.95 TruverisAdminFee Included Per Claim Per Claim Per Claim Perclaim Allowances - - - - - Aver3geAnnualSavings$ $431,10: $384:477 $346,432 S342-%* $259,444 $214,4341 Aver3geArmual3avmp% 21.72% 1939% 17.45'fi 1716% 13.07% 1OA^ Nore: variations may QVS: among tach benefit provider's contractual terms (e.g, brand, gener'c). The rinandai impact of such varador•s is releaed n -he Average annual Savings. Rates for pass-through offers may reflect their Network•Performance Certified rates as predicted by Truvens. USIR)i;CONI f INFO&RYCHOICE.CONI1 (800)930-35981 QUOTE ID 9871 1 Pag93of9 CARE`IA < i �__ >: 21.72% One $1,433,337 $13,646 $0 ($78,972) $291,397 $1,086,614 $66,744 $1,434,755 $t,833,863 i 3399,108 i 21.7615 Two $1,547,645 $13,646 $0 (377,825) $'83,549 $1,199,914 $66,744 $1,550,208 $1,980,291 1430,089 a 21.72^1, , I Three $1,674,092 $13,646 $0 ($77,277) $285,372 $1,325,090 $66,744 $1,577,205 $2,141,310 j $464,105 21.67?14 TOTAL $4,655,074 $40,939 $0 ($234,078) $850,318 $3,611,618 $200,232 $4,062,168 $5,955,470 ! $!,253,302 21,72"1+ Formulary PMPY Spend CVS Caremark is committed to helping -- - �s x our clients reduce their drug spend and 4 " 1 manage drug cost trend while providing iia c3inically comprehensive coverage, A i&c� critical tool used by CVS Caremark to r deliver on this commitment is our a.� formulary strategy. s The development and management of LEI _ar One Year T.va Y arT ree - drug formularies is an integral component in the P6ivi services CVS Caremark provides to plan sponsors. Pharmacy Covera,,= • CVS • Kmart • 4Valar=_ens • Medicine Shoppe • !Plalmart • 5uoervalu • Rite Aid • Dominicks Finer Focds • Kra,� -,r • Publix • Targ=_r • Independents ................. CVS Caremark Strengths .... ..... 5_cV S'am2 4ao. s mar One F_ar Toy Y , -_ USIRX.COhI I INFO�PRXCHOICE.COV 1 (300)930-3698 I QUOTE ID 9871 1 Page 4of9 Magellan Rx MANAGEWNT- 19.39%0 One 31,494,233 $19,219 $13,967 (3119,711) $236,301 $},125,936 566,744 $1,479,433 $1,833,363 $354.332 193215 Two $1,613,793 $19,249 $18,974 (3122,375) $238,598 $1,241,0.44 $666,744 $1,596,386 $1,980,297 3383.3'1 19.39,% Three $1,745,872 $19,249 $18,983 (5125,875) $290,192 $1,368,038 $66,744 $1,724,973 $2,141,3}0 r 3416,337 � 19.44% TOTAL $4,853,898 $57,747 $56,924 ($367,961) 5865,591 $3,735,018 $200,232 $4,800,341 $5,955,470 S7.154,530 19.39% Formulary A Smarter Approach to pharmacy Care PNIPY Spend 385 Su3 3989 Year One Y?ar T,i }elf Fnaea s- 5"'73 Yo33 T 3 Ywr One Yee TNa Year Thraa 66,154 k--: PHARMiACIES-' i y i,3ii cu. rrd-: USIRX.COMI I INFO�:DRXCHCICE—COM j(300)930-36981 QUOTEID9871 I Page5of9 Magellan Rx Management believes that y- {� Y its formulary management strategy, with { a generics first focus, provides the greatest opportuniV/ for a lowest total cast drug mix, while ensuring that safe and efficacious drugs are included in the formular7. In addition, our expertise in managing specialty utilization across both medical and pharmacy, as welt as formulary and rebate management and c- distribution, allows us to focus on the ultimate good of ensuring appropriate use, lowering costs and improving patient outcomes. Pha; Macy Coverage • '+A131;reens • Medicine Shoppe Internat:onai • CVS Pharmacy • Publix • Walmart • Costco • Rite Aid • Hy -Ven • Kroger • Independents ■ Targer A Smarter Approach to pharmacy Care PNIPY Spend 385 Su3 3989 Year One Y?ar T,i }elf Fnaea s- 5"'73 Yo33 T 3 Ywr One Yee TNa Year Thraa 66,154 k--: PHARMiACIES-' i y i,3ii cu. rrd-: USIRX.COMI I INFO�:DRXCHCICE—COM j(300)930-36981 QUOTEID9871 I Page5of9 Magellan Rx MANAGEMENT. Magellan Rx Management believes that 7 Its Formulary management strategy, with fi a generics first Focus, provides the • Walmart greatest opportunity For a lowest total r ; '.;- .' ,: 17,451/1a and efficacious drugs are included in the • Target formulary. In addition, our expertise in J managing Specialty Utilization across both medical and pharmae/, as well as formulary and rebate management and distribution, allows us to focus on the ultimate good or ensuring appropriate use, lowering costs and improving i :- One $1,492,133 $23,876 375,868 {5145,077} 3296,293 $1,150,506 566,744 41,513,544 $1,833,363 1 5320,31? 17--1'-5 e Two $1,611,415 $23.876 $75,900 ($143,056) $288,107 $1,280,023 $66,744 $1,634,879 $1,980,297 53.15213 Three $1,743,317 $23,876 $75,934 (5142,120) $289,675 $1,411,332 $66,744 $1,767,751 I# $2,141,310 0 5373,55* 17.a5'hh ! TOTAL $4,846,966 $71,627 $227,702 (4430,253) $864,075 $3,851,866 $290,232 $4,916,174 $5,955,470 S'.0392cv - Formulary ''-91 Magellan Rx Management believes that 7 Its Formulary management strategy, with fi a generics first Focus, provides the • Walmart greatest opportunity For a lowest total r ; cost drug mix, while ensuring that safe • Kroger and efficacious drugs are included in the • Target formulary. In addition, our expertise in J managing Specialty Utilization across both medical and pharmae/, as well as formulary and rebate management and distribution, allows us to focus on the ultimate good or ensuring appropriate use, lowering costs and improving i :- patient outcomes. Pharmacy Coverage A Smarter Approach to Pharmacy Care PNIPY Spend 3)03 4493 iaF777 3 Ytm Trp; Vmrihtme Yaar Doe Year T'o Ye;r Tare• 66,154 PHARMACIES USIRX.CONI I INFO@RXCH0ICE.00Nl 1 (800)930-36981QUOTEID 98711Page6of9 • Nlalgreens • Niedi,ine Shoppe International • CVS Pmrmacj • Publix • Walmart • Costco • Rite Ard • Hy -Vee • Kroger • Independents • Target A Smarter Approach to Pharmacy Care PNIPY Spend 3)03 4493 iaF777 3 Ytm Trp; Vmrihtme Yaar Doe Year T'o Ye;r Tare• 66,154 PHARMACIES USIRX.CONI I INFO@RXCH0ICE.00Nl 1 (800)930-36981QUOTEID 98711Page6of9 ENVISIONR One $1,399,398 $23,726 $69,581 (531,G37) Two $1,565,220 $23,730 $70,14$ ($83.589) Three $1,632,267 $23,732 570,710 ($86,179) TOTAL $4,597,385 $71,189 $210,435 (5251,455) Formulary PNIPY Spend Oft1 sl �IA'L � Ld�i Envision's formulary strategy is to Create an efficient, cost-effective portfolio of saga s�8s prescription drug products where each - m therapeutic class has Sufficient _ representatior to meet the needs of most _ patients. The overall strategy is to focus }iv on lowest net cost to the payer and war One Year Tao Year Thre± provide educational messaging and other programs to encourage use of lower-cost, _ high-quality products. - The prioridzation of our formulary criteria is: 1) Safety, 2) Efficacy, 3) Clinical s _ Compliance, 4) Outcomes, and 5) Cast, Pharmacy Covera;e + Walgreens • Kmart • 015 • Madicine Shoppe • Walmart • Supervalu • RIteAM • Dominick's Finer Foods • Kreger • Publix • Targe€ + Independents Five Unmitigated Truths; PSNI Industry $286.98.1 $1,224,534 $66,7.4 $1,578,262 51,833,863 $255,501 13.9»=5 $285,632 $1,239,874 $66,744 $1,642,250 $1,980,297 533a,C46 17.075 5231861 $1,356,663 566,744 51,707,273 $2,$41,310 I 5434,037 20.27% lI $355,477 $3,871,077 $200,232 $4,927,786 $5,955,470 SI,027.58,4 17.26'V3 " PNIPY Spend Oft1 sl �IA'L � Ld�i Envision's formulary strategy is to Create an efficient, cost-effective portfolio of saga s�8s prescription drug products where each - m therapeutic class has Sufficient _ representatior to meet the needs of most _ patients. The overall strategy is to focus }iv on lowest net cost to the payer and war One Year Tao Year Thre± provide educational messaging and other programs to encourage use of lower-cost, _ high-quality products. - The prioridzation of our formulary criteria is: 1) Safety, 2) Efficacy, 3) Clinical s _ Compliance, 4) Outcomes, and 5) Cast, Pharmacy Covera;e + Walgreens • Kmart • 015 • Madicine Shoppe • Walmart • Supervalu • RIteAM • Dominick's Finer Foods • Kreger • Publix • Targe€ + Independents Five Unmitigated Truths; PSNI Industry Yzar pile 'rear Two - -- -- Year T'. z ---�� 71,_98 PHAUJA:CIES USIRX,Cokl I I.FO PRXCHOICE.COr41 1 (300)930.3693 1 QUOTE la 9871 1 Pave 7 of 9 One 31.,559,031 THa $1,673,666 Three $1,799,554 TOTAL $5,032,251 Formulary Pharmacy Coverage 522,801 $13,967 ($60,720) $290,739 51.249,290 $66,714 $1,606,323 $2,303 $13,974 ($60,083) $291,9 t0 $1,363,451 $66,744 $1,722,105 522,306 $18,983 ($59,376) $292,737 $1,488,730 $66.7.43 $1,3-13,211 $93,310 556,924 (5180,673) $875,435 $4,101,472 $200,232 $5,177,139 The WelfoyneRx formulary provides access to a range of brand and generic drugs. Through flexible incentive plan designs, Wel]DyneRx offers two formulary options to facilitate the most effective use of the prescription benefit. our Universal formulary, which includes broad access to all FDA approved medications, and our National Preferred formulary that includes limited drug exclusions. Our formularies are reviewed quarterly by our Pharmacy and Therapeutics Committee to include updates on newly approved drugs or indications. • 4+lalgreens • iPedicine Shoope International • CVs • Dominick, Finer Foods • Walmart • Fhublix Pharmacies • Rtt2Aid • Costco • Kreger • Independents • Target `3 ]- , _i _t : , : 13.07% $1,833,863 1 $227,N3 1 12.33% 1 $1,980,297 S25c2.'�2 13.0-.`°6l' $2,141,310 5293,100 13.69'5 f $5,955,470 $8,33 1 `3 ]- , PNIPY Spend ORIGINAL PLA`I 53 4 i9a3 L :� A. = _ Sri >aas 3 Year Une Year Tc Ya.x Three 701091 PHARMACIES Flexible Solutions and Integrated Strategies ilW:'Ilij ,1 Fr C"-', , ; t If CW IT!0 cr; USlRX.COM I INFOLaRXCNOICE.CONII(300)930-36981QUOTEID9871IPa;e8of9 44,0PTUMRx' One $1,547,896 $21„348 $0 50 $295,503 TNo $1,677,350 $21,848 $0 $0 $296,530 Three $1,319,924 $21,349 $0 $0 $297,709 TOTAL $5,045,170 $65,545 50 $0 $889,393 Formulary The Op€umRx Select Prescription Drug, List is a three-tier open formulary that includes over 1,000 drugs. The Formulary includes 275 therapeutic classes and 397 subclasses. TNs includes most dosaaa forms and strengths available for each drug with the exception of specials) drugs. The formulary places all generics on tier 1, formulary brand products on tier 2, and non -formulary products on tier 3. OptumRx offers the option to customize the PDLto meet the client's needs. Pharmacy Covera Ja • 015 • Target • Wal;,-eens • Medicine Pcppe * Walmart • Hv-Vee Inc • Rite Aid • Isleijer Pharmacies • Costco • Publix • Kroger • Independents Company Screngths PMPY Spend OSIGINA1 PLA` s;oa s9e3 sa't eYa'-ds !e3r4ne —.. ... ... Year Tao --- year Threes s� ;az ssea I e,,. 0rse Year Tna Year Telr;e 65f3l I PHr4.4ij1ACIES USIRX.COhI I IIVF0,,3MXCHOICE,C0hI 1 (900) 930.3678 1 QUOTE ID 9871 1 Page 9 of9 SmpiSi nrlJ $1,27.4,641 $66,744 $1,636,488 $1,333,363 $197,376 10.7635 $1,402,619 $66,744 $1,765,943 $1,950,297 J` -_ $213,354 I 10.32% $1,544,064 $66,741 $1,908.517 $2,141,3101 $232.793 10.37? USI 3D Report 1 Data Ddves Decisions 1 .tel 49r USI lim-P Book of Business Paid: April 2012 through March 2014 Table of Contents 1. Overview.......................................................................................................................... 3 2. Utilization Metrics............................................................................... ...................5 3. Claims Expense Distribution..................................................................................................5 4. Individual Claimant Risk.......................................................................................................7 5. Prescription Drug Key Statistics.................................................... ............8 ............................. b. Tap 10 Prescription Drugs.................................................................................................... 10 7. Disease Fingerprint.............................................................................................................12 8. Wellness Opportunities........................................................................................................13 9. Cardiac ............................................................................................................................14 10. Diabetes.........................................................................................................................1 5 6 Book of Business Paid: April 2012 through March 2014 1. Overview $60.1,400,040 $570,004,044 500,070,004 $3J4,474,404 b'°J 0,414,4+70 $I4+7,4')4,4+74 $9 Total: Claims Apr 12 -Mar 13 Apr 13 -Mar 14 a PF Total Expimses Aix 12 -Mar 13 Apr 13 -Mar 14 K Medical Pharmacy I 17% v Y +^ Medical $431,388,268 $419,898,016 -2.7% Pharma $87,966,811 $88 043,688 0.1°x} -.sear. cac•�• ._. .. . .. .: i; . �- � 1 i�r.. cairns for Members Over Age 65 $25,664,182 $16,936,247 -34,0% Member Months 1,780,2.14 1,539,960 -13.5% - Medical $242.32 $272.67 12.5% Pharmacy $59.96 $71.53 19.3% - _'—�� 07�- lo `- $350.09 $374.07 $254 00 $2.30,03 $150.00 $104-07 $50.04 $000 Medical Plan Paid PNIPNI Pharmacy Plan Paid PNfPM Apr 12 - Mar 13 Apr 13 -Mar 14 $9.44 $s9.o4 $70.01 $00.40 $50.00 $40.00 $30.00 $20.00 $10.00 $0.00 Notes 1. Pr IPM stands for Per Member Per Month and PEPY stands for Per Employee Per Year Apr 12 -Mar 13 Apr 13-hlar14 3 Book of Business Paid. April 2012 through March 2014 Medical Expense Growth over Time Change in Medical P'v1Ph1 tip» 272 57 Apr 12- Apr 13 - Mir 1Mar 14 Change in Unit Pricing $,fevent Changes in unit pricing are typically 41, ¢; a function of overall medical inflation, 3�a.92 Payor discount power, and the amount of services that are delivered in -network versus out -of -network. Payor contracting is the primary lever to control this cost driver. Apr i2- p'13- lol ar 13 M ar 14 Change in Utilization events /member months Changes in utilization are typically +5:' a function of the overall disease burden 0 53 J of a population, benefits design and physician referral patterns. Disease and Wellness management programs, rational benefits structuring, and close network management are the primary levers to control this cost driver. — Apr 12- Apr 13- hlar 13 Mar 1.1 Nates 1, Change in Medical PMPN1 is product of Change in Unit Pricing ($/events) and Change in Utilization (events/member months) 4 Book of Business Paid. April 2012 through March 2014 2. Utilization Metrics Claims by Place of Service Apr l?- Apr 13 - Mar 13 Mar 14 , 400-00111MA vim wtalaiiiftl"Jlxv,*W� W AAD ., ar Current Year Claims by Place of Service $70.86 55 N Inpatient Current Members X Outpatient 81 r office Visit T Emergency Roo III X fliiamacy O/o Employee Paid 13,9% N j rrn x Filai-macy , 400-00111MA vim wtalaiiiftl"Jlxv,*W� W AAD ., ar Current Year Claims by Place of Service $70.86 Current Employees 61,478 Current Members 133,454 Average Age 35.5 -% Male 47.71% O/o Employee Paid 13,9% , 400-00111MA vim wtalaiiiftl"Jlxv,*W� W AAD ., ar Current Year Claims by Place of Service 58,714 121,220 - 35.1 35.7 - 48.8% 48.3% 1 14.5% 17.7"lo : Inpatient $70.86 $77.51 $88.25 Outpatient 1111 Inpatient $80.00 2 Outpatient Offilce Visit E Office Visit K Emergency Room -1% 2 $55.49 1'_ Emergency Room x Filai-macy 58,714 121,220 - 35.1 35.7 - 48.8% 48.3% 1 14.5% 17.7"lo : Inpatient $70.86 $77.51 $88.25 Outpatient $75,79 $80.00 $30.68 Offilce Visit $56.95 $62.03 $55.49 1'_ Emergency Room $10.35 $11.36 $15.29 Pharmacy 559.35 $70,41 $56-18 3 4,125. 4,220 429.8 Inpatient Admits Per 1000 Average Length Of Stay Emergency Room Visits Per 1000 Visits Resulting in Admission Average Paid Per Visit Office Visits Per 1000 Preventive Visits Per 1000 M77=-- ro-?Ti 63.7 65.5 70.4 3.7 4.0 4.8 226.6 232.4 260.7 0.3% 0.4°7er! $1,232,96 $1,266.46 $962.83 = 31.5% 3,845, 4,125. 4,220 429.8 432.7 4855 117 Ar"JEN2= % Claims Paid in Network 92.5% 93.9% Notes 1. Norm based on Verssk Health's Commercial Normative Database, 2. Emergency Room visits resulting in an admission is calculated using Number of ER visits resulting admission/ Total ER visits. 5 Book of Business Paid: April 2012 through March 2014 Just6 &I - 3. Claims Expense Distribution Health Care Spend Claims Expense Distribution Percentage of Total Claims Cost PMPM 16-39 Membership Distribution Band Percentage of Total Notes 1. Norm based on Verisk Health's Commercial Normative Database. 2. Numbers within the parenthesis reflect the Verisk Health's Norm values. $5,759.65 $1,404.38 $535.08 $222.51 $ 70.31 $3.86 6 Health Care Spend Percentage of Total Claims Cost 1. -_IPM 1% 1,982 $234,273,184 $143,427 27.7% 30.51/o 2-5ola 7,930 $271,811,404 $34,276 26.5% 27.7% 6-150/a 19,823 $247,715,580 $12,496 24.1% 22.7% 16-30% 29,735 $143,123,446 $4,313 13.9% 12.1% 31-60% 59,470 $76,995,969 $1,295 7.5% 6.4% 61-100%n 79,294 $3,377,199 $43 0.3% 0.6% �,. r:r1=5 r TI Health Care Spend Claims Expense Distribution Percentage of Total Claims Cost PMPM 16-39 Membership Distribution Band Percentage of Total Notes 1. Norm based on Verisk Health's Commercial Normative Database. 2. Numbers within the parenthesis reflect the Verisk Health's Norm values. $5,759.65 $1,404.38 $535.08 $222.51 $ 70.31 $3.86 6 Book of Business Paid: April 2012 through March 2014 4. Individual Claimant Risk LA 12, J) 13 ), 1) i) 11 ta�,oio V Top 10 Claimants by Total Paid MM z ! Total Paid Top 10 Claimants by Total Paid 4 5 ii Concurrent Risk Score 6 US[ --+- Prospective Risk Score Notes 1. Concurrent risk score measures current *risk of a population. 2. Prospective risk score looks back at the last 12 months to predict the risk of a population in next 12 months. 3. These risk scores are **normali7ed to a dataset comprised of over 32 million lives. * Illness burden **The normalizing process entails adjusting each member's relative risk score (RRS = cost converted to a score) to ensure the overall average RRS is 1.00, which represents the average annual cost for a member in a benchmark population. 7 1 Newborn Care Y 0 D $1,582,026 69.07 12.89 2 Newborn Care Y 0 D $1,164,822 23.62 4.57 3 Renal Failure Y 56 E $1,164,649 29.22 28.72 4 Leukemia Y 31 E $1,103,117 112.86 71.38 5 Inter7ertebral Disc Disorder; Y 54 S $1,057,670 7.27 5.09 6 Renal Failure Y 31 S $994,574 45.07 39.22 7 Leukemia N 11 D $963,914 110.28 45.90 8 Complicated Fx of Neck and Trunk Y 3 D $949,421 35.24 21.87 9 Cystic Fibrosis Y 6 D $937,751 44.39 37.64 10 Organ Transplants Y 30 5 $884,648 119.61 47.28 Top 10 Claimants by Prospective Risk Score 1 Leukemia Y 31 E $1,103,117 71.38 112.86 2 Renal Failure N 64 E $740,485 61.92 90.28 3 Heart Valve Disorders Y 61 S $750,000 57.91 108.81 4 Newborn Care Y 1 D $453,225 52.02 133.75 5 Liver Diseases N 49 E $93,237 52.01 168.04 6 MyocardialInfarction Y 47 S $109,199 51.70 233.88 7 Renal Failure Y 61 E $33,511 51.48 65.44 8 Organ Transplants Y 39 S $743,725 50.51 80.82 9 Renal Failure Y 56 E $320,366 50.45 66.54 10 Misc Cancers Y - 5 D__._... ---_$b48,454 ---49.53 _ .121.61 Notes 1. Concurrent risk score measures current *risk of a population. 2. Prospective risk score looks back at the last 12 months to predict the risk of a population in next 12 months. 3. These risk scores are **normali7ed to a dataset comprised of over 32 million lives. * Illness burden **The normalizing process entails adjusting each member's relative risk score (RRS = cost converted to a score) to ensure the overall average RRS is 1.00, which represents the average annual cost for a member in a benchmark population. 7 Book of Business Paid; April 2012 through March 2014 5. Proscription Drug Key Statistics Pharmacy Expenses Change in Pharmacy PMPM 70.41 °51130 58.84 16.2% Brail�i�d $6,35 Generic 5- 223% Apr 12 - Mir .'-.pr 13 - Mir 13 14 Scripts/Member Month Count +17N 1.1 X rhana 1.0 �' Q.8 4.4N 0.3 ?.pr 12 - hlar.Apr 13 - M3Lr 13 14 Cost/Script 61.5 61.8 r ant: 141.0 15 .9 11.3.E -196 Apr 12 -filar Apr 13 - Mar 13 14 Changes in scripts per member reflect overall intensity of care and member compliance. Overall trends in volume are less important than the change on the ratios between branded and generic drugs. Changes in cost/script reflect overall pharmaceutical industry pricing trends. This cost driver is best controlled through strong PBM contracting and tight formulary control. E? BOOL( Of Business Paid: ApW 2012 through March 2014 Pharmacy Paid PMIPNI 7 5 3a�4-1 $S9.85 $56.15 Apr 12 - filar 13 Apr 13 - Mar 14 Norm Pharmacy Paid Ph1PM $59.85 $70.41 $56,18 Scripts per 1000 Members 9,622.0 10,925.9 11,419.6 Generic dill Rate 65.6% 69.3% 79.911/o Mail Order 8.9% 8.0% 8.7°/0 Top 10 Savin s opportunity by Potential Savin s A EAp-!nse After. Canoersion 2 Foten4ial Sdrings LIP'ITOF NEEC Uhl CR.ETOR CY WEA,LTA LE(ArP,3 A.CIPi1E'i P=111TOPP1111L E50DIIIYI C ELEB REEX LANSOP?ZOLE FFFE(OR XR Notes 1. The Potential Savings are calculated by comparing the Current Drug average cost to the average cost of the Alternate Drug. This can occasionally lead to there being a cost avoidance opportunity from switching. 2. Does not take into consideration any pharmacy rebate information. 3. Statin conversion opportunities account for differential drug potencies and dose sizes. 4. Conversion savings refers to the percent of the plan paid pharmacy expense that can potentially be saved. 9 LIP. TOR SIMVASTATIN $2.739,169 $2,145.603 78.44b $5921567 NEGUM OMEPRAZOLE $1,030,029 5=.885,548 92.9% s145,079 CRE5TOR STMVASTATIN $1,446,753 $39$,5% 69.0% $448.156 CYMBALTA VENLAFAXINE HCL 51,019,337 5813367 80.31F. $200,970 lEXAPRO CRALOPRAM HBR $811,974 36311351 7933 b 5180,623 ACIPHEX OPIEPRACOLE %559.977 $532,147 95.01.6 $27,831 PArnOPRAZOLE OMEPRAZOLE SQUIUM $532,334 $463,023 870%2 $69,291 CELEBREx NAPROXEN $463,425 W.S,063 96.0° $18,361 LANSOPRAZOLE OMEPRAMLE $381,561 5750,801 � 65.7%7. SM.760 EFFExOR XR VENLAFAXINE HCL ER $461,343 5746.281 53.4% $215,063 1. The Potential Savings are calculated by comparing the Current Drug average cost to the average cost of the Alternate Drug. This can occasionally lead to there being a cost avoidance opportunity from switching. 2. Does not take into consideration any pharmacy rebate information. 3. Statin conversion opportunities account for differential drug potencies and dose sizes. 4. Conversion savings refers to the percent of the plan paid pharmacy expense that can potentially be saved. 9 Book of Business Paid: April 2012 through March 2014 6. Top 10 Prescription Drugs Top 10 Prescriptions by Total Paid Top 10 Prescriptions by Total Paid LIPITOR Antihyperlipidemics $141 GI Acid Secretion Reducing Agents - NEXIUNI Antisecretory Agents COPAXONE Multiple Sclerosis Agents $2,962 DMARD - Anti-inflammatory Tumor Necrosis ENBREL Factor Inhibiting Agents N $3,033,835 DMARD - Anti-inflammatory Tumor Necrosis HUMIRA Factor Inhibiting Agents SINGULAIR Asthma Therapy - Leukotriene Modulators CRESTOR Antihyperlipidemics ATRIPLA Antiretroviral Combinations AVONEX Multiple Sclerosis Agents N $2,394,812 Platelet Aggregation Inhibitors & PLAVIX Combinations N $5,565,434 39,468 $141 N $4,412,931 20,476 $216 N $3,421,380 1,155 $2,962 N $3,255,471 1,938 $1,680 N $3,033,835 1,949 $1,557 N $2,683,516 23,587 $114 N $2,678,204 22,431 $119 N $2,430,550 1,606 $1,513 N $2,394,812 713 $3,359 N $2,246,600 12,899 $174 10 Book of Business Paid: April 2012 through March 2014 80,0)0 70,010 sa,0)0 d7,]J+7 31),9)] 20,0)0 17,91)0 0 `US[1F1 Top 10 Prescriptions by Number of Scripts Number of Scripts Top 10 Prescriptions by Number of Scripts HYDROCODONE- ACETAMINOPHE Analgesic Narcotic Agonist Combinations Y $345,988.49 69,873 $4.95 N AZTHRC t,iYCIN Macrolide Antibiotics and Combinations Y $659,827.61 55,246 $11.94 SIMVASTATIN Anti yperlipidemics Y 5865,555.57 50,351 $17.19 LI5INOPP,IL ACE Inhibitors and ACE Inhibitor Y $195,770.47 47,205 $4.21 Combinations AiMOXICILLIN Penicillin Antibiotics Y $114,198.94 42,783 $2.67 LIPITOR Antihyperiipidemics N $5,565,43+.45 39,468 $141.0I. LF)OTHYROME Thyroid Hormones and Combinations Y $127,709.86 39,439 $3.24 SODIUM AMLODIPINE Calcium Channel Blockers Y $398,580.33 32,483 $12.27 EESr'LATE METFORIv[IN HCL Antkyperglycemic - Insulin Response Y $225,369.54 31,036 $7.26 Enhancers HYDROCH!_OROT Diuretic - Thiazides and Related, and _ - z HIAZIDE Combinations _ .. _ Y s 5;3Z�3r r 6,4 $1.49 11 Book of Business Paid: April 2012 through March 2014 7. Disease Fingerprint Relative Risk Score 1.2) -- - - -� _- 1.15 1-10 -- 0.95 - 0.90 Apr 12 - Mar 13 keraga CanCUrr?ntRisk Scare -4-Average Prospective Risk Score i-Puerig e Cara M jmt Kisk icon ---- N3rm Apr 13 r filar 14 1.35 I.30 1.25 1.20 1-15 1.10 1.05 1.00 USI Care Cap Index Apr 12 Mar 13 Apr 13 -Mar 14 -i-Aauarage Care Gap Risk Score ---- Norm Average Care Gap Index 1,07 1.15 1.14 Average Concurrent Risk Score 1.00 1.00 1.00 Average Prospective Risk Score 1.02 1.01 1.00 Average Care Mgmt Risk Score 1.01 1.01 _ _ 1.00 Top 5 Diseases by # of Members Back Pain 15,823 - Hypertension 14,431 _ Hyperlipidemia 10,225 7 i Diabetes _ 7,291 = Neck Pain 6,865 4s.6 Top 5 Diseases by Paid PMPY 116.4 $219,489,495 s _ $8,405 100.1 $2.31,281,706 $9,120 66.4 $135,403,008 -_ $7,475 58.2 $141,411,154 $11,670 46.6 $91,864,964 = $8,238 Premature Infants 146 1.1 0.9 $14,840,073 5'_ 2,111 $93,930 Hemophilia 5 0-1 $796,117. $118,853 Gaucher's Disease 13 0.1 0.1 $1,817,983 z55,51= $46,563 Ventilator Dependence 49 _ _ _ 0.5 $5,632,625e5'K7 .$110,656 Cystic Fibrosis 18 W - 0.2 $2,336,451 $52,864 $74,133 Notes 1. Concurrent risk score measures current risk of illness burden. 2. Prospective risk score predicts risk in the next 12 months. 3. Care management risk score measures the need for care management services. 4, Average Risk Score are calculated based on individuals risk scores normalized to book of business 12 Book of Business Paid: April 2012 through March 2014 8. Wellness Opportunities 70.9',6 u o= 3 4 3.'34ti L 39.0% 2.3 -IN L 10.3y7 Notes Gaps in Preventive Care. Coverage vs, Norm I Both >=50 years 2 Both AIIIndividuals 3 dale >=50 years 4 Female >20 years 5 Female >=49 years b Both All _ 4 5 5 Screening t -� ............... 26,484 Patients without any colorectal cancer screening in the last 24 months. 121,220 Patients without long office visits in the last 12 months 11,640 hien without PSA level in the last 2 years. 32,661 Women without pap smear in the last two years. 16,242 Women without mammogram in last 12 months. 99,131 Individua#s ,,-Athout any claim in the last 12 months. ■ % with Galt ■ Norm __ 72.4°h The key to preventing potentially debilitating and catastrophic claims is timely Fallow -up with age and gender -related screenings. USI recommends the Following: • Partner with Carrier to promote education preventive screenings. • Partner with wellness vendor to promote education of preventive screenings. • Consider eventually moving to a premium contribution differential tied to wellness scorecard that includes completion of age and gender -specific screenings. 13 Book Of Business Paid: April 2012 through March 2014 a r 9. Cardiac Caps in Cardiac Care vs, Norm i l 2 3 4 5 Screening 0 Yo with Gat) ■ NOM Notes 1. individuals who have existing cardiovascular disease are twice as likely to have a repeat event as anyone else is to have a first event. 2. Keys to prevention for a repeat cardiac event include: compliance with medications, no tobacco use and lifestyle modifications, 3, USI Recommends the following: • Intent members with a history of heart disease to complete a semi-annual lipid profile, The secondary tests should be managed by a wellness vendor, with the data forwarded to the PCR and the cardiologist. • Partner with wellness vendor to promote education for cardiovascular disease. • Consider removing all co -pays for prevention -related medications. • Consider promoting tobacco cessation programs. Program components may include: tobacco affidavits, tobacco cessation programs and reimbursement for physician approved tobacco cessation medications. • Consider promoting lifestyle modification programs around nutrition and physical activity. If the company offers an on-site cafeteria or vending area, consider offering a subsidy (discount) for healthy eating options. Additionally, the company may want to support physical activity through walking challenges or gym membership subsidies, 14 Patients without kpid profile test in the last 12 1 &3th All 1,995 ?=: _ 34.2% months. 2 Both All 1,995 Patients without long office visit in the last 12 .. _ 7.6% months. Patients without diabetes screening in the last 12 3 both All 1,995 41.6% months. Patients without antihyperlipidemic drugs in the last 4 Both All 1,995 5-4 =:� ,: 25.2°!0 12 months._ 5 Both Ail 1,995 Patients without ACE or ARB in the last 12 months.e. 7 42.90/b Notes 1. individuals who have existing cardiovascular disease are twice as likely to have a repeat event as anyone else is to have a first event. 2. Keys to prevention for a repeat cardiac event include: compliance with medications, no tobacco use and lifestyle modifications, 3, USI Recommends the following: • Intent members with a history of heart disease to complete a semi-annual lipid profile, The secondary tests should be managed by a wellness vendor, with the data forwarded to the PCR and the cardiologist. • Partner with wellness vendor to promote education for cardiovascular disease. • Consider removing all co -pays for prevention -related medications. • Consider promoting tobacco cessation programs. Program components may include: tobacco affidavits, tobacco cessation programs and reimbursement for physician approved tobacco cessation medications. • Consider promoting lifestyle modification programs around nutrition and physical activity. If the company offers an on-site cafeteria or vending area, consider offering a subsidy (discount) for healthy eating options. Additionally, the company may want to support physical activity through walking challenges or gym membership subsidies, 14 Book of Business Paid April 2012 through March 2014 10. Diabetes Gaps in Diabetes Care vs. Norm 1 2 3 4 5 Notes C 2 3 4 5 Screening * ■ % with Gats * Norm SI' Desc�ptian Wdh ROM II Both All 5,406 Patients with renal failure. _ s 4.5% Eorh All 4,954 Patients without HbA1c test in the last 12 months. 1,-f_3 - 21.411b Both All 4,984 Patients without lipid profile test in the last 12 1.' 34 5=• 29.1% months, Patients without micro or microalbumin screening . Both All 4,984 ` 37.3^/9 test in the fast 12 months. Patients without long office visit in the last 12 Both All 4,984 4,; Z _ 3 q 10 ./a months. 1. Individuals who have existing diabetes need to manage their glucose in order to prevent complications such as heart disease, kidney disease, blindness and amputations. 2. Keys to managing diabetes include: compliance with medications, proper diet, exercise and no tobacco use. 3. USI Recommends the forowing: Intent members with a history of diabetes or diabetes to complete, at a minimum, semi-annual HbA1c and lipid profile tests. The secondary tests should be managed by a wellness vendor, with the data forwarded to the PCP and appropriate specialists. Partner with wellness vendor to promote on-going diabetes education. • Consider removing all co -pays for prevention -related medications and all glucose testing supplies. • Consider promoting lifestyle modification programs around nutrition and physical activity. If the company offers an on-site cafeteria or vending area, consider offering a subsidy (discount) for healthy eating options. Additionally, the company may want to support physical activity through walking challenges or gym membership subsidies. • Consider promoting tobacco cessation programs. Program components may include: tobacco affidavits, tobacco cessation programs and reimbursement for physician approved tobacco cessation medications. 15 Book of Business Paid: April 2M through March 2014 16 1 :01, f url [min] � 0 � `l r �F�• Benefits at A Glance - F4 77 -..- :,� n�+kr - . �_ fly .r• $ f� _ — _ - �a . rsY�_ t. ye- �':'�" .F�. , � A �.�� � f� bf- _ y � •::� � ���I€ _ ���'' 3:F fir' ' � � 1r•? __ "-� - - + K s USI 2 .ra nts htc -Ct Infort- do Refer to this list when you need to contact one of your benefit vendors. For general information contact Human Resources. Provider Name Provider Phone Number Provider Web Address Provider Name Provider Phone Number Provider Web Address Meritain Health (an Aetna Company) 888-257-3628 wwN.myMERITAIN.com Aetna 1-800-942-0854 w%mN.aetna.corn VISION: page 9 Provider Name Advantica Benefits Provider Phone Number 1-800-942-0854 Provider Web Address wAiw.advanticabenefits, com LIFE & ACCIDENTAL DEATH & DISMEMBERMENT 1 VOLUNTARY LIFE page 10 Provider Name Aetna Provider Phone Number 1-800-769-7159 Provider Web Address wvw.aetna.com SHORT TERM AND LONG TERM DISABILITY; page 11 Provider Name Aetna Provider Phone Number 1-800-769-7159 Provider Web Address wvw.aetna,com PAYROLL_ DEDUCTIONS: page 12 FLEXIBLE= SPENDING ACCOUNT (FSA): page 13 Provider Name Discovery Benefits Provider Phone Number 1-800-769-7159 Provider Web Address wvivAiscoverybenefits.com 401(K) RETIREMENT BENEFITS: page 14 Provider Name Portico Benefit Services Provider Phone Number 1-800-352-2876 Provider Web Address wwN.Porticobenefits.org Provider Name Provider Phone Number Provider Web Address Legalshield 1-800-654-7757 w,mv.legalshield_.com/info/standardpIan 15 USI BENEFIT RESOURCE CENTER (BRC); page 16 Provider Name Benefit Resource Center Provider Phone Number 855 -USI -6699 Provider Web Address BRCEast usi.biz DISCLOSURE NOTICES — (If you (and/or your dependents) have Medicare or will become eligible for Medicare in the next 12 months, a Federal law gives you more choices about your prescription drug coverage. Please see page 21 for more details) page 17 - 21 -Ben ]nf ormation Your Benefits Plan ABC Client offers a variety of benefits allowing you the opportunity to customize a benefits package that meets your personal needs. In the following pages, you'll learn more about the benefits offered You'll also see how choosing the right combination of benefits can help protect you and your family's health and finances — and your family's future. Eligibility All Regular full-time employees are eligible to join the. Benefits Plan on the 1st of the month following 60 days of employment. "Regular Full -Time Employees" must be regularly scheduled and working at least 30 hours per week. You may also enroll your dependents in the Benefits Plan when you enroll. HOW TO ENROLL, ► Benefits enrollment is through the ADP website. Please make sure to have all dependent and beneficiary information before you go to enroll. wvivi wor'Kforcenow.ado.com 4 Eligible dependents include: S" > Your spouse, unless you are legally separated or divorced; fvledical Insurance You and the Company share the > Your unmarried natural children, step -children living with you, cost legally adopted children and any other children for whom you You and the Company share the have legal guardianship, who are: Dental Insurance cost ► Under 26 years of age for medical; Vision You pay 100% of the cost Basic Life and Accidental Death & Company pays 100% of the When Can You Enroll? Dismemberment Insurance employee cost You may sign up for Benefits at any of the following times: Voluntary Life Insurance You pay 100% of the cost Up until your effective date Short Term Disability You pay 100% of the cost r During the annual open enrollment period; Company pays 100% of the Long Term Disability employee cost Within 30 days of a qualified family -status change, If you do not enroll at one of the above times, you must wait for the next annual open enrollment period. Please enroll for benefits at your earliest convenience to allow time for your ID cards to arrive. HOW TO ENROLL, ► Benefits enrollment is through the ADP website. Please make sure to have all dependent and beneficiary information before you go to enroll. wvivi wor'Kforcenow.ado.com 4 Benet► I. -f rmatio Choosing Your Benefits You must actively choose any benefit that you pay for, or share in the cost with ABC Client. Your part of the cost is automatically taken out of your paycheck. There are two ways that the money can be taken out: > Before your taxes are calculated - medical, dental, and vision > After your taxes are calculated -- voluntary life and accidental death & dismemberment Making Changes Generally, you can only change your benefit choices during the annual benefits enrollment period. However, you may be able to change your benefit choices at anytime if you have a change in status including: > Your marriage > Your divorce or legal separation > Birth or adoption of an eligible child > Death of your spouse or covered child > Change in your spouse's work status that affects his or her benefits > Change in your work status that affects your benefits > Change in residence or work site that affects your eligibility for coverage > Change in your child's eligibility for benefits > Receiving Qualified Medicai Child Support Order (QMCSO) If you do not notify Human Resources within 30 days of a family status change, you will have to wait until the next annual enrollment period to make benefit changes unless you have another family status change. When Coverage Ends Coverage will stop on the last day of the month in which employment with the company ends. Why do I pay for benefits with i before -tax money? There is a definite advantage to paying for some benefits with before tax money, Taking the money out before your taxes are calculated lowers the amount of your pay that is taxable. Therefore, you pay less in taxes. K y were Enr.s s C0BRA-A federal =a.a; Tma4 a low's wc,,k s and G p, r. ate .n ose their medical. dental. cr v scan coverage to cont rue any of McSe coverages fcr a snecif ed lenge f time by eiectng and paying fvr jDont.nuaLcs benefits. . Coinsurance -.The perrcri:age cf the mediae or den-tal charge that you pay after the dedu-cfiVe has been m Copayment - A fiat fee that you pay for medicals tvices r -arc ?ss of the actual amount charged by your doctor or anc'ier provider. This genera'y applieste Phys&c ons' o e s:ts and prescription Deduct-,ble - The ar�ou mt you PQ-, Iowa and dental § expenses eaiti calendar year before the pLan begins paying bore- u I Out of Pocket Maximum - The maximurn. ar ounty`ot�vri11 pay in coinsurance during the calendar -year ` r n _ DID YOU 'KNOWz � ?A? Ip K y were Enr.s s C0BRA-A federal =a.a; Tma4 a low's wc,,k s and G p, r. ate .n ose their medical. dental. cr v scan coverage to cont rue any of McSe coverages fcr a snecif ed lenge f time by eiectng and paying fvr jDont.nuaLcs benefits. . Coinsurance -.The perrcri:age cf the mediae or den-tal charge that you pay after the dedu-cfiVe has been m Copayment - A fiat fee that you pay for medicals tvices r -arc ?ss of the actual amount charged by your doctor or anc'ier provider. This genera'y applieste Phys&c ons' o e s:ts and prescription Deduct-,ble - The ar�ou mt you PQ-, Iowa and dental § expenses eaiti calendar year before the pLan begins paying bore- u I Out of Pocket Maximum - The maximurn. ar ounty`ot�vri11 pay in coinsurance during the calendar -year ` r 4 Getting Health Member Resources 24-hour access to tools you can really use at www.myMERITAIN,com. The Meritain Health member website, www.myMERITAIN,com, is designed to provide a secure, user and family -friendly, one -stop - shop for you to access the account and claims information you can use to manage your health and wellness. We're committed to providing you with all the basics you expect, along with added features to support a healthy lifestyle, assist you with medical decisions, and give insight into the maximization of your healthcare dollars. Go to myMERITAIN.com to log in to our secure site. New users can create an account by following the easy instructions. You'll need your health plan ID Card the first time. Return users, just sign in using your username and password. The first time you access the site, you will be prompted to re -register with a new username and password for enhanced security. Then take advantage of the smart, safe resources your health plan offers, right at your fingertips. Privacy Regulations. Members over 18 years of age have partially protected information according to HIPAA Privacy Regulations. Members over 18 having difficulty creating an account with their SSN, please contact Meritain Health Customer Service at: 1.800.925.2272. At myMER1TAIN.com you can: Look up health and wellness topics in our online medical library r Find the status of a claim. Find network doctors, clinics and hospitals. > Look up prescription and over-the-counter drug information. Order ID Cards. IME RITAIN HEALTH Prescription Drug Benefits at a Reduced Cost— Did you know you can obtain prescription drugs at local retailers at a reduced cost and sometimes even free? Publix offers a variety of generic Oral Antibiotic medications to you absolutely free. Bring in your prescription for an approved medication and receive it FREE, up to a 14 -day supply. Publix recently approved a medication for diabetes. CVS, Target, Walgreens & Wal-Mart also offer over 40C generic prescriptions for $4 and a 90 day supply for approx. $10 . Remember DO NOT show your Meritain ID card to receive these benefits, or you will be charged your Meritain drug rate. In addition to the network of physicians, hospitals, emergency rooms, and urgent care clinics, you also have the option of going to the ccnvenient care clinics located within some grocery and drug stores, for minor illness such as ear aches, colds, flu and so on, By selecting one of these providers, you pay only the regular office visit copay; a significant savings over the emergency room and urgent care copayments. Please visit the various websites for locations, hours of operations and scope of services CVS Minute Clinic: www.cvs.com Publix Little Clinic: wwvt.Pubiix.ccm Walgreen's Take Care Clinic: %wPrv.wal reens.com Frequently Asked Questions About Your Medical Pian Q. What should I do If I have a problem getting a claim paid? A. Start by contacting the carriers member services number to determine the nature of the problem. If the issue is the way the doctor or other service provider has billed the claim, then contact your doctor or Claims Advocate at USI. If the insurance company has an eligibility issue, contact Human Resources for assistance. Q. What is the difference 6tween brand formulary, brand non -formulary, and generic drugs? 1! A. Brand formulary is a prescription drug th . is listed on the formulary (i.e., a list of prescription drugs covered by the" plarrjr y se - re protected by a patent issued to the original innovator or r liwe�� grand non-formula)avalla e patent protected but are not listed. A generic equrvale, drug can becomwhen the patent protection runs out, and is deemed eqL n therapeutic pa brand name originals. Q. When should 1 go the Urgent Care vs. Emergency Roam? For non -life threatening injury/illness after normal doctor's office hours. +J ABC Client offers 3 medical plans from Mleritain Health, a Bronze plan, a Gold pian, and a Platinum plan. All plans have In -Network benefits only. To find participating providers go to whw mv5 ERITANa -_cm and click on "benefits, View Plan Information', then "PPO Links' and click on 'Aetna Choice POS II(Open Access)". On the Aetna Doc Find Home Page you can select from the categories on the bottom (i e. Provider Types, conditions, or procedures) or at the top box you can type and search by name, specialty, or Zip code, Click on the Search button, and then select the plan. The chart below provides a brief comparison of the plans. This chart is intended only to highlight the benefits available and should nol be relied upon to fully determine your coverage. If the below illustration of benefits conflicts in any way with the Summary Plan Description (SPD), the SPD shall prevail. Itis recommended that you revievv your exact description of services and supplies that are covered, those which are excluded or limited, and other terms and conditions of coverage. - . Krone Gold platinum IN -NETWORK: Plan Year/ Contract Year Basis Calendar Year Calendar Year Calendar Year Deductible (Individual 1 Family) ............................... 55.0001 `510,000 ...................... ....... .......................... $2,000 d $6,000 ............................................................. ................... I........ $1,0001$3,000 Maximum Out-of-Pccket (Individual I Family) $3.3501$12,700 $5,0001510,000 $4,0001$8,000 Cut -of Pocket Max Includes ............................... Annual Deductible, copayments and ..................................... Annual Deductible, copayments and ...... I................. Annual Deductible, copayments an Coinsurance {irlcfudes RY} Coinsurance (includes Rx) Coinsurance, (includes Rx) Lifetime NI ajor Medical Maximu m Unlimited .............80o`A............. Unlimited Unlimited Coinsurance ............$�.�o............. .....,.,.,....*............ ROUTINE PREVENTATIVE SERVICES: Wellness Immunizations Covered 10090 Covered 100% Covered 100116 Mammog raph ylColonoscopy CO -PAYS: PCP Required 1 Open Access Open Access ....................... Open Access ............................................................. Open Access Office Visits/Consultations for Illnessllnjury $30 copay $30 copay $25 copay Specialist Visits $o0 copay ......•................. $50 copay ...............•............................................. $45 copay Inpatient Hospital Covered 80°0 after Deductible Covered 80°0 after Deductible Covered 80°0 after Deductible Outpatient Surgery Covered 80% after Deductible Covered 80% after Deductible Covered 80% after Deductible Emergency Room $400 copay .,.,...,.•$75 $300 copay .......... $250 copay Urgent Care copay.,.,...,.. $50 copay $45.copa'.,....,,. OUTPATIENT DIAGNOSTIC SERVICES: Lab Services Covered 100% Covered 100% Covered 100% X -Ray Services Covered 100% Covered 100% Covered 100% Complex Diagnostic ........................ Covered 80% after Deductible ............ ...................... Covered 80% after Deductible ........... I............... Covered 100% after $250 Copay PRESCRIPTIONS: ........ ............... ....... ..... , . Retail (30 day supply) 515 I $35 ! $75 ........................................................... $15 ! 5351$75 $15 l $351575 Mail Order (90 day supply) 2x Retail Copay 2x Relail Copay 2x Relail Copay OUT -OF -NETWORK: Deductible (Individual 1 Family) Maximum Out -of -Pocket (Individual 1 Family) No Coverage No Coverage No Coverage Lifetime Major Medical Maximum Coinsurance ABC Client offers two dental plans through Aetna. Both plans allow you to use in -network or out -of -network benefits. If out -of -network dentists are used, you will be responsible for paying the difference between Aetna's allowed amount and what the dentist may charge. z_ .+�K --If F �f WI[•- In -Network Out -of Network In -Network Out -of Network Deductible Individual $50 $50 $50 $50 Family $150 $150 $150 $150 Annual Maximum Individuai $500 $1,250 Diagnostic & Preventative Deductible Waived Deductible Waived Exams Cleanings 100%° 100 /o Fluoride X -Rays (BiteMnas Only) Regular Restorative Senvices Deductible Applies Deductible Applies Amalgam Fillings Sealants 80%80% Endodontics Periodontics Major Services Deductible Applies Crowns Bridges Not Covered 50% Dentures Orthodontics Appliances and Related Services 50% Lifetime Maximum Not Covered I $1,000 Aqe Limitation Chiidren Only ision Ins'urance. ABC Client offers a vision pian through Advantica. This vision pian provides coverage both in and out of network. The chart below provides a brief overview of the plan. 9 �Asfvant9ca �-- __ r vision Plan h1.DVANTICA gee. smiro. Live.' In -Network Out -of -Network Lenses Single Vision $15 copay $20 allowance Lined Bifocal $15 copay $40 allowance Lined Trifocal $15 copay $60 allowance Contact Lenses Nledically Necessary $250 aMwance Elective $125 allowance $60 allowance Up to $125 after $15 Copay Frames $40 allowance (copay waived if included with lenses) Exams $10 copay $40 allowance Frequency Exam Once every 12 months Lenses or contact lenses Once every 12 months Frame Once every 12 months 9 rife --arid ns ar Basic Life Insurance ABC Client provides life insurance to all active full time employees. The chart below provides an overview of the plan. - --Basic Life insurance =._ _ Aetna Employee Definition Class 1 All Full Time Emplcyees Benefit Outline ................ .........................._.............................................................................. _ ........................._. Class..1. 1 x earnings to maximum of $50,000 ........................... ......... ...... Guarantee Issue... ,.,................... ,.......... ...,...,........... ........ .................... All Amounts ..... ............. .... ....,........... ............... ..,.1.1 .............. 1,,.1...... Age Reduction Schedule 35% at age 65 501° at ace 70 .................................................................................... Waiver of Premium ............................................................................... Prior to are 601 total) disabled Ipremium waived until SSNRA AD&D Included - Equal to basic life Voluntary Life Insurance ABC Client provides all active employees working 30 or more hours per week with the option to purchase voluntary life coverage. The chart below provides an overview of the plan Voluntary Life frtsurance -Aetna Employee Life Increments of $10,000 up to $500,000. ................................. ............. ...... ........ .................. ................... .................... .......... ....................... .............. ................. .....,............................ ................ 1..................... 111...... Guarantee Issue $130,000 .........................................................,.,............................................. ............ Increments of $5,,000.0 to $250,,00.......,GI — $ 0,001.0.................................... ...........................5pouse Life Inc... ... p .. 0. — 3 Dependent Life $5,000 or $10,000 ................................................................_............................ ............... ........................................ ................ ....,............. ............................-........................ ........................ AD&D Not included ...............................-...........................—..........................................................................................,.............................................,....,............................_... Benefit Reduction Schedule 35% at age 6550%ata e 70 ............................................................_............................................0.......... 9...................................................................................... Waiver of Premium Benefit Prior to age 601 totally disabled !premium waived until SSNRA ..................................................... Convertible ............... ......... ....... - Included Note: Please designate your Beneficiary in ADP. The only time you can enroll in guaranteed issue voluntary life insurance, is at the date you first become eligible to enroll. If you do not enroll then and later decide that you would like to enroll, you will be required to complete a medical questionnaire and go through medical underwriting. The insurance carrier reserves the right to decline coverage based on medical information obtained on the medical questionnaire. 10 - -Disabil.ity Insurance.,n;- f , ''. Disability Income Benefits Short -Term Disability provides you with a source of income in the event you become disabled and cannot work, from a non work-related injury or sickness. You are not eligible to receive short-term disability benefits if you are receiving workers' compensation benefits. ABC Client provides all employees the option to purchase Short Term Disability coverage through a group plan. When you enroll in short term disability you pay the tuJ cost through payroll deductions,. Voluntary Short Teat Disability Empioyee Definition All eligible employees Benefit Percentage 60% ........................................................ iax,mum Weeki...Benefi.............................,...................................................................................................................... .... ...... ............................ .,.......,....,..................... ,.........X.............t................................... ............. ,................. .... 750......... ......................... .....,............. ............. Elimination Period 14 days for both Accident & Sickness ....................................................... Duration of Benefit 26 weeks ..................................................................................................................................................................................................................................................... Pre-Existina Conditions 3112 Short Term Disability Premium Rate (Rate is per $10 of Insured Payroll) $.51 per $10 of Weekly Insured Benefit Example: $30,000152 = $577 $577 x 60%=$346 $3461$10 = 34,6 34.6 x $.51 = $17.65 Monthly Premium ABC Client provides all active employees working 30 or more hours per week Long Term Disability coverage through a group plan. The chart below provides an overview of the plan. Lcng Term Disability Employee Definition _%._ -: All eligible full-time employees �4i .................... Payroll Monthly Maximum $5,000 ...................................................... ......... ......... .... ........... ............................. .......................................... ................. ...,................... .............................. .,...... Elimination Period 180 days ...............................................................,..................,..,..,..,,...........,.,,..,.,,....,,.,.......,....,,,...,...,............,,......,,..............,....................,............... Own Occupation 24 months ...................................................................................................................................................................................................................................... Definition of Disability Unable to perform at least one material duty of occupation and unable to ............................................................................................................. earn up to 99 /m of pre -disability earnings Benefit Duration SSNRA ................... .............. .................hrfental Illness LimitaLon....................,..,............................... ........,.....,.,...............,.......... 24 months 11 The Charts below show the bi-weekly payroll deduction amounts for each of the benefits offered. Medical PLATINUM GOLD) BRONZE Ded tions,�t�� $128.20 $85.00 $35.00 Employee + Spouse $305.12 $200.00 $110.00 Employee + Child(ren) $235.88 $155.00 The Charts below show the bi-weekly payroll deduction amounts for each of the benefits offered. Medical Dental PLATINUM GOLD) BRONZE Employee Only $128.20 $85.00 $35.00 Employee + Spouse $305.12 $200.00 $110.00 Employee + Child(ren) $235.88 $155.00 $85.00 Family $399.98 $260.00 $145.00 Dental Vision CORE BUYUP:Q Employee Only $4.55 $7.45 Employee + Family $11.60 $18.50 Vision Voluntary Life Insurance Rates vary based on age, lobaccolnon-tobacco use and amount of coverage. Please see the online enrollment form for Bi -Weekly payroll deduction amounts - 1Z Employee Only $3.38 Employee + Spouse $6.76 Employee + Child(ren) $7.16 Family $11.28 Voluntary Life Insurance Rates vary based on age, lobaccolnon-tobacco use and amount of coverage. Please see the online enrollment form for Bi -Weekly payroll deduction amounts - 1Z „lexible Spending n FSA f iscovery Benefits ABC Client offers both a Health Care and Dependent Care Flexible Spending Account to all active employees working 30 or more hours per week. You may elect to have both types of accounts and contribute separate pretax dollar amounts to each. These accounts are kept completely separate; for instance, you could not be reimbursed for dependent care expenses from the health care account. Health Care Accounts A health care FSA can reimburse you for eligible medical, dental and vision expenses, up to the amount you elect to contribute for the plan year. Typical Eligible Expenses The following is a partial list of typical expanses eligible for health care FSA reimbursement. A complete list can be found at ww`N irs ov. -Deductible for group health and/or dental plan -Copayments for group health and/or dental plan -Many charges that are not covered by health/dental plan are also eligible for FSA reimbursement, such as: Eye exams, eyeglasses, contact lenses; }searing exams, hearing aids, Physical exams and mammograms in excess of one per year; Medical expenses of a dependent not covered by a health plan Orthodontia Vision corrective surgery (such as Lasik) Smoking cessation programs and related prescription drugs Your Contribution The IRS limits the amount you may contribute to $2,550 per plan year (July 13t— June 300'). This amount will increase in future years to reflect cost -of -living increases. You may rollover up to $500 from your Health FSA Account to the following plan year. Any amount over $500 remaining in your account as of 6130116 will be forfeited. Dependent Care Accounts A Dependent Care FSA rs a great way to pay dependent care expenses and lower your taxable income. Dependent Care Spending Accounts are pre-tax, payroll deduction accounts established to reimburse employees for out-of-pocket dependent care expenses. To be considered eligible, dependent care expenses must be incurred by an employee who must arrange for care of an eligible dependent in order to work. For married employees, dependent care must be necessary so that both spouses can work. Qualifi ing Dependent A qualifying dependent is: •A tax dependentof yours who is under age 13, or -Any other tax dependent of yours, such as an elderly parent, who is physically or mentally incapable of self-care and has the same principal residence as you -A spouse who is physically or mentally incapable of self-care and has the same principal residence as you Your Contribution The Internal Revenue service limits the amount you can contribute to a dependent care FSA, up to: •$5,000 per year, if you are married and filing a joint return, or if you are a single parent •$2,500 per year, if married and fling separate federal tax returns Estimate what your daycare expenses will be for the year, and allocate enough from your pay, up to the allowable contribution, to cover those expenses, Just remember this: Dependent Care FSA dollars are "use -it -or -lose -it” funds. Dependent Care account balances cannot be carried over from year to year. If you have unused funds at the end of the plan year, or at the end of any applicable grace period, those funds will be forfeited. That's an IRS requirement. So estimate the amount you want to contribute to your Dependent Care FSA carefully. 13 01 ._(-k) Refirement, S.aving Plan To help you prepare for the future, ABC Client sponsors a 401(k) Retirement Savings Plan through Portico. Eligibility All employees age 21 and over are eligible to participate in the 401(k) Retirement Savings Plan at employment. Contributions Eligible employees may contribute up to the IRS maximum allowed for 2016 of $18,000. Employees age 50 and older may contribute an additional catch up contribution of $6,000 for a total of $24,000. You will always be 100% vested in your contributions to the plan, What is the Employer matching contribution and how is it allocated? Matching Contribution. In 2016 the company match is 3% if you have 3 or more years of service and are contributing. The Plan will not match any catch-up deferrals. Where do I find additional information? You can find out additional information and enroll on line, through the ADP website, Quicklinkslretirement. 14 Affordable, high-powered legal protectionfor you and your family, Why Would You Ever Need ars Attorney? LegalShield attorneys can help with all sorts of issues like traffic tickets, wills, financial issues, IRS Audits and so mach more. From the trivial to the traumatic and everything in between, our attorneys will always be there to offer advice or assistance. Why LegalShield? LegalShield has over 40 years of experience providing legal protection to more than 1.4 million members. And our paid -in -advance partner law firms are ready to serve, not bill, with access to over 1,100 dedicated attorneys with fig years average tenure. When necessary, you'll also get access to over 5,000 additional attorneys, all ready to offer advice or assistance LegalShleld Beneflts (Covers Nlember, Spouse. Dependent Children Un to 21 Living at Home, College Students Up to 23) • Unlimited Personal or Business Advice • Letters and Phone Calls Written on Your Behalf • Documents and Contract Review (Up to 10 Pages) • Comprehensive Will Preparation, Living Will and Health Care Power of Attorney • Representation for Minor Moving Traffic Violations • Representation for Major Traffic Violations such as Vehicular Homicide, Manslaughter, Negligent Homicide (not drug or alcohol related) • Up to 2.5 Hrs of help with Driver's License Assistance, Personal Injury or Property Damage • Mortgage Document Assistance • Up to 300 Hours of Protection for Civil Lawsuits or Job Related Criminal Charges. • 50 Hours of Representation in an IRS Audit. • 24 Hour / 7 Day a lvVeek Access for emergencies • Receive a 25% Discount on any services not otherwise covered by your plan benefits Identity Theft Platz (Covers Member & Spouse) • Credit Monitoring with Activity Alerts • Credit Report with Score and Analysis' • Fraud Alerts --` • Credit Report Consultation =- • Consultation to Help Prevent Identity Theft a • COMPREHENSIVE RESTORATION SERVICES e • By Kroll Advisory Solutions Add Children Under 18 with Safeguards for Minors Option far $1 additional per month. LegalShield Family Plan LegalShield with ID Theft Plan Legalshield with ID Family ID Theft Plan (Member & Spouse) ID Theft Single $15.95 Per Month ($7.981bi•weekly) $24.94 Per Month ($12.45 biweekly $30.90 Per Month ($15.45 biweekly) $18.95 Per Month ($9.48/bi-weekly) $ 8.95 Per Month ($4.48/bi-weekly 15 [B`e"n'efif,.--Re-source, of r Services :. R M. Benefit Resource Center 8$CFas,�usi.'�iz N%relay - Friday SM AM • S.CO PMI EST Toll-free benefit call center available to: • Answer questions regarding your health and other benefit plans • Network: Is my doctor on the pian? Plan Coverage: Does my plan cover this? Billing: 1 rece#ved a bili from my provider, do I need to pay? • Once you've tried, but need help understanding how a carrier paid your claim • Specialist support to help you with complex claims issues • Medical appeals information and support • Life event (family status) rules — what changes can I make? • Life Insurance Beneficiary form requirements How do I complete an Evidence of Insurability form and where do I send it? • What happens if I have coverage under two different medica plans? t ------ - --------------------------- ------ 1 E I I 1 6 1 1 I ` F Benefit Resource Center 855 -USI -6699 (Toil -Free) BRCEast@usi.biz i 1 Monday - Friday 8:00 AM - 5:00 PM EST 16 R.equired'Annual Employee ais los re- -Notices eei r: =- r The Newborns' and Mothers' Health Protection Act of 1996 The Newborns' and iblcthers Health Protection Act of 1995 prohibits group and individual health insurance policies from restricting benefits for any hospital length of stay for the mother or newborn child in connection with childbirth; (1) following a normal vaginal delivery, to less than 48 hours, and (2) following a cesarean section, to less then 96 hours- Health insurance policies may not require that a provider obtain authorization from the health insurance plan or the issuer for prescribing any such length of stay Regardless of these standards an attending healthcare provider may, in consultation with the mother, discharge the mother or newborn child prior to the expiration of such minimum length of stay. Further, a health insurer or health main Iona nce organiza Von may not; T. Deny to the mother or newborn child eligibility, or continued eligibility. to enroll or to renew coverage under the terms of the plan, solely to avoid providing such length of stay coverage; 2. Provide monetary payments or rebates to mothers to encourage such mothers to accept less than the minimum coverage; 3, Provide monetary incentives to an attending medical provider to induce such provider to provide care inconsistent with such length of stay coverage; 4. Require a mother to give birth in a hospital: or 5. Restrict benefits for any portion of a period within a hospital length of slay described in this notice. These benefits are subject to the plan's regular deductible and co -pay. For further details, refer to your Summary Plan Description. Keep this notice for your records and call Human Resources for more information. Michelle's Law The law allcws for continued coverage for dependent children who are covered under your group health plan as a student if they lose their student status because of a medically necessary leave of absence from school. This law applies to medically necessary leaves of absence that begin on or after January 1, 2914 If your child is no longer a student, as defined in your Certificate of Coverage, because he or she is on a medically necessary leave of absence, your child may continue to be covered under the pian for up to one year from the beginning of the leave of absence. This continued coverage applies if your child was (1) covered under the plan and (2) enrolled as at student at a post -secondary educational institution (includes colleges, universities, some Irade schools and certain other post -secondary institutions). Your employerwill require a written certification from the child's physician that states that the child is suffering from a serious illness or injury and that the leave of absence is medically necessary. Women's Health and Cancer Rights Act of 1998 The Women's Health and Cancer Rights Act of 1998 requires ABC Client to no0y you, as a participant or beneficiary of fhe ABC Client Health and Welfare Plan, of your rights related to benefits provided through the plan in connection with a mastectomy. You, as a participant or beneficiary, have rights to coverage to be provided in a manner determined in consultation with your attending physician for: 1. All stages of reconstruction of the breast on which the mastectomy was performed; 2. Surgery and reconstruction of the other breast to produce a symmetrical appearance; and 3. Prostheses and treatment of physical compilations of the mastectomy, including lymphedema. These benefits are subject to the plan's regular deductible and co -pay. For further details, refer to your Summary Plan Description. Keep this notice for your records and call Human Resources for more information. Patient Protection: If the Group Health 'Plan generally requires the designation of a primary care provider who participates in the network and who is available to accept you or your family members. For children, your may designate a pediatrician as the primary care provider. You do not need prior authorization from the carrier or from any other person (including a primary care provider) in order to obtain access to obstetrical or gynecological care from a health care professional in the network who specializes in obstetrics or gynecology. The health care professionals. however. may be required to comply with certain procedures, Including obtaining prior authorization for certain services, following a pre -approved treatment plan or procedures for making referrals. For a list of participating health care professionals who specialize in obstetrics or gynecology, or for information on how to select a primary care provider, and for a list of the participating primary care providers, contact the Plan Administrator or refer to the carrier website. It is your responsibility to ensure that the information provided on your application is accurate and complete. Any omissions or incorrect statements made by you on your application may invalidate your coverage. The carrier has the right to rescind coverage on the basis of fraud or misrepresentation, 17 Required { Notices �. 1-- An,nual. E 1 Continued Statement of ERISA Rights Asa participant in the Plan you are entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974 ("ERISA"), ERfSA provldes that all participants shall be entitled to Receive Information about Your Pfan and Benefits • Examine, without charge, at the Plan Administrator's office and at other specified locations, the Plan and Plan documents. including the insurance contract and copies of all documents filed by the Ptan with the U.S. Department of Labor, if any, such as annual reports and Plan descrlptions. • Obtain copies of the Plan documents and other Plan information upon written request to the Plan Adm!nistralcr. The Plan Administrator may make a reasonable charge for the copies. • Receive a summary of the Plan's annual financial repot, if required to be furnished under ERISA. The Plan Administrator is required by law to furnish each participant with a copy of this summary annual report, if any. Continue Group Health Plan Coverage If applicable, you may continue heallh care coverage for yourself, spouse or dependents if there is a loss of coverage under the plan as a result of a qualifying event You and your dependents may have to pay for such coverage. Review the summary plan description and the documents governing the Plan for the rules on COBRA continuation of coverage rights. Prudent Actions by Plan Fiduciaries In addition to creating rights for partiapants, ERISA imposes duties upon the people who are responsible for operation of the Plan. These people, called 'fiduciaries" of the Plan, have a duty to operate the Plan prudently and in the interest of you and other Plan participants. No one, including the Company or any other person, may fire you or discriminate against you in any way to prevent you from obtaining welfare benefits or exercising your rights under ERISA. Enforce your Rights if your claim for a welfare benefit is denied in whole or in part, you must receive a written explanatlon of the reason for the denial. You have a right to have the Plan revlew and reconsider your claim, Under ERISA, there ars steps you can take to enforce these rights. For instance, if you request materials from the Plan Administrator and do not receive them within 30 days, you may file suit in federal court. In such a case, the court may require the P€an Administrator to provide the materials and pay you up to $11 G a day until you receive the materials, unless the materials were not sent due to reasons beyond the control of the Plan Administrator. If you have a claim for benefits which is denied or ignored, in whole or in part, and you have exhausted the available claims procedures under the Plan, you may fife suit in a state or federal court. If it should happen that Plan fiduciaries misuse the Plan's money. or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or you may Re suit in a federal court. The court will decide who should pay court costs and !egat fees. if you are successful, the court may order the person you have sued to pay these costs and fees. If you lose (for example, if the court finds your claim is frivolous) the court may order you to pay these costs and fees. Assistance with your Questions If you have any questions about your Plan, this statement, or your rights under ERISA, you should contact the nearest office of the Employee Benefits and Security Administration, U.S. Department of Labor, listed in your telephone director, or the Division of Technical Assistance and Inquiries, Employee Benefits and Security Administration, U.S. Department of Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210. Sectio, 111 Effective January 1, 2009 group health plans are required by Federal government to comply with Sectlor 11 t of the Niedlcare, Medicaid, and SCHIP Extensions of 2007's new Medicare Secondarl Payer regulations. The mandate is designed to assist in establishing financial liability of claims assignments. In otherwords, it will help establish who pays first. The mandate requires group health plans to collect additional information, more specifically Social Security numbers for all enrollees, including dependents 6 months of age or older. Please be prepared to provide this information on your benefits enrollment form when enrolling into benefits. -77 se uirend Annudl Employee. Dilesure } ofii s Continue HIPAA Privacy Policy for Fully -Insured Plans with no Access to PHI The group health plan is a fully -insured group health plan sponsored by the 'Plan Sponsor'. The group health plan and the plan sponsor intend to comply with the requirements of 45 C.F.R. §164.530 (k) so that the group health plan is not subject to most of HIPAA's privacy requirements. No access to protected health information (PHI) except for summary health information for limited purpose and enrollmentl dis-enrollment information. Neither the group health pian nor the pian sponsor (or any member of the plan spcnsors workforce) shall create or receive protected health information (PH 1) as defined in 45 C.F.R. §160.103 except for (1) summary health information for purpose of (a) obtaining premium bids or (b) modifying, amending, or terminating the group health plan, and (2) enrollment and dis-enrollment information. 1[. Insurer for group health pian will provide privacy notice The insurer for the group health plan will provide the group health plan's notice of privacy practices and grill satisfy the other requirements underHIPAA related to the group health plan's PHi. The notice of privacy practices will notify participants of She potential disclosure of summary health information and enrollment? ifs -enrollment information to the group health plan and the plan sponsor. Ill. No intimidating or retaliatory acts The group health plan shall not intimidate, threaten, coerce, discriminate against, or lake other retaliatory action against individuals for exercising their rights , filing a complaint, participating in an investigation, or opposing any improper practice under IHIPAAA. IV, No Waiver The group health plan shall not require an individual to waive his or her privacy rights under HIPAA as a condition of treatment, payment, enrollment or eligibility. If such an action should occur by one of the plan sponsors employees, the action shall not be alldbuied to the group health plan. Notice of Special Enrollment Rights If you are declining enrollment for yourself or your dependents (including your spouse) because of other health insurance or group health plan coverage, you may be able to enroli yourself and your dependents in this plan if you or your dependents lose eligibility for that other coverage (or if the employer stops contributing toward your or your dependents' other coverage). However, you must request enrollment within 30 days after your or your dependents' other coverage ends (or after the employer stops contributing toward the other coverage). In addition, if you have a new dependent as a result of marriage, birth, adoption, or placement for adoption, you may be able to enroll yourself and your dependents. However, you must request enrollment within 30 days after the marriage, birth, adoption, or placement for adoption. Further, if you decline enrollment for yourself or eligible dependents (including your spouse) while Medicaid coverage or coverage under a State CHIP program is in effect, you may be able to enroll yourself and your dependents in this plan if: coverage is lost under hledicald or a State CHIP program; or you or your dependents become eligible for a premium assistance subsidy from the State. In either case, you must request enrollmentwith in 30 days from the loss of coverage or the date you become eligible for premium assistance. To request special enrollment or obtain more infcrmatlon, contact person listed at the end of this summary. Premium Assistance under Medicaid and the Children's Health Insurance Program (CHIP) If you or your children are eligible for Medicaid or CHIP and you're eligible for health coverage from your employer, your state may have a premium assistance program that can help pay for coverage, using funds from their Medicaid or CHIP programs. If you or your children aren't eligible for Nledicaid or CHIP, you won't be eligible for these premium assistance programs but you may be able to buy individual insurance coverage through the Health Insurance Marketplace. For more information, visit w %niii.heaithcare.00v. If you or your dependents are already enrolled in Nledleaid or CHIP and you live in a State listed below, contact your State Medicaid or CHW office to find out if premium assistance is available. If you or your dependents are NOT currently enrolled in Medicaid or CHIP, and you think you or any of your dependents might be eligible for eitherof these programs, contact your State Medicaid or CHIP office or dial 1 -877 -KIDS NOW or www.insurekidsnow.gov to rind out how to apply. If you qualify, ask yourstate if it has a program that might help you pay the premiums for an employer-sponsored plan. if you or your dependents are eligible for premium assistance under Medicaid or CHIP, as well as eligible under your employer plan, your employer must allow you to enroll in your employer plan if you aren't already enrolled. This is called a "special enrolimenr opporlunity, and you must request coverage within 60 days of being determined eligible for premium assistance, If you have questions about enrolling in your employer plan, contact the Department of Labor at r+ww askebsa.dcl.00v or call 1-866A44- EBSA (3272), 19 -equired Annual Employee -Disclosure. t If you live in one of the following states, you may be eligible for assistance paying your employer health plan premiums. The following list of states is current as of January 31, 2016. Contact your State for more information on eligibility -- ALABAMA — Medicaid GEORGIA — Medicaid Website: w mv.mya!hipo.corn Website: htt :. dcr_,ecr Ta. ov: Phone: 1-855-692-5447 - Click on Programs, then Medicaid, then Health Insurance Premium Payment (HIPP) Phone: 1-800-869-1150 ALASKA — Medicaid INDIANA — Medicaid Website http'y ealtn.hss.siate ak.usrdoa prcgrams;medicaodu Website: http:llwww.in.govlfssa Phone (Outside of Anchorage): 1-888-318-8890 Phone: 1-800-889-9949 Phone (Anchorage): 907-269-6529 COLORADO —Medicaid IOWA — Medicaid Medicaid Website: hrr::,,' w.colorado.gowhepf Website: wwwAhs.state.ia-usih ppi Medicaid Customer Contact Center. 1-800-221-3943 Phone: 1-888-346-9562 FLORIDA — Medicaid KANSAS — Medicaid Website: hrps:_:gr.vw.9medica dtcirecov=nr. ori; Website: http:11wmv.kdhek3.govyhcf,' Phone: 1-877-357-3268 Phone: 1-800-792-4884 KENTUCKY — Medicaid NEW HAMPSHIRE — Medicaid Website: httpJlchfs.ky.govidms;defauit.htm Website: hnp:liwvw.dhhs.nh.gov/oii/documents,hippapp.pdf Phone: 1-800-635-2570 Phone' 603-271-5218 LOUISIANA — Medicaid NEW JERSEY —Medicaid and CHIP Website: http:i/wwv.ianipp.dhh.louisiana.gov Medicaid Website: htip:;lrrvw.state.ri.us,humanseriices, Phone: 1-888-695-2.47 dmahs/c€ients1medicaidi Medicaid Phone: 609-631-2392 CHIP Website: http:/hnr,vN.nifamilycare.org.'index.html CHIP Phone: 1-800-701-0710 MAINE—Medicaid NEW YORK—Medicaid Websita: htip:iiwww.maine.gov!dhhs'ofirpubirc-assistanceiindex,html Website: http:,/wNwN.nyheaith.govlhealth_carer'medicaid/ Phone: 1-800-977-6740 Phone: 1.800-541-2831 TTY 1-8C0-977-6741 MASSACHUSETTS —Medicaid and CHIP NORTH CAROLINA — Medicaid Website: hitp:IJw^+vw.mass ,govilvlassHeaith Website: http-jAvwN.ncdhhs.gcv!dma Phone: 1-800-a62-1120 Phone: 919-855-4100 MINNESOTA — Medicaid NORTH DAKOTA—Medicaid Weosite: http:Liwww.dhs.state.mn,usrid_006254 Website: http:liwww.nd.govidhsrservices;medicalsefvimedicaidl Click on Health Care. then Medical Assistance Phone: 1-800-755-2604 Phone: 1-800-657-3739 MISSOURI — Medicaid OKLAHOMA — Medicaid and CHIP Website: http:/iwemv.dss.mo.govlmhd;participants;pages;hipp,him Website: http:iiwww-insuracklahcma.org Phone: 573-751-2005 Phone: 1-688-365-3742 MICNTANA — Medicaid OREGON — Medicaid Website: http:llmedicald.mt.govimember Website: hitp:llww,v.cregonhealthykids.gov Phone: 1-800-694-3084 http:l/,A-wN.hilossaludablercregori.gov Phone: 1-800-699-9075 NEBRASKA — Medicaid PENNSYLVANIA — Medicaid Website: vw,vay.ACCESSNebraska.ne.gov Website: http:liwwN.dpN.stale.pa.usihipp Phone: 1-855-632-7633 Phone: 1-800-692-74662 NEVADA — Medicaid RHODE ISLAND — Medicaid Medicaid Website: http:;ld,vss.nvaov! Website: wavw.ohhs.ri.gcv Medicaid Phone: 1-800.992-0900 Phone, 401-462-5300 SOUTH CAROLINA — Medicaid VIRGINIA — Medicaid and CHIP Website: http:liwAwv.scdhhs.gov Mledicaid Website: hltp:awww.coveria.orgrprograms_premium—assislance.cfm Phone: 1-888-549-0820 Medicaid Phone: 1-800-432-5924 CHIP Website: http:llmvw.covens.org/programs_premium_assistance.cfm CHIP Phone: 1-855-242-8282 SOUTH DAKOTA - Medicaid WASHINGTON — Medicaid Website: http:tidss.sd.gov Website: htip:iiwNN.hca.wa.gov medicaid.oremiumpymtrcages,' irdex.asox Phone: 1-800-562-3022 ext. 15473 Phone: 1-888-828-0059 TEXAS — Medicaid WEST VIRGINIA — Medicaid Website: https://,bwv.gethipptexas.comi Website: www.dhhr.wv.govlbmsi Phone: 1.800-440-0493 Phone: 1-877-598-5820. HMS Third Partv Liabil'lty UTAH —Medicaid and CHIP WISCONSIN —Medicaid and CHIP Website: Website: Medicafd: http:l/health.utah.gov/medicaid https:iiwww.dhs.wisconsin.gov/badgercarepduslp-10095.htm CHIP: hap:llhealth.utah.gov/chip Phone: 1-800-362-3002 Phone: 1-866-435-7414 VERMONT— Medicaid WYOMING — Medicaid Website: http:i7wNw.greenmountaincare.org Website: http:llhealth,wyo.govrhealthcareiin,egualitycare Phone:1-800-250-8427 Phone: 307-777-7531 To see if any other states have added a premium assistance program since January 31, 2016, or for more information on special enrollment rights, contact either: US Department of Labor US Department of Health and Human Services EmpPoyee Benefits Security Administration Centers for Medicare & Medicaid Services wrww.dol.gov/ebsa www.cros.hhs.gov 20 1 1-866.444-EBSA (3272}1 1-877-267-2323. Menu Option 4. Ext 61565 Medicare Fart D This notice applies to employees and covered dependents who are eligible for Medicare Part D. Please read this notice carefully and keep it where you can find it. This notice has information about your current prescription drug coverage with Meritain Health about your options under Medicare's prescription drug Plan. If you are considering joining, you should compare your currant coverage including which drugs are covered at what cost, with the coverage and costs of the plans offering Medicare prescription drug coverage in your area. Information about where you can get help to make decisions about your prescription drug coverage is at the end of this notice. 1. Medicare prescription drag coverage became available in 2006 to everyone with Medicare Through Medicare prescription drug plans and Medicare Advantage Plan (like an HNIO or PPO) that offer prescription drug coverage. Q Medicare prescription drug plans provide at least a standard level of coverage set by Medicare. Some plans may also offer more coverage for a higher monthly premium. Meritain Health has determined that the prescription drug overage offered by the Welfare Plan for Employees of ABC Client under the Meritain Health option aro. on average for all plan participants, expected to pay out 3s much as the standard Medicare prescription drug coverage pays and is therefore considered Creditable Coverage. Because your existing coverage is Creditable Coverage. you can keep this coverage and not pay a higher premium (a penaity) if you later decide to on a Medicare drug pian. You should also know that if you drop or lose your coverage with Meritain Health don't enroll in %,Iedicare prescription drug coverage after your current coverage ends, you may pay more (a penalty) to enroll in Medicare prescription drug coverage later, When can you join a Medicare Drug Plan? You can join a Medicare drug plan when you first become eligible for Medicare and each year from October 15" to December 7", However, if you lose your current creditable prescription drug coverage, through no fault of your own, you will also be eligible for a two (2) month Special Enredment Period (SEP) to join a Medicare drug plan. What happens to your current coverage if you decide to join a Medicare Drug Plan? If you decide to join a Medicare drug plan, your current kleritain Health coverage will not be affected. You can keep this coverage if you elect part D and this plan will coordinate with Part D coverage. If you decide to join a Medicare drug plan and drop your current Meritain Health coverage, be aware that you and your dependents will be able to get this coverage back. When will you pay a higher premium (penalty) to join a Medicare drug Plan? You should also know that if you drop or lose your current coverage with Meritain Heaith don't join a Medicare drug pian within 63 continuous days after your current coverage ends, you may pay a higher premium (a penalty) to join a Medicare drug plan later. If you go 63 continuous days or longer without creditable prescriplion drug coverage, your monthly premium may go up at least 1% of the Medicare base beneficiary premium per month for every month that you did not have that coverage. For example, if you go nineteen months without creditable coverage, your premium may consistently be at least 19% higher than the Medicare base beneficiary premium. You may have to pay this higher premium (a penalty) as long as you have Medicare prescription drug coverage. In addition, you may have to wait until the lollowing October to join. For more information about this notice or your current prescription drug coverage... Contact our office for further information (see contact information below). MOTE: You'll get this notice each year. You mill also get it before the next period you can join a Medicare drug plan, and if this coverage through hlerffain Health changes. You also may request a copy of this notice at any time. For more information aboutyour options under Medicare prescription drug coverage... More detailed information about Medicare plans that offer prescriplion drug coverage is in the'lvledicare & You" handbook. You'll get a copy of the handbook in the mail every year from Medicare, You may also be contacted directly by Medicare drug pians. For more information about Medicare prescription drug coverage: > Visit www.medicare.aov > Call your State Health Insurance Assistance Program (see your copy of the Medicare & You handbook for their telephone number) for personalized help, > Call I.800•MEDICARE (1.800.633.4227). TTY users should call 1.877.486- 2048. If you have limited income and resources, extra help paying for Medicare prescription drug coverage is available. For information about this extra help, visit Social Security on the web at www.socialsecuriti.gov, or call them at 1-800.772.1213 (TTY 1.800• -800- 325-0778). Remember: Keep this notice. if you enroll in one of the new pians approved by Medicare which offer prescription drug coverage, you may be required to provide a copy of this notice when you join to showthat you are not required to pay a higher premium amount. Date: January 1, 2017 Mame of Enlilyl8ender: ABC Client Contact-PositiorVOffrce: Human Resources Address: 290 (Wain Street Tampa, FL 33607 Phone Number: 813-555.5555 21 22 23 The information in this Benefits Summary is presented for illustrative purposes and is based on information provided by the employer. The text contained in this Summary was taken from various summary plan descriptions and benefit information. While every effort was taken to accurately report your benefits, discrepancies or errors are always possible. in case of discrepancy between the Benefits Summary and the actual plan documents, the actual plan documents will prevail. All information is confidential, pursuant to the Health Insurance Portability and AccountabilityAct of 1996. If you have any questions about this summary, contact Human Resources. Presented by: MiUiIDE"1STA,,iJ. S= L. l r Cer*Nr tir. & HeciTt Ccre Arctilcry liQ Ser�Tces CarrpGancs r Phcrrnccy Arch/Nc Mcnagerr.Eni Interientic ri Benefits • Wellness: Breast Cancerand Mental Health Awareness • Compliance: Medicare Part D Filing • Compliance Updates • ReviewlDistribute Contracts & Booklets • Reinsurance Information Submission Reminder • Reinsurance Fee Payment • USI Holiday: Thanksgiving • Wellness: Breathe Easy • Post Renewal Meeting • Compliance Updates • USI Holiday: ! • Reinsurance Fee j • USI Holiday: Wellness: Christmas Payment i President's Day Nutrition Reminder • Wellness: Wellness: Heart Compliance Keeping Calm USI Holiday: New Health Updates Year's Day • Compliance Quarterly Claim Updates USI Holiday: MILK and Utilization Day Review • Wellness: Weight Compliance Loss Updates • Compliance Updates • USI Holiday: 0 USI Hofiday: + Wellness: & PCOR Fee Wellness: Dental 9 USI Holiday: Spring Holiday Memorial Day Diabetes Payment Health Labor Day Awareness • Wellness: a Wellness: Allergy 0 USI Hollday: • Enrollment 0 Wellness: Physical Activity and Asthma • Comptiance Independence Materials Preventive Care Compliance Updates Day Wellness • Compliance li pFinafiize Rates Updates Updates • Pre Renewal Wellness: Sun Request/Review Meeting i Safety Renewal Meeting SBC • Review renewal projections Compliance Compliance Request Census � Updates Updates • Review 4 Compliance Contribution Updates Strategy_..._ $r _ � .1 201 Alhambra Circle, Miami -Dade County 305-669-6000 Think' 'A4.^.+^9.0 -hints NF 'Na4place ].o 0 (D (D Workplace Pro is an integrated suite of HR knowledge, content and trainin00 =— 00 LEARN PRO More than 200 online training courses that ensure compliance, reduce risk and drive employee engagement. 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Login at http://usi-southeast.thinkhrlive.com jy on Cali the ThinkHR Live team at 877.225.1101 Th;nk-- INTRODUCING AN EXPANDED PORTFOLIO OF PRODUCTS FOR WORKPLACE PRO i s Compliance Calendar x All important federal compliance deadlines and key event dates in one place alerts to ensure you never miss deadline again, ,r =C� Mobile App Nojv employers and HR professionals can access the resources of ThinkHR Workplace Pro from anywhere through our mobile app. Submit Your HR Question --:tl5:"Vd fCGi �Lf 4Y Ade :(y -i'2 Wv!4'4 rvi{ Ai PHV ACV ilsvlrC 1. � r. > 50 -State Employee Handbook Builder > O&A Database > HR Audit Checklist > Health Care Reform Checklist > Job Description Builder > Compliance Guidelines > Performance Review Too! > Employee Onboarding Checklist > HR Compliance Checklist > Salary Benchmarking > Employee Termination Guidelines > White Paper and Webinar Library Login at http://usi-southeast.thinkhrlive.com F=>,�r_ ', n Cell the ThinkHR Live team at 877.225.1101 Think- i Discrimination - EE0, r'.1.'A, s Leaves of Absence - HALA, PCS - Statutagj Cornpliance * Employee Relations a Performance M_�-_qt ■ Policy and Pro-_= a ■ Recruitirg and Hi: - ■ Wage and Hour, Equal Pay Act ■ Workers' Compensation ■ General Benefits Compliance COBRA, ERISA, HIFI, PPA�A S,V�ARL—E OUESTIONS:"SSUES ANSWERED ON THE HR HOTLINE • Conflict Resolution Terminations ■ Workplace Safety ■ I�nlaA,fui Harassment ✓ Our business is headquartered in one state, yet we have field sales rap employees in other states. Which state disability insurance & paid family leave information should those employees outside of our HQ state receive? We recently advised a client that they should keep PHI filed separately from other employee data. While +,ve have this recommendation in writing from our attorneys to us as a SAA, I am not able to find documentation that as a plan sponsor an employer should also follow this practice. Please confirm that: 1) wee +mere correct in advising the client to follo,,v this process, and 2) Is there an official notice we can refer to? ✓ When an employee is on P,11 -A leave, wihat is the employer required to do with their other benefits? Which benef is need to be continued and what should we do if the employee does not make his copayments while out on FIML4,? ✓ Can we terminate an employee from our group plan since he will be Medicare eligible? ✓ What are the ERISA rules about nondiscrimination in benefits plan designs to assist with creating benefit class carve -outs? ✓ Our client has an employee wrho v ent out on 24 hours suicide watch. Should the employer allow the employee to return to work? ✓ I need some information on exempt employees and time off. Can you submit for unpaid time when an employee is absent and has used all their sick time? What are the guidelines concerning unpaid and paid time off for exempt employees? ✓ We want to put a policy in place regarding what expenses can be reimbursed and wlhat cannot be reimbursed for telecommuting employees. Specifically, vie have telecommuting employees and want to know if the company has to reimburse internet and electricity expenses since the employee is working from home doing company work. ✓ Can nonexempt employees waive lunch breaks? What are the requirements for the two rest breaks for an 8 hour shift? If the company is closed for Labor Day on Nlonday, and an employee who works on Sundays wants to take Sunday off andwork on Monday while the business is closed, is this ok? ✓ How can you determine whether a worker is an independent contractor or employee? ✓ I have an employee stating that he is going to quit but hasn't officially given his resignation. Can we terminate the employee now on grounds of anticipating his quitting the company? ✓ To be in compliance with the 1-9 requirements, does an employer have to re -verify an employee's driver license once it has expired? ✓ Who in our company, besides HR, should have access to background checks and drug screen records for a new hire? ✓ I just received an EEO complaint, and the EEOC examiner is calling to discuss mediation. I am not looking for legal advice but just wanted to talk with you about the process and get practical advice based on your experience with such complaints. ,/'We just set up a corporate Facebook page. We would like all our internal employees to "like" our page from their own FB account. What type of social media policy can we implement? ✓ We would like checklists and sample litters for new hire, COBRA, leaves of absence and terminations. ✓ We have an employee who is no longer disabled under workers' comp and is able to return to work. However due to business need we laid off several employees and his position has been eliminated. Are we legally required to return him to work? ✓ We have an employee on disability with a worker's comp claim, and he came back to work on restricted duty. However, we cannot accommodate the restrictions. We need him to work a full 40 hour a week shift. He directs truck traffic in our yard, and the doctor's restrictions require that he not stand for long periods of time. Can we terminate his employment because we cannot accommodate the restrictions? ✓ What do I do if an employee tells you that he/she is being sexually harassed but does not want you to do anything? How do I conduct a proper investigation? 0027.0312 C Copyright 2012 ThinkHR Corporation I www,thinkhr.com 1 ThinkHR Training Access Instructions To access th e full selection of online training courses, login to your Thin kHA Live website and click on the blue HR Training Access icon From there you -:iyiil be provided wi in tools and prompts to create j training prog ram for your employees. If you have any question., please c a i I the HR Hotline at 877-22 S- I 10 1 to speak with a training specW; st. -: E.%IF3LOY,4!=-,'.- B—fiiz and L e HR M,.nag—rit 7 Staffing & Training S a 1s4h-at New 6 c,a NIX'j q Ln, C"d <rryr 4 T� -4-Aq E-7r.-Fe--- itWr (�,J'p'4nr V' — ROV.I�N-iALCONPUANCE Air Contaminants Asbestos Chemical Hygiene Hazard Cammunicaaon HAZwC �nd�r.BrJ rnd -scrag- TamesF C - --.- SERVICE C— - V i-geirartt 7- G-� N_c,ace Sidla .,q C.- Staff I.W 13aa Eafety. 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NeedZr,C-� Monage^t IA�i,,ess Y'l YO,, Wrat I,- ince m Kron: Al: Ma 4earacnes WORKPLACE 5AFE7Y Lanstruttian Em 9—y PI.-nq & R..p,,.w FL-- fiJ Eq,, J.- nT 3 PrO-- Hazaldo" Substance & V.-I—N Health K-- -Esrzr- 31�.w r, K-- K-�s Personnel Seely =ftyecs mac. ane Fail z. arc FaAs 5pawj Management SLC New Sailm.17A �--- k---cke=-r9- Ir-Itry-il-1--is Wo-.ers Wx44" E- kyr'Ab Glx` 5afey'rx Int-�'tictiral^4 vv-� %iotor'k-clm Motor Siawwl OCT Ak=rd a d DLg T -stir -q Rules -'M' at SLP�,5 Need 7u K, -w H�zatJ 'Mat<- s, a s T9 rwcr-ft-n Irfectk=s Yatcinai&Tra Think LEARN COURSE CATALOG Customer Communication Customer Serri=e Fu^da-T�entafs: EuiIJing P.a;.ya,rt in Customer Ralationships Custome- Service O-aer the Ph one Dvvaloping Your Customer Focus Customer Relationships > The Angry Caller: What's Your Plan? > Creating and Sustaining a Customer -focused Organization > Customer Advocacy: Communicating to Build Trusting Customer Relationships > Customer Service Confrontation and Conflict Customer Service Fu-dame^talc- Building Rapport in Customer Relationships Cus'amer-driven Process lmpr_Dv, rnent: Identifying Customer Needs Essential Skills for Professional Telephone Calls Shaping the Direction of Customer Service in Your Organization Disciplinary Action .A Manager's Guide tc Discipline and Documentation Rightful Employment Termination Diversity > A Manage,'s Guide to Diversity, Inclusion, and Accommodation > Bullying and Violence in the Workplace Diversity on the Job: The Importance of Dive city and the Changing Workplace > Global Diversity > Managing Workforce Generations: Working with a Multigenerational Team Employment Law EEO and Lawful Hiring HiP.AA Privacy Essential, HIPAA—Priva_y Rule for Business Associates HIPAA—Privacy Rule for Covered Entities > HIPAA—Security Rule for Business Associates > WPAA—Security Rule for Covered Entities HIPAA for Non -Medical Employers Priva--y and Information Security Rightful Employrnen€ Termination thinkhr.com ; 577.225.1131 > Union Aviareness > Wage and Hour A -ria, eness for Managers > Wage and Hour for Employees > Workplace Management: Employment Laws and Regulations fii kei LEARN COURSE CATALOG Environmental Compliance > Asbestos Environmental Regulations Overview Laboratory Safety Lead Awareness in Construction Lead A,vareness it General Industry > Mold A,,vareness Ethics Business Ethics Code of Conduct A.roareness—Higher Education Edition Compliance Impact: Business Ethics—Adjusting the Figures > Ethics at Vjork: Monitoring and Program Improvement > Financial Integrity > Global Conflicts of Interest > Integrity in the Workplace Harassment Bullying and Hazing on Campus Bullying and Violence in the Workplace > ConductI i Investigations Basad on Unfair Treatment or Harassment Claims Preventing Harassment in the Global Workplace—Employee Edition Preva^ting Harassment in the Global Workplace—Employee Edition (Spanish) Preventing Harassment in the Global Workplace—Manager Edition Sexual Harassment Prevention for Employees SeXUal Harassment Preven-ion for Managers and Supervisors—California AB 1825/2053 > Title IX for Higher Education , Wor!<;�Iace Harassment Prevention for Employees -version 2.0 (Title VII) > Workplace Harassment Prevention for Managers—I4lulti-Sta`e Edition, version 2.0 (Title VII) Hazard Communications > Crane Signaling and Communications > Decontamination (HAZWOPER) > Emergency Response and Spill Control (HAZWOPER) > Fire and Explosion Hazards (HAZWOPER) > Globally Harmonized System of Classification and Labeling of Chemicals (GHS) > Hazard Communication (HAZWOPER) Hazard Communication: An Employee's Right to Know Hazard Communication: An Employee's Right to Know (Spanish) Heat and Cold Exposure Management (HAZWOPER) Personal Protective Equipment (HAZWOPER) > Requlatory Overview (HAZWOPER) > Safety Data Sheets > Site Safety and Health Plan Procedures (HAZWOPER) > Site Control (HAZWOPER) > Toxicology (HAZWOPER) thinkhr.com 877.225.1101 2 Think LEARN COURSE CATALOG Hazardous Waite Bios'ety Hazardous Waste Handling and Disposal Hazardous Material Ha -dl ^g and Storage Hazardous Was -,-e G-2 -ator (RCRA) Regulatory Overview (HAZWOPER) Site Control (HAZWOPER) Storrs Water P:Ilution and Prevention > Universal Waste Rule Training , Waste Minimization and Pollution Prevention for Employees HR Compliance A Manager's Guide tc Diversity, Irclusion, and Accommodation Campus Security Obligations Under Federal Lary > FERPA for Higher Education > Promoting a Substance -free Workplace > rightful ErnployrnentTarmina*ion > Wage and Hour A-Narenes for Managers > Workplace Management: Employment Lars and Regulations Leadership A Manager's Guide to Discipline and DOCumentation Achieve Your O'ojecti-,es through Effective Delega-ion Being an Effective Team Member The Benefits and Challenges of Engaging Employees > Building and Leading Teams EcO and Lawful Hiring First Time Manager: Understanding a Manager's Role Leadership Essentials: Motivating Ernployees Leading Teams: B, ildirng Trust and Commitment Lea -Ing Teams: Dealing with Con`lict Leming Teams: De ieloping the Team and its Culture Leading Teams: Fstablishing Goals, Roles, and Guidelines Leaves of Absence FM1LA Leave and More: An Overview of Legally Protected Leave Meetings > Dealing with Common Meeting Problems > Managing Effective Business Meetings Preparing for Effective Business ibleetings Leading Teams: Managing Virtual Teams Leading Teams: and Optimizing Performance Management of People: Talent Acguisit_ion and Retention > Retaining Your Talent Pool > Strategies for Successful Employee Onboardin.g: Assessing Program Success Stra egi=s for Successful Employee Onboarding: Getting S:a—d > Telecommuting Basics: Communication Strategies for the Remote Employee > Wage and Hour Awareness for Managers > Vlorkforce Planning and Employment: Orientation, Onboarding, and Exit Strategies thinkhr_con, i 877.225.1101 3 Think- L.E RN COURSE CATALOG OSHA & General Safety Accident Investigation and Racorting Aerial Work Platforms Benzene A-,niareness Behavior -based Safety for Supervisors Bloodborne Pathogen Avvareness Bloodborne Pathogen Awareness (Spanish) > Chemical Process Safety Chemical Process Safety kla-zag-2?ment > Cold Stress Compressed Gas Safaty Confined Spaces > Confined Spaces (Spanish) = Contractor Safety Crane Signaling and Communications > Electrical Safety Emergency and Disaster Preparedness Emergency and Disaster Preparedness (Spanish) Fall Protection Fall Protection (Spanish) > Fire Safety and Preven.tien > Flammable Liquids > Forklift Safety Awareness = Global Safety Principles: Indoor Hoisting and Rigging Globally Harmonized System of Classification and Labeling of Chemicals (GHS) Hand and Power Tool Safety Hand and Po,rierTool Safety Impact: Pneumatic Tools Hazard Communication (HAZWOPER) Hazard Communication: An Employee's Right to Know Hazard Communication: An Employee's Right to Know (Spanish) Hazardous Material Handling and Storage > Hazardous Materials in the Workplace > Hazards to Outdoor Workers > Heat Stress Recognition and Prevention > Hydrogen Sulfide Introduction to Industrial Hygiene > in roduction to OSHA Job Hazard Analysis > Laboratory Safety > Ladder Safely > Lead Awareness in General Industry > LockoutfTagou- > Lockout,'Tagout for Authorized Persons > LockoutfTagout for Authorized Persons (Spanish) > Machine Guarding = Mold Awareness > i16FPA 1600 Disaster/Emergency Management NFPA 707E Electrical Safety in the Workplace 2015 Edition > Office Safety OSHA 3007 Recorclkeeping PPE: Personal Protective Equipment Regulatory Information > Rigging Equipment and Inspection Safety at Work: A Systematic Approach Safety Data Sheets Safety Data Sheets (Spanish) > Scaffolding and Ladder Sa`ety Scissor Lifts 5 Slips, Trips, and Falls > Slips, Trips, and Falls (Spanish) > Spill Prevention, and Control Spill Prevention, Control, and Countermeasure Plan Storm Water Pollution Prevention Trenching and Excavation Safety Warehouse Safety > Welding, Cutting, and Brazing Workplace Inspections > Workplace Safety Orientation > Workplace Safety Orientation (Spanish) F]-nL•�s]'}V y�y thlnkhr.com 1877.225,1101 4 Think-' LEARN COURSE CATALOG Performance Management , Human Resource Development: Performance Appraisal and Talent Management > Monitoring and Improving Performance Performance Appraisal Essentials: 360 -degree Appraisals Performance Appralgal Essentials: Conducting Traditional Appraisals Performance Appraisal Essentials: Planning for Appraisals Planning for Performance y Strategies for Successful Employee Onboarding: An Introduction > Workforce Planning and Employment: Orientation, Onboarding, and Exit Strategies Personal Protective Equipment > Hearing Conservation > Personal Protective Equipment (HAZWOPER) > PPE: Eye and Fare Protection > PPE: Foot and Leg Protection PPE: Hand Protection > PPE: Head Protection PPE: Personal Protective Equipment > PPE: Personal Protective Equipment (Spanish) R.spiratory Protection Respiratory Protection Impact: Donning and Doffing Personal Safety > Back Safety and Injury Prevention Back Safety and Injury Prevention (Spanish) Benzene Avvareness Bloodborne Pat'nogen Awa"eness Bloodborne Pathogen Awareness (Spanish) > Cold Stress > Electrical Safety > Fall Protection > Fall Protection (Spanish) > Fire Safety and Prevention First Aid: Basic First Aid: Medical Emergencies Flammable Liquids Hazards to Outdoor Workers > Heat S� ess Recognition and Prevention Industrial Ergonomics > Laboratory Safety > Ladder Safety > Office Ergonomics > Portable Fire Extinguishers r Preventing Identity Theft > Workplace Security Awareness thinkhr.com 877.225.1101 S Think LEARN COURSE CATALOG Transportation Accident Procedures lrvoiving Large Vehicles , Collision Avoidance Defensive Driving Defensive Driving (Spanish) Defensive Driving Fundamentals Drf_=rsive Driving Fundamentals (Spanish) Defensive Driving: Truck Safety Distracted Driving DOT 1: Hazardous Materials Table DOT 1: Introduction, Classification, and the Hazardous Materials Table DOT 2: Packaging, Labeling, Marking, and Placarding DOT 3: Shipping Papers > DOT 4. Loading and Storage DOT: Air Brakes DOT: Drug and Alcohol Awareness > DOT: Hours of Service > DOT; Inspections DOT: Security for Shipment of Hazardous Materials Emergency Situations While Driving Ergonomics and Injury Prevention for Commercial Vehicle Operators > Flagging Safety > Flatbed Cargo Securement Forklift Operation 1: Safety Inspection and Maintenance Forklift Operation 2: Stability and Capacity > Forklift Operation 3: Load Handling Wellness > Optimizing Your Work/Life Balance: Maintaining Your Life Balance > Optimizing Your Work/Life Balance: Taking Control of Your Stress > Pandemic Flu Awareness Forklift Operation 4: Traveling and Maneuvering For'<ML Sa'e~y Awareness Ha7arCOCUS Materials: Infectious lvlaterials Transportation bj Ground Hazardous Weather Driving for Commercial Vehicle Operators IATA 1: Hazard Class Identification/Classification IATA 2: Marking and Labeling > IATA 3: Packaging > IATA 4: Documentation IATA 5: Limitations and Shipment Review IMDG 1: Introduction, General Provisions, and Classifications INIDG 2: Dangerous Goods List, Special Provisions and Exceptions > IMDG 3: Packaging, Marking, Labeling, Placarding, and Documentation INIDG 4: Loading, Unloading, and Offering Dangerous Goods > Loacling Dcck Safety hlegocia?ing Hazards for Commercial Vehicles Packaging Small Quantities > Safe Vehicle Backing > Trailer Coupling and Uncoupling > Urban Driving .v>T; thinkhr.cam i 4n $77.275.1101 6 Think- LEARN COURSE CATALOG Workplace Skills Are You Listening to Your Customers? Basic Presentation Skills: Creating a Presentation Basic Presentation Skills: Delivering a Presenta*ior Basic Presentation Skills: Planning a Presentation > Business V1, iting: Editing and Proofreading Business Writing: Ho�+r to Write Clearly and Concisely > Business Writina: Know; Your Readers and Your Purpose Communicating Across Cultures Communication Methods that Make Sense -and Make Your Point Crew-ing a Compelling Job Description Creating a Positive A,tituda > Emergency Response in the Workplace Essentials of Intarvieviing and Hiring: Conducting an Effective Interview > Getting Results without Direct Authority: Persuasive Communication * Handfing DiffiCL[lt Conversations Effectively The Internet, Social Media, and Electronic Cam;runRcatlon > Interpersonal Communication: Being Approach. -able Interpersonal Communication: Communicating Assertively Interpersonal Communication: Communicating with Confidence fnterpe sonal Communication: Listening Essentials Interpersonal Communication: Targeting Your Message > In'ervie.ving: Doing it Right Listening Essentials: Improving Your Listening Skills Listening Essentials: The Basics of Listening > Listening to Improve Conversation Management Essentials: Confronting Difficult Empioyeo Behavior tn;nkhr.corn 877.225.1101 Manage:- ent of People: Total Re,,iards > Solving Problems: Framing the Problem Techniques for Cornmu^.ica`ing Effectfvely with Senior EXecOves > Telecommuting Basics: Communication Strategies for Remote Employees Time Nlanagament: Analyzing Your Use of Time Time Management: Avoiding Time Stealers > Time Management: Planning and Prioritizing Your Time Training and Development Using E-mail and fnstant Messaging Effectively The Voice of Leadership: Effective Leaders;.' ip Communication Strategies > Veas_e Mlinimizatir:n and Pollution Prevention for Employees WDr'<i^g wit^ Di`=i-ul- Paool=: Dealing with Micromaragar; Wor'.<ing with DifffiauPt Pecpla: How to Work With Aggressive People W.-rking with Difficult People: How to Work with Manipulative People Workirg with Difficult People: Hoer to Work with Negative People , Working ,hath Difficult Peopla: Hoar to Work with Procrastinators > WDrking with Difficult People: Ho -,,j to Work with Self-serving People > Working with Difficult People: Identifying Difficult People b'ior'<rlare Conflict: Recognizing and Responding to Conflict > G'War'.<placa Conflict: Strategies for Resolving Conflicts ., 1. ,., Think - LEARN C9 1F"�CATALOG ENGLISH COURSE NAME DrWncg > Defensi•re Driving > Defensive Driving Fundamentals Hazard Communication: An Employee's Right to Knorr Harassment > Preventing Harassrnen,t in the Global bVarkpiace-Employee Edition OSHA 10 -hour General Industry > Confined Spaces Hazard Communication: An Employee's Right to Know > Safety Data Sheets > Slips, Trips and Falls Personal Protective Equipment > PPE: Personal Protective Equipment Personal Safety Back Safety and Injury Prevention Bloodborne Pathogv� A-,vareness Workplace Safety > Emergency and Disaster Preparedness Fak Protection > Lockoutr'Tagout for Authorized Persons , Workplace Safety Orientation thinkhr.com 877.225.1101 SPANISH COURSE NAME > Conduccion defe-siva Principios fundamentafes sobs conduccion defensiva > Comunicacion de peligros: el de,echo a saber del emplaadc , Conocimient:, sc,bre el acoso saxual de los emplea-dos > Espacios ccnfinados > Comuricacidn cle peligres: el derecho a saber del em,oleado > Hojas de dams de svguridad Escorregol es, trop?ccs e quadas > EPP: equiu_+ da protL__i1n personal > Pr• ;acci6n de Is espalda y prevencidn da lasiones > Consciancia so'ore patogenos hernototransmitidos > Preparacid•n para ernergencias y desastres , Protecci6n contra cai-des > Bloquea/etiquetado por personas autorizadas > Orientacion para la seguridad en el lugar de traaajo eThink- Benefit Resource Center a. Benefit Resource Center USS Benefit R,-L,�-:)urce Center YOU,- one -call benefits information hothne exWence snWars reqO4,1 an expert to rwolye. Our Persond Bene{t A-I,,Oca`es a,Ej expels o- yov &F . OzN yon c-Wws and am commni red to a3ststinq e-np!oyees in resolvi-9 those co-plex iss-ies, loth did ova innwo I a Pr"APS hw�KN a Id Me hnC± F!An,,. 01771oner, Aw NO i: Y" D, Lnn-Aw U) resourza ir, -Va 1 -00, non� YnOurM -Pljq,i %%-,,'y Lh,: Restylice Center OUI- b0yki 15 olnie va; specihcaHy dyfigned st act as beriAt AwWWWWn aW cu: ON, VIN VMidirl. your empkovv and Whys VO :-Z:f Y �27: - n -7 1: � . -A' W::ion..m.s 1hcV arc Own"Awd Chir PwwwW 10 as W waYs WU be We A :\!i 1c, c i,.,- ti-, 1, la 1 r. A i,i lviii: Li. ini "'-.mil'._ . 1 .7 C.1 r r i, it Or Me dAm aj-PeA in; anawl; an! fxpbin the r4weni Fqhw ab" able fond% Qaw; e4chon chm w Pw% ide L.enkr plan contact inkin-nathO Anwo , US- nws-� Thiz B,�ne�t R,2,;ou:-�d Wh vau L51 Mow Won a emun you h"Ah and rqorzin.z� U, ", dra:,- Md worik l% [`!i the canri,!r to cori,e�t benek confuhmi am! Kom emnk I& VAmnown is 111,;,L) shared 11'111 vour USI Mana`,z- to t:Irtner as in wRh delp Ann a to -Wed and Owthe enjqw- commmawon unyagn. Benefit Resource Center Service Summary Services Eligibility Support Confirm Plan Eligibility with Carrier Assist In Resolving Eligibility Issues Explain Plan Eligibility Based on Life Events Plan Support Answer Questions Regarding General Plan Ingi.Jries for Health and Other Plan Benefits Provide Employee Advocacy Serv^ces - Transfer and Facilitate Calls with Insurance VenclorsfCarriers Confirm and Explain Plan Coverage Including Medical, Dental, Apcillary and Supplemental Benefits Specialist Support for Complex Issues Provide Carrier Contact Infarmat on Answer Questions on HSA and HRA Plans Guidance on Disability Claim Filing and STD to LTD Transition - Explain Long -Term Plan Benefits and Varification of Status Raquests Discuss FSA flans and Eligible Expenses Medical Appeals Information and Support Explain Beneficiary Form Raquirements Coordinate Evidence of Insurability Process for Life and Disability Provide Contact Information for Other Benefit Service Providers Locate Net"Vork Providers Plan Support - Pharmacy Educate Participants on Prescription Drug Plans Help with Issues Obtaining Prescriptions at the Pharmacy with Appropriate Overrides Locate Lower Cost Sources for Prescription Drugs Provide Information on Generic Drugs Claim Support Research/Resolve Claims Denials and Processing Errors Provide Payers with Additional lnforma`3n Required to Pay a Claim Research Patient Out of Pocket Expenses usi _KV * i i 4°" 14 XYZ � am usi Benefit Resource Center: Client Success Stories Problem In early 2015 a member was in need of genetic testing because of her ancestry and predispositions. The member had all of the genetic testing completed. When the claims were presented to the carrier, the carrier denied all of the claims. In very late 2015 the Account Manager contacted the BRC for help with what was described as a "hopeless case". The lab tests in question totaled more than $5,000 and the member was distraught over this financial burden. The carrier had denied all of these claims as "not medically necessary". The BRC made multiple attempts to persuade the doctor to initiate a peer to peer with the carrier, The doctor had a fierce gate keeper, her office manager. To further complicate matters, the doctor, an obstetrician, was truly never in the office, she was busy bringing new lives into the world. Solution Undaunted, the BRC persevered and decided to try a new tactic. The BRC contacted the carrier Appeals Department to see if we could take a different approach, The Appeals secretary agreed to reach out to the doctor with a clinician on the phone, Success! The doctor "was in", and the spontaneous peer to peer review was completed. This resulted in the carrier overturning their denial and agreeing to pay all claims. The last piece of negotiating was not completed until the spring of 2016, a process spanning more than six months, when the provider finally refunded the member for the all of the services the member had paid for out of their pocket. The end result was a very happy client, member, and BRC. 11 11 - -1 USI Benefit Resource Center: Tient Success Stories Problem In the spring of 2016 a member was out on disability, very seriously ill and in need of some assistance in dealing with a letter received from his employer's life insurance carrier. The letter was notification that the member's life insurance policy had been cancelled. An Account Manager e-mailed the BRC asking for help to resolve the issue. The member became disabled while he was working. He was very seriously ill and had been on disability. During this terrible time, our member's wife received notification that the life insurance policy, purchased through work and paid for with payroll deductions was termed due to a missing document. The BRC went to work right away. The next day, in shock, the member's wife called and informed the BRC that her husband had died. Without his work life insurance, she said she had no money. Solution The BRC contacted the Account Manager and explained what had happened. At the Account Manager's suggestion, the BRC reached out to the carrier to see if there was a way to get the policy reinstated. The carrier said that if they received medical documentation, the documentation would be reviewed. If the medical documentation supported the fact that our member was completely disabled, the policy could potentially be reinstated. The member's wife sent the medical records to the BRC, who then organized and sent off to the carrier on her behalf, with our fingers crossed. Success! Several weeks later the BRC received notification from the carrier that after reviewing the medical documentation, the carrier concluded the policy should be reinstated. The carrier emailed the BRC, notifying the Benefit Specialist that the member's wife had been issued a life insurance check in the amount of $140,359.78, equivalent to 4 times our member's salary. The money meant some semblance of financial security for the member's wife. it was nearly six months and more than 80 distinct interactions from the first email to the issuance of the check. The BRC rejoiced about the amazing outcome. Benefit Resource Center: Client Success Stories Problem Employee called advising he had to have surgery on his shoulder. The surgery was a success; however, the insurance company had paid nothing. Faced with a bill totaling over $20,000, he called the BRC. The employee expressed to the Benefit Specialist that he could not afford the bill and that he was facing bankruptcy because of it. Solution Working with the carrier, provider, and attending physician to gather the necessary information, the BRC Benefit Specialist determined that prior authorization had not been obtained for the employee's shoulder surgery. Success? Realizing this, the Benefit Specialist drafted and submitted an appeal with supporting documentation gathered on behalf of the member, a task often performed by the BRC to assist USI account teams. Following the appeal submission, the claim was paid, reducing the employee's out of pocket costs to just under $2,000 - less than 100 of the original claim amount. 3 USI Benefit Resource Center: Client Success Stories Problem An employee received notice his disability claim for long term disability (LTD) benefit was being denied, as the member was not meeting the definition of disabled according to the carrier. The employee decided to call the BRC for assistance after becoming aware of the denial, A BRC Benefit Specialist submitted an appeal, along with additional chart notes regarding the member's condition, but the denial was still upheld. Solution The Benefit Specialist then submitted a second level appeal with additional documentation that had not already been submitted. In the appeal letter, the Benefit Specialist requested that if the carrier was set to deny the claim again, that we would like them to send the employee to one of their physicions, at their cost, to be evaluated. The carrier agreed, and soon after sent the employee to one of their physicians for evaluation of the employee's disability. Success! After the clinical evaluation, it was determined that the employee truly was in fact disabled, and the carrier's physician approved the disability claim. As a result, the employee was paid retroactively back to the date on which the original LTD claim was submitted. 4 USI Benefit Resource Center: Client Success Stories Problem A member diagnosed with end stage renal disease (ESRD) undergoing dialysis, reached out to the BRC to understand why his insurance carrier was not paying for any of his treatments. The first dialysis bill was nearly $19,000, the next was over $22,000 - and the member was being held 100% responsible for treatment costs. The member soon realized if the carrier was not going to allow coverage for his extremely costly treatments, he would have no choice but to forgo treatment, resulting in a terminal diagnosis. Not knowing what to do, the member called the BRC for help. Solution After extensive research, a BRC Benefit Specialist was able to clarify the reason why his carrier was able to hold him to these charges. As it relates to dialysis treatment, guidelines state a member is not required to elect for Medicare until the 30 month coordination is complete. Realizing this, the Benefit Specialist looked into the guidelines, and was able to clarify the specific exception of the plan that required a member to elect for Medicare long before the 30 month timeframe ended. This exception was the reason behind why the carrier was able to disallow coverage for the member's dialysis treatment. Success! Through this discovery, the Benefit Specialist explained to the member if he elects for Medicare, all the treatment charges would be processed and the member would have no patient responsibility. Soon after being informed of his options, the member moved forward with signing up for Medicare coverage, wiping his balance clean with his dialysis provider, and able to continue on with his treatments free of disruption. lmw EMPLOYEE BENEFITS CONSULTING SERVICE C ITY 0 F M 1. M I... try ;..,�7�-�.- � 4 � 7i. � �ss7 , l t }+ i �i.YL-s � l,• ,t • +tir*•'`" _ � ! y - db 14! ef .� ' M.{ •.N �`+f . �• •� 1 !! 1`I:1 i I+-*.� • •A r�iL'y'H.r ,�. I �•. • a _ •fit ` * 1 ~ 1 f �T. 1 4� l 1 {' 7 • Y�, • -� ' •ILAli � w N. 4le _ • ';T 707 >. � �, �. q i ► ,•` w •:,. March 13, 2017. .., I 2:00 RFP# 678384'! USI Insurance Serv�ces, LLC. FEIN fl 13-377134 - L. Gonzalez, VP Employee . ; . • us,a Wham Makes USI Different?' Today's Agenda ■ About USl ■ The USI ONE Advantage° City of Miami All Employees Business Issues and Challenges ■ Employee Benefit Solutions Next Steps E2 4.� Cpl-' 45'regt*�Ip ' . Wham Makes USI Different?' Today's Agenda ■ About USl ■ The USI ONE Advantage° City of Miami All Employees Business Issues and Challenges ■ Employee Benefit Solutions Next Steps E2 J'� �;• 7r,. ^nv r a�. Y•on f7�7 i'•+�•nl+-.+,;.1.1i K,."°1aSy`:i+ �� iAI M�•`F'1-IS ''+rtr ��e'•""+�rii� 1'.: ,�}`ew► t� '. moi'' �}}.w�. ,r`• ,{ �"� USI brings National Capabilities & Local Expertise USI is ca nalion al insurance brokerage and c.onsuli-ir)q firm will`s nIotc-� II -inn 140 local c�fficc.; conn£�cled across tl-ac_; U.S. and a leading milk,, -I posilion in all core; businesses. Tho Coral GcabIcs of f ic.--c has b(jen sc_ rvir act o0 r, locc�al coma runi ly since 1935. Leading middle market broker -$1 B in U.S. revenue Cori-)mercical Employee Personal P&C Benefits Risk ketircmr , i l USI's Southeast Region • Ovc t 4500 ernj-)1oyc.:c,s Nolioncally, 440 R, crit)ii(illy and ovc: i 100 ire Sou Ih Florida. Our lucol chic- has ar-i avora(' e. fi-xiure, of 15 ycxars. ■ ❑odicc'aic d utiolylics, undcrwiiliit a, wc,,Iltie,," c.ar}cl complionc o experts who make up lhu io('-1 c)ta'", Technical Rcsource~:s Te.arn arid avcailabl(I locally. • Regional offices located in Coral Gables, H. Lauderdale, Wast :Palm. Beach, Vero beach, Tampa, Occila, Jacksonville, Savannah, GA, Columbia, SC, C horloffo, PJC, Mornphis, TN, Tu. c (0ooso, AL, l3P'n-iinghom, Al_,,Atlanr a, GA USI`s South Florida Offices Fniploys 68 industry experts wilh cin overage of I0.yecars of insurance experience. $18 Million in revenue 13 What Makes USI Different? US! ONE ADVANTAGE& Cour Multi Year Benefits Strategy USI ONETM, IS a lundaryientally different approach to risk OMNI rllanagernent, integrating proprietary uusibess analytics with a networked team of local and national °. ` experts in (-I consultative NETWORK s { planning process -lha-1 , ClienaBusiness - t: C encrates targeted ISSLIeS & Challenges fo 1 I recor1"11`flendatlons. for ilriptoving cniploye ; bo n(�til plans. USI ONE Advantage"I n °;r?l of di('ni Wy. `�" actionable, n zc c l�ui tlk�le ° �alutions with bollom litre impact to your business through cosi roduction and coverage enhancernent raysuiiinq in an EMployee; Benefit trend cudvantage. 14 low 'k'Y.Pi r USI ONE-I-mOMNI Provides Robust Analytics and Solutions A real-time inleraclive solutions platform built by USI expc.,ris capturing 11-1() experience of more [han 100,000 clic-nfs, thousands of professionals ai. Id over 100 years of business activity through Our- accjuired agencies., Oil Proprietary Analytics One -of -a -kind tool built by USI sul:j0- C I' i-natte', I r experts ActionableSolutions Engine Codifios the broad crud deep knowk.,dge of US[ sp(.x-icilists inlo thousands of actionable tisk 11-KNIM40Ment solu tior is across industry Verlicals Real Time Analysis to cutr(."111 rll(..:Ilkef condihot-1a Quantifiable Financial Impact Solufions focused on economic impact to your business' -a Engine to Drive Decision Making Actionable, Quantifiable Dal USI CONI-'rm1'\Aetwork Provides Deep Expertise Dedicaled technical ehperls networked nationally and embedded in local offices wills over 4,400 professionals nationwide to build inlecgrated client centered accournl learns. . 10�. 450+ 85+ 201;. -q - 0-+- 10+. 30* 300�+� C. orr+pl;ai CES f'ncarmacy AC,�ount Underwriters. welllne5s me6c(al Claims comms practice Consultants Leads & Analvsts At#arr7pys I�ireci.ors bh'eutcr's illant Experts Experts Leaders Npert JIMMY ER I.A, DANIR SHOWERS SAMC), MD ■ Ovcsr 1,500 national employe o bonoriis profassionals - Ire -house c;xpc;r Is, locally based, ensure your full including enrollment, rctirernent and whole sale account Icarn is always available „ ■ '00 ER professionals within USI Southeast Lands -on service and ongoing diligent follow-through Unmatched Middle Market Breadth and Depth of Employee Benefit Resources ,. =1 lu }. .;robe; All mils; Ic.: l It i wi Art IN! 1 lKk µ' y y Y ! T'Sk �... USI CONI-'rm1'\Aetwork Provides Deep Expertise Dedicaled technical ehperls networked nationally and embedded in local offices wills over 4,400 professionals nationwide to build inlecgrated client centered accournl learns. . 10�. 450+ 85+ 201;. -q - 0-+- 10+. 30* 300�+� C. orr+pl;ai CES f'ncarmacy AC,�ount Underwriters. welllne5s me6c(al Claims comms practice Consultants Leads & Analvsts At#arr7pys I�ireci.ors bh'eutcr's illant Experts Experts Leaders Npert JIMMY ER I.A, DANIR SHOWERS SAMC), MD ■ Ovcsr 1,500 national employe o bonoriis profassionals - Ire -house c;xpc;r Is, locally based, ensure your full including enrollment, rctirernent and whole sale account Icarn is always available „ ■ '00 ER professionals within USI Southeast Lands -on service and ongoing diligent follow-through Unmatched Middle Market Breadth and Depth of Employee Benefit Resources ,. =1 lu }. .;robe; All mils; Ic.: l A -All US[ ONETNI Etroi Pis eProvides Strategic Planning Highly consultative team meetings integrating USI's Omni analytics with a broad resource network to build a multi year benefits strategy aligned with your business needs_ Discipline Structured I-OUnd table analysis. on a'weekly schedule delivers consistent, execution of our team strategy • Collaboralion Integrated tearn of local & national experts lo evaluate critical iisk issues and create alignment with proposed solutions Advancement Test conciusions.and make improvements based on client inpul & risk dynamics Accountability Fundi ng,& Underwrilincil. Clearly assigned tasks and deliverables within the Plan Design Av lln:linl! > X Siralegy agreed timeline Proven Process for ld(!i ilifying, Quantifying avid ElirninaHnq Exposures to Your Business 7 USI ONE -1"1-1 Employee Benefit Solutions USI's employee bene -lit practice is designed to contain cost, promote regulatory compliance and deliver superior account - service. We focus on seven primary employee bene -11.1 service arecis. Underwriting& Analytics r 1 1(1( jol I Ion if) cnrflnin plarl co% Population HR Services --rvices Ar finiiir-lif,ition I )1k Il I c)r I 11.", cc -III C(:l I Idrs and calendars to ease Your administra live burdens Management Wollnes'; anuly--'Iis sand olignod incr�rlllvos lo impiove healih Compliance/ill i! Care Ancillary Healthcare Intervention I Pharmacy Benefits Reform Options, 1c)l i !l Solufions In colylpofilivc° 1r Jif in fll)Cl ilic1clovi J:)f protylotc. 0i flb'.�l it cc 1! cornplionce with decisions j11 1(,,deral and wilhout slalo ragulafions sacrificing quality I I 'A t I S f,) (.1 t C-, T I . c Y am. -j -"Colin(j and minin-lize i drives results phartilucy for -)tl wr A Comprehensive, Holistic View of Youi-Eri-iployee Benefits Plan I 'q USI brines broad and deep expertise to City of Miami All Employees having provided risk- management iskmanagement solutions to clients in the Public Sector. Leveraging our USI ONE TM process, we work to understand your company and your challenges so you can focus on growing your business. HR Services - • Spousal Coverage Strategy Pharmacy Population Health . Management • PBM Contrad Review • USI CORE HEALTH Strategy • $1,131,250 - ✓ • $913,000 ✓ • $1315,400 Underwiting & Analytics Coriiprehensive Undcrwrilinq $720,000 Review .24 Solutions, Generating up to $6m Savings Over. Current Plan Costs with Increased Services -9 issue Category Impact Cuse--L, Siudy (Set Appendix,) Ancillary Benefits Packaged Ancillary Program ■ $543,750 Savings V/ HR Services Care: Intervention Underwriling & Analytics M Benchmarking of Beriefil Plot -is N $540,000 N Transparency Pricing Tools ■ Proprietary Stop Loss Design/ Pricing 0 $372,000 a $360,000 FA, V/ Underwriting & Analytics Large Claim Review and $237,150 Forecasting 24 Solutions Generating up to $6,055K Savings Over Current Plan Costs with Increased Services I I I T 1- 11 r, i t r i I i J.g;j jjj!;,tjj, -!r P,- r� hi- -,f d 10 Issue / Crdoq ory Solution R Ira p 6�".-,c Cast-, ApI, Care Intervention Telornedicine $129,744. VII Ancillary Benefits Negoliale Ancillary Mulii-Year $67,969 Rade Guarantees HR Services HR Services 0 Benefit Resource Center Communica [ions and Education Campaigns - $36,000 - $36,000 V/ V/ I/ HR Services Benefits Administration $15,000 Consulting V/ 24 Solulions Generating up to $6,055K Savings Over Current Plan Costs wish Increased Services USI Isr"U0 / calegon/ Compliance / Healthcare Reform Compliance / Healthcare Reform Compliance / Healthcare Reform Compliance / Heallhcare, Reform Compliance / Healthcare Reform NMI • Client Specific Assistance on ■ $12,500 Compliance Issues • Comprehensive compliance review • Comprehensive Employer Guides and Toolkits ■ Logislalivo & Regulatory Updates Reporting and Disclosure Requirements a $12,500 - $10,000 0 $10,000 M $10,000 Can.cS-ludy Appendix) V/ V1, I/ Issue j category aIIiov HIf <,rf..l. Compliance / Healthcare Workshops, Seminars and $10,000 Reform Webinars HR Services - Enrollryient Guides & r .x}6,000 Customized Brochures Underwriting & Analytics ■ Actuarial Valuation of Retiree - `5,000 Health Plans Underwriting & Analytics Certified IBNR Analysis ■ $5,000 HR Services • Annual Service Calendar ■ `G2,000 ./ 24 Solutions Generating up to '$6,055K Savings Over Current Plan Costs with Increased Services . I . 13 " 1 )01 -hi- "� t Em-dco"e,e. ene uions 14 Y.h . s;ci:LhCfff yyyw�m* USI's underwriting and analytics solutions integrate superior assessment, analysis and benchmarking with expert market negoliation to identify and increase transparency around insurers' profit sources. Ell i. tndW6dwi C1.1—t RIA ky r __ 2-11tl14sansn M.Mci �`� `go_.�� .8 ■ M � �r-•,--�•-Jnr.-narrna4erenm.�+rwrwr-�rrwrr+--� n. -+w ... µ r r�ii�� � t ■ 85 +- In-houscr Fnan ial Analysis and Unck tw il-ors Nationwide •. Renowal Projeclions & Funding Analysis • Clainns Cast and Risk Assessment • Trend Milic_lalion • Plan Dcsign & Conlribution Analysis • Benclirnarking •-Prediclivo Modeling • Ancillary Analysis ■ ,Intetnalional Exposure Analysis A Customized Well Designed Plan at a Highly Competitive Price USI Consulting Group's actuarial team performs valuations of employer sponsored retiree health plans to meet financial accounting standards. ■ I'ASR/GASQ sic-andards and clisiirit-1 of full1w obli(lalions for retiree benef0s flora active, en}ployo(-� I.-)ut)(-fits ■ Measurenu:ni must inCIUCI O vahatiOt-1 of future reiirc:c bariefiis ■ USI perforins actuarial vctlual OM, to analyze impact of plan cic sign straiegies and changes to longi-icrrn liabilities ■ Consull to Ear}sure plan design is consisiei l with Hurnan ReSO(.rrccas' objeciives and potential k abilities are consistent wilh 1111 alic ic-11 objectives s1� 4 aIInI! pi,rgfn u rpr :fs - a+' -_) X13 XI6 W,i i-. jrwice seivlci_s. All nypts reservM. Impact and benefit: t aikurc to properly identify retiree benefit liabilities con rl(, galively inipaci inveslot rolinc_ls at id cr>edibiliiy for tinancicil resulls ■ Appropriale toporling re:ducos oxposure to inveslor ICIWSL.J 16 Current Option 2 Option 2 Option 3 Fw Fiscal Year I. Net Periodic Post- retirement Benefit Cost{NPPBC} (5134,78a} {SS,D96,8771 f55,1i7,072) {$5,20S.4s7) II. Estimated Benefit Payments 5464,899 5133.964 5389,010 5320,658 III. EndofYearAPBO $4,204,323 1 53,212,368 52,902,45a $1,379,133 Impact on,, Option I Option 2 Option 3 Year End APBO(3/3112010): ($996,955) 1$1,306,8.59) {$21830,130} NPPBC (2009 - 2010) with Curtailment: i $4,962,000) ($4,982,0001 {$5,074,000} NPPBC (2009 - 2010) without curtailment: $234,570 5214,570 $122,570 -_) X13 XI6 W,i i-. jrwice seivlci_s. All nypts reservM. Impact and benefit: t aikurc to properly identify retiree benefit liabilities con rl(, galively inipaci inveslot rolinc_ls at id cr>edibiliiy for tinancicil resulls ■ Appropriale toporling re:ducos oxposure to inveslor ICIWSL.J 16 USI Consulting Group's actuarial team performs incurred But Not Reported (IBNR) analysis of benefit plan claims to meet actuarial standards practices. Auditors often require ccr.Ij.ic(�iion of self-funidf{ � plan�; s' r(.OrVeS lot r i(Aical proscription, denial and vision flans USI Consulling Group acluarios review plan clt-: ic.-fn, hisloTical claim s and enrollnicnt charack2rislics to do[ermin„ liubililis:s of self' -funded plans to meet financial reporfing rcquiremonts ■ Provide written actuarial certificalior) ■ Essential to review for plans transitioning from fully insured to self-- tunded rllWvw,++>!tYldh.'n15.SHp'Nl, t, Ihh.•tsl,h,yn, n(llr0... lhll7%mmid" I'ln+. IlvMV 1,111111x, M.11, 11 f,. I,1. 1»,1•, Iq;&tNIy. An (rO.t„Irl, 7hw Wz„A Alwnait+A IAA rh" I+wn.ly 11-1 1 .—d mwn,ha•r r11 ItIO A--m-AI, Arnel.•,m. +,f T•'Iunrl+.•1, s•u1 M-1 tb-• Qudtlth allkm N:uvin ik "t tra._ , All-, 1, — A, 1111mv AArh.n.I-r„,[•.1+11.1 thw e+1.1-lrinl,•I,Y, 0."1( nnrr.,j-iII+^.."In, Mi As.+IMIMIt me If you hWv„any g1.r'•t hm. llnq 0, 1'. run+ II•�Rarll•,, su..nmar�o(pW1LAt. Th, ,nulls u[.Ll,.valualEun xra sumn,a,6ze,l L+Inw� U51 Comuliln6 Group [oss 96(}9/16 rBNR' 1 1 �9 ;�,'` 'I l,,oyr• r{r.t,rl unr:ll n •II•M _ �� 1.5III 4 11 11 11 114111 lh' •. �•., S�Ar+ � R Il _ 51 a.11OU I,cr it Illlly Itncsl. 11.1WA, I„iyl ^1., r,-.. P••a, 4aAA4 _ � -.•irvl �lilvl reav, v,+ _ 51.fna•iKlii "� 'rl.p.esLflS ClV,.n{l�.t{08t.P I,ewesA rf.rW vva A ,1•.,, is l�'1'll Y. I'... .-:, 1, 1,1 X, I A. t„N, y . .111.7 .'f•1f U`,11n S:n .,. I'.' •-!I :.� Impact and benefit, An uppropriale oslirnalion of IBNR liabilifies is r-equirod for tax conipliarlc:r ■ Coalpliatil with Financial Accounting and Actuarial Slandards l l; USI's independent renewal underwriting analysis identifies Cost saving opportunities and provides a iasis to negotiate pricing • Analyze 15-20 technieat components within raft: ealculaiion ■ Create full transparency for each cost component ■ Negotiate each cost component based on best in class indusiry standard ■ Establish rate cops and guarantees where appropriate; IFrrl'w Al r':I Inn J..' 21114 - A -21W - P 7% '1 H'u, 1.1 7°e U." P- ."A Jw1uArV - Ilv[elrNrxt 2111:1 111 U 1R {1 ,A .Q.Y .WWy Graxr_I/ - r4i.11 - 4f.A W.1 I wvcrAyr tAw NwNV Max r.berr 1,1111 1, Ir+1 l , idl l,M1x1 t:.r111Ac'(MIvx1,3 hb1T r.h1! X17 lnlAl Mnmb.lr M.orlths Y]f135 1'1,Pii 51935 94410 1 W"tl 2!"4 50 S658.2r19 d Inwnetl Clonus 54.1141:0"+3 S013,9w17 $41,1-,`''11 7N•rfa fM1 t:fy.Ir�Vt•/1d)-4—t iX121.41WJ 9n 1621.PIU91 qq.T 1t11 <0 51471,11 r: M.n.Nxa,s 'Ja SII 50 I U11 A19.Y11r W. SU SU St) i1 AI1r,r ren T,lmxn. S4'(1r1T,747 e91 -x. MO %4!,87.1144 A P' M.4t.W.-1SIFft-1S: nmInQ (Si, Pa72771 SU S1 VW V. ' Adil-ed lmllffM(Je1m5 52.Fk15F3G0 Snii 1497 $111N.7•.7 d 41MIbIMy l SUOA?E WMV It% 1006% 0 9 7 Nee I d Rate Cha qp =-121114-MIF, W.I lwwram o! S-•rmms. Ali rlgrns r:..ervehl Impact and Benefit: ■ Cslirnated promiurn reduction of 3-67. Independent validation of pre mium cost, rales and iicnd analysis ■ Lowering future cost (1-3 yours) tlimugh rate caps.and guarantees P 7% '1 H'u, 1.1 7°e 111 U 1R {1 14.4v 1a,1°. 140% S; 202 2.7:, S", I W'a S4 226 4169 5,1110.00" $0 51111441.0110 51":',2, 5911 P171Y S4,r121i tine $4724 W"tl 2!"4 50 S658.2r19 54 11kYS11 54:1:4 A.R 5:1,484,3/9 Sr: 6P.71 P 1 Sil Sr.,1191.8t3 fII", 00'e 4.(144. 5.1 SSV X11 SU11w1U 5S, 464.37v 1R 4% IR 441 11944E S40?M Sr...6.71.1WI 51,744721+ SA.71i,01a S4 W 53114 SJ 1 111 0 9 7 (h¢ h idea an 1 awe dnvelopnanl) 478.71 A.2�a Impact and Benefit: ■ Cslirnated promiurn reduction of 3-67. Independent validation of pre mium cost, rales and iicnd analysis ■ Lowering future cost (1-3 yours) tlimugh rate caps.and guarantees US] pre -negotiates best in class terms & contrac-Is based on your historical/predicted claims and risk tolerance level - Analyze bolls histoaicol and prc;diclod large claims daki and premium cost ■ Evaluate individual and aggrectate stop loss level adequacy through benchmarking and risk tolerance, level Negotiate contractual terms and pricing with carve -out carriers i n,�nrird ^•rw:m.. =:n.jR .ren f .,xw x fnr t uol ropc i.nn•i +Ju«nf Impact and Benefit: ■ Save up to 207. of fixed insurance cost, or an e-stirnaled 1-3% of notal program cost Enable client to decid(,, appropriate stop loss level based on claims frequency do to - Gest in class contractual provisions USI's independent review and forecasting of Large Claims reduces inflated projections, driving reductions in premium or sfop loss rates and claim liability Claimant -specific High Dollar Claim Review I I riaiirnmServwp,� . All rlahlsyw�04.,Id EiMnale Errors an k tn b. -I 11 I IV, I cil y ol c) (J cUcut trOcInct�'. I I riaiirnmServwp,� . All rlahlsyw�04.,Id EiMnale Errors an Impact and Benefit: Ellininalion/reducilon of lh(.� in-ipact of High Dollar claimants can le -ad to promiurn reduction of an (,,,sfirnafed 1-37. Elimination/reduclion of Slop Loss lasers and icducod Slop Loss premium (scl kinsured) ■ Increased subrogation and COB recoveries Abilily to targoi health risk, mancigomont initiativos Improved budget forecasts 20 USI's suite of Human Resource solutions Will improve employee experience, alleviate burdens from the HR team, dl ive efficiency and ensure accountability. Itrn,•I'it 'iLatemot t.1; I:mlllln•I•�• ('onir�irttticuti{mIlly !':IIt+II [I, I,lth 1'Ittl?If ve(' {s Iker,Ctt kh.Iinc Not tfl I,xrylimfrfl "Ji u,.11 •l: 1, ,;,,I ACCOUNT MANAGEMENT ■ Service Calendar • Implementation & Pr'oject Timelines Employee Hoiline Currier Interaction and Accountability ■ Coordinalo USI Team EMPLOYEE EDUCATION SERVICES Employee Comi-nunications - Guidebooks. Meetings, Webinars • Total Value Siatements Online Enrollment Strategies ■ Cusiomized Campaigns Driving the Value of the Employee Benefit Plans UST's identifies opportunities to reduce expenses related to spousal coverage through contribution surcharges, carve -outs or buy-out incentives The Affordable Care Act provides opportunity for all spouses to obtain coverage -through public exchanges and specifically doesn' I tectuire employers to offer spousal coverage USI offers strategies to reduce cost based on claims analysis while providing in a responsible transilion to er-nploye:c /dependent only coverage U31 3D database IF Cohort Statistics: • " i,r �: • Total Paid $1,121,828,876.47 $ 3,924,557,773.25 28.5806 Total Medical Paid $933,292,961.23 $ 3,291,238,274.86 28.360/o Total Pharmacy Paid $188,535,915.24 $ 633,319,498.49 29.77% No. of Members 123,625 650,497 19.00% Removing 1 spouse coverage will save on average $4500 per year Impact and Benefits: ■ Spouses typically represcni 2010 of members but 30`;0 of clair-ns COO ■ Through increased coniribuiions or spousal attrition, savings range from cin estimalcd 3-1Q o of Val program cosi 1 22- y, �ti., t� m .11r. I .�� 3�� r e *• �iS� Y n ' `. '� T 1 .,y � r �� 5.,;1; N• 1 '� F .1,"Yi•��: Ari joIN iv� ...�... .. '„f 11rti 1 • :1 k. ��[ n. r 1 rh IkrP � � ; I d 1 1 � ;�' „ `� i►•? T , USI's I-nulti-level benchmarking allows clients to understand where they are positioned alone side competitors in the marketplace. ldonlily benchmark croup based on size, induslry and geography ■ Conduci comparison on benefits tyle and level, raics, contribulions, and eliclibilily ■ conclude and corm- 3unicate key differences frond benchmark sand agree on actions to reduces/iricrecislc: covcrc. qo Ammal hwdivitlual Qetiuetiltle (ht-Netwiclik( The IA—nq dwri Inchcmae the nh-nt Individual dod—W'1.e 1nN......I Ih1M Ilw nrnp5wee 1c resnnnsd+lam Inr Impact and Benefits: is Compare your bc:nefil pr6gran-1 to Similar o1'ga11i7c.7tions M Undorsland ]he local and naiional trends in boncfit programs w i=nsure aligns -n enl cif }Tan incentives and design with company sfrallegic goals ■ Savings are casc specific based on clieri l's stra legic goals .411-Y�rllln l.l9�,l ln,au nnr,'�_ pV1. _it0: il,.diy .I tJ HMO POS PPO Triple Option Fb, (1 lha hld '41 lFlNn 111411 11 I'„eJ9 1, II Ila'. it tr,IM, b1 IY.S 1119:110. ? FII 1'66.9 1 -11 e I r`r la 11 III l"a Il $!',III SIINNI n,15 w,. FI I1,I15tis 1{, IM lkl 12 111111'n 11 Sloul S144) IO ULT% 1. 0.1+0% U ij64^.4 v 11110% 0 3VAI I $/1FNI lollll'4 I j'.uo% I un"^y H 11 U1ry M StW -S iARI 600'4 11 Na,1u6 a 4114% 1; t11A 1", 11 S:'41Fi f MFM, II II1M 11 n nil' 11 4 M.% I 111111•'A ll SNMI1.51!,147 a (M)% a n 110.. n (1 00% 0 0 a�1^- 0 S-41.$4,441 4nt)w'. 1 H(N1,6 n 44'11-1 l Uhh`�;. 11 sJU01-$4 •..On 000'Po U pun4 0 I1 i10'S+ S4".411 f4`gr+1 0116'!6 11 ll fi"., 1, 111111".n 0 011114". 11 $",0000'more O.Oa% 0 26.00% 1 0. 0% 4 0,00%. U Over.M Tom[: 100,001. 10 100,0014 4 100,00'% $6 100.00;: 0 Ovelell AvernOe Oedudlbir $$20.00 111,025.00 $1,460,40 {0,00 Total minus No U.ducllbre. 100.001. 5 ,00.00'. 4 14,0,00'4 5" 100,011.4 G Average minus No Deductible: $1,660.00 $1,925.00 31.731.68 SO.00 Impact and Benefits: is Compare your bc:nefil pr6gran-1 to Similar o1'ga11i7c.7tions M Undorsland ]he local and naiional trends in boncfit programs w i=nsure aligns -n enl cif }Tan incentives and design with company sfrallegic goals ■ Savings are casc specific based on clieri l's stra legic goals .411-Y�rllln l.l9�,l ln,au nnr,'�_ pV1. _it0: il,.diy .I tJ USI"s Benefit Resource Center (BRC) provides. individualized support for Employee benefit plan interociions ■ U51 employces provide- resolution for clevaied clairns, billing and eligibility issues -Answer benefit plan/policy cfuc:slions ■ Assisi wilh eligibility and claire problorns will, conic is ■ Provido claim appoals inlorrrralion and prc,c._c-s5 -Explain allowable family stratus eleclion changes ■ HIPAA Cornpliant All irrcluiii(�s arc: docunaenk c:l in e-7 call ircaeking syslern Utilizalion ieporis c}c neraiod quarlc riy .........— — --- – Critical Incidents: 10 Inquiries: 159 Follow -Up Notes: 180 Our BRC Saved You: 130. 75 Hours Average Hourly Salary: $50.00 Per Hour Our RRC Saved You: $6537.5 "r Al :.Ullr Util ln5 mTw;a Sorvkx - All rlohis reserved f Impact and Benefits_ Roduco your cost of employee benefils administration. Avol ago- Saving of $2.00 per month per employee ■ Relieve, HIR siafl iroin finie speed on c: tdrninislrolion to focus on sholorlic HR functions - Irarrc�casc�ci c�n�plc�yc�c> salisiaclion and awarc:rless of beri fill plans - Quarierly reports provide insight on cril'ical communication improvement opportunifres 24 ek 'A W Zlfid ;.M 4 VOW 1 . i. USI's Communication Services team creates strategies to promoie lhe employee benefit plan and engage employees W Assess effectiveness of multiple communication channels (e.g_ Mobile, internet, 'print) for a key message regarding W A change of plan or set ling of care, 0 A new wellness campaign a A change of law 8Managing qualifying events a Design a strategy that defines key messages, audience, and tactics a Provide on-going benefit communications to reinforce key rnessages and drive behavior changes Brochures ■ �j Recorded Presentations • Webcasts ■ Mobile Applications WkC7 ■ Wellness Fai'rs ■ Lunch -n -learn;:, ■ In Person Meetings ■ Electronic Packets dient Websitos 'vf6&fl.�e'Commun1cO0 Impact and Benefits: ■ Gain the full value of changes implemented to reduce healthcare cost ■ Prevent costly ernployee r-nisu riders] andings regarding changes of coverage slalus ■ Rcliove FIR staff from time, spent on administration to focus on strategic HR functions (average 10-20 hours per event) 1 -_5 t` !t e li 1 41 , d AI •1 f {� - t `' Aye. (1 ht '�.'• � r i � � I- �.. LLQ,-, USI evaluates online enrollment vendor capabilities to meet client specific needs for benefits administration and enrollment ■ As technology and social media pi-olife- Pale, oniploycrs demand resources to communicate and enroll their benefit plans in the n -lost cost effective and efficient i-nanner ■ USI's technology consulting resources evaluate the full specirurn of solutions in the market, as well as design and assist in Itic RFP proccss ■ USI's account managerricnt team coordinates coMrrlurlicalions between vendor and relevant insurance carriers Employee rerh -"1 Illd :;Ulf. lJ>;l if uinnfm All nUYas rs:safvnil Impact and Benefits: ■ Ensure appropriate vendor selection and financial investment to meei specific goals and objectives Reduce HR burden for vendor selection ■ Improve c,wollr-hent experience, accuracy of administration, consisienl comrnunicatioris to employee's l 26 1 � F 1�1 � i� � , � '� ::I,.<. , � �h ryM'�w. 7.r J 'ro. ' ' •_. i.. i% USI deploys multiple tools to communicate the plan design, contribution options and appropriate disclosure notices Cuslomizod comrnunicalions it)cluding col-polato rriessage, and branding ■ Produce Beneiii guides, annual benefit sfatements, wobinars and on -demand ci icollrnent moelings via Brainshark, eloclionic or print copy Include federal and local disclosers, e.g., COBRA, FMLA and olher notices affecting crnployce rights 0 D 11 ,�., 11,. i 151 Ini,u t. „i -i.« 'ilh uph9s n,,..n y,,.} Impact and Benefits: ■ Significantly reduce Hf? rrrcanager Iii-ne and resot.iic in managing enrolim nl Improved guc--rlity, tycr_uracy and compliance elemoril of communicalion doer, M01 -its 'turn-ko y nc-lw hire enrollrnerif conirimnicalion r 27 USI's client specific calendar documenIs critical deliverables and facilitates advanced planning • Identify and agree on objectives as a team • Develop timoline and key deliverablos - e.g., Claims review and forecasting; Compliance Analysis; timely delivery con-imunication pieces; Wollness, strategies • Measur(..,, to ensure complelion and quality of doliverablo-s • Provide appropriate adjustments based on emerging issues during f lie year -;III 111H,10,11il io—. All t ltllhlc v-1 lr-r)pact and Benefits: - Alignment of expectation and deliverables of USI team and clients - Documented process provides accountability arid irnproves efficiency a Ensure limply delivery of key 11-1ileslone-'s w Incorpor-alos rylulli-year objectives into current action plan 28 A-- A health -promoting environment attracts top talent, reduces medical costs and absenteei'sm. USI Population Health Managers evaluate data and recommend solutions that improve employee health status. OCA NO ■ Analysis, ond I T I( ( 1,1_11 C�5 I., . ■ T, 0L)r,,( I prc)qrcirjj • collord urwurAi d lurn key OMNI comintirliCotions ■ Veandor SelOCIjOri ■ I(Itqr'led pro(Irarin Plot Irliw i I '44 • Team of Locally Bciscd, Nalionally Networked Wellness Consullan h • Slrderlicn lo Improve Engagen-cont • Wcflh("Pro( rom Feasibilily Ajr,Cjjy5j; • Piogican Design, Implernenfation, Reporling Targeled Communications to 11-TIPI-OVO, Engagernonl • Prodidivo Modeling & Large; Claims Anqlysk... • Diseaso Engaged, Healthier, Productive Employees & Lower Medical Costs 1 29 M ���i� r (ks� ' ✓ ."�lYG11YdY1�.IviaSrrW.k fl�,�'�F'~'•. •. s t5 � r'f�="`I(r r.', a k `r, •r ^,, a �} s �ft�jy� rfr r�, �iS. ,' I,! 11�ti ;"IF_y ?, �l,}s3'-�� rte, i"' �{ �� ♦ lid's /•�".'±}� UST's multi-year CORE Health Strategy delivers claims savings through incentivized physician engagement, targeted disease management and comprehensive reporting. ■ 705; of Iho US population dons not have. can active 1--wimory caio relationship ■ Prorroling primary care physician u--lationships facililales lowc,r co"'I inlotactions within tho healilI(xim system and oncomaclos pioacfivt, hc:allhcare, management ■ Physician engagpmenl helps to promolc; early do loclion of polenfiol caiasirophic claims ■ USI assists with the design of lite ancial incenfivcfs for nic"a-lb yrs to c.Sr�rtcc�c� with f}acir prirrtcary care pliysicicar7 r r [mn+vy.er ., •;r I p.. ,,.��.. .::.I I•.' r,al�raria�sn �r6wra^rr,. — moo . r;q;q.zgt6 WO YnSurat%c4, ,.=r�i�c�s. All ggh;�wu �ryrrl Impact and Benefits: ■ E,limate.d cost cavoidcarrcc, can ranee, from 3-5% cif crMnUcal and significantly reduce lone' -form ireand ■ Cosi neutral inccnlivc: design ■ Mitigate emerg. ericy room vi,Jls and inpaf em[ days ■ Early cle,tr'clior) and avoidance: of catastrophic Claims 1 30 ^ .moi.. dY ,1�V1*-": •,v .:�ifr� � I�,S,.. li 1� USl"s strategy io incentivize employees to engage with their primary care physician reduces high cost drivers and improves employee health. ■ Lcss Man 30',,(") of US populalion has an active, primary carc; telalionshil.) ■ Delerminc; current physician engac:lernc;nf Icvel ihiough carrier and US' l proptieiQry analytics 1001 ■ Design financial incentives 01-OUnd plan & contribution siructure to increase primary care utilizalion ■ Use data to evaluate tho piogram's ctiecliveness and provide fulurc program direction PCP Impact on ER .0 Inpatient utilization .00 14. sI I 1O."N 4 di^ ^N.9 [!!ivt', 711?0I'. ut i, +!'. '•a JE r, ±Ir' r. Impact and Benefits: ■ Employees wills active pirnary carc rola-lion-,hips expe .nence 40% lower rale of E IR services clad 33% lower inpaiicnt admissions, resulting in an estirialed 1-3% reducti01_) Of 10101 pi ogrcam cos l Willi proper incentives, 70-95% 0l participants establish active, printery care relationship wilhin 12 monihs 31 USI's strategy to incentivize spouses to engage with their primary care physician reduces high cost drivers and improves spouses' health. ■ Spouses typically account for 20'.' of lho population bui incur 30"/� cif total healthcare claims ■ Determine current physician engagernr;nt level Ihrouclh carrier and USI proprielary analytics lool ■ Design financial incenlives thraucth plan and conlribulion slruclurc; la increase; primary care ulilization ■ Uso dela io evaluate the ptograrn's efle ctive:riess oriel provide fulurc} pro(tram direction ( CII Impart on rad & 1npatii'nt Uliliaatinn twin 11 1 )1 114 '0 41 ,Irl il,ilA tri :,,1114 Si t:441'. ?h /ptti .{17/Illi, a11;1)Ik 717 11) 1n -41-44P --*i'[i --4l- IIt1,,.l i -•til 11 1Ml bOtt rraiVt! Se:fmirs. A!{ rlcttits iC;3ervrj I i Impact and Benefits: ■ M .rr tiers with aclivc ptim ary care lelaijoriO-)ips experic;nce 40% lower rate of ER servic(�,) and 33/ lowor in-pallernl adrnissiollr., resulling in an estimated V7. reduction of lotal program COSI ■ Wilh proper incer-Oives, 60-80/10 of spouses establish active primary caro rc;lalionship within 12 tnotill.s 1 32 UST's proprietary "Take Charge" programs provide a low-cost, high impact solus ion to promote effective diabetes and cardiac condition management. IN High blood p-essure, high cholesterol, an'.d diabetes aro they most prevaloni chronic conditions. Combined they account for 10-20`;x) of total healihcale claims. ■ Generic: disease n-ionagement progrelrns unalfiliated with primary cure have; little to no irnpact on managing Ihe,se. undoilyinq conditions. ■ Within the USI CORE Health strategy, high-risk employoos are inconfivizc:d to adhore to disem , n-ianagc:rne1r)t protocols. Hecilttly Individual vs. Managed diabetes vs. Unmanaged Diabetes a 52[l.tlntl V 1i,IXA1 4 u = $1111N%1 r, z, 0 0 c $11 2014 71115 21)1(. V112 2+118 )i119 )IQI1 4—U11111111I.W-d S9.6W Sin Wr, Su.eeril SI M-4 114,1.11 5 .,'.'.K s1r,111 .. 111--ManaH�d }e�, lr,u tie, lJl. 5/,4yA SN, I'1'1 x:'1,0!`7 59;'11 511;913 '. -6--Nnn &dwtu 54,JOI SgG)n 51,.ORJ 5':.5no ;1,.1.1<� SG,71a c2An1 . Source: implementing• intensive conlr9l of Nvod glucose'converilrrllun end' blood pressure In type 2 60beles In Engl lnd: 7osl nnelysis (LIMIDS 63): BMJ 2002.325:860.1). _ � , . ; i I>•I IriS'lrE1nCR �',�sldcw,a.. A;i 1i+d il•= r .�„r:�,'I Impact and Benefits. ■ Carrier- based DM prograrns typically cost $50-$100 PEP`r', yc:l reach only 1 `,°,2 of II rcc popula liorti ■ Estimated total program cast savings of 1-37. assuming $700 cosl avoidance pe:,i crigacted liic.rh-risk individual w0h diabeles and $2,000 per cardiac: pcatietil ■ Significarrlly increased 'adhorenco to DM protocols vs. using a ganeric DM programs 'ective"isil � i•i 33 S1 USI's extensive reporting and analysis quantifies program effectiveness and directs future program changes. ■ Measure, program paHicipallon and P-Tipact on year over ye-ar uliliznfion ryiekics: e.g., ER inpulicni visils,, lwullh Analysis of data idenlifics arcus of improvorm-ml ollowing us to plopose. P10(:JR-11TI dC�'IcJll Oil harlCOn ion ts lo t-Ticol desired cilleiia Impact and Benefits: ■ Dorrions1rate. ROI of CORE Houllh S-1raiegy J1.1rough icducQd ulilization of high cost C -N Vic e -S Quantify improvet-nent of employee health ■ Clear guidance lor [uluro prograrn focus wilts lacficol iferyis USI's National Compliance Team, including our in-house ERISA attorneys, provides expert guidance on new developments and ongoing requirements affecting health 'and welfare plans. ■ Tearn of Locally Based, Nationally Nefworked Compliance Attorneys ■ Monitoring of all Facets of Health and Welfare Guidance, Including Slatutes, Regulations, and Case Law Heallh and Welfare Plan Compliance Education Health Care Reform (ACA) Impact Analysis Tools x Ongoing Articies, Workshops, and Seminars State and Local Benefits-Relatod Issues s- ComplianceGuides and SampleDocuments • Assistance with Natic€, sand,Disclosure Requirements Timely, Comprehensive Analysis 13. USI's local and regional attorneys work directly with clients to provide guidance on specific issues affecting employer sponsored plans • USI compliance of lorneys ars; embedded in local client service teams, know our clients and the challenging issues they face Attorneys work alone side our underwriting, population health and account consultants to recommend client specific solutions 4% s.. .. _ f .♦_tir_ Lla �i ...n..+,.. All ihjhlSr._!gA +j Impact and Benefits: • Included in our standard service offering • Real time, comprehensive recommendalions • Networked compliance: learn across tIhe country for additional broadth of knowledge 1 36 USI's national compliance Team identities exposures and offers remedies to assist clients' compliance with state, federal and health care reform laws • USI's local atlorney idenlifies, key c7rc,as for ccamplica11cc Inviow • Reviews status with regard to key Ioderal we ltaic Ic:iw compliance issm s ■ Discusses issues identified through thio rcMew • Proposes action iterns to address issues and rriiligaio potential risks Sunmiary Review_ Federal Heal0i and Weltate Gumpllanue Issues awl •, • I - ....:, ..,.nil- •.�.. e.,lrr ... `""',,, t' 1. 'i w'2014-2P16USI Alli7gtd{Et+,:.:rail Impact and Benefits: • Identify exposures to penalties Mat can be up io several hundred thousand dollars under vatious b nefil related laws it tcluding ERISA. ACA, and HIPAA Provide strategios and larocedure;s to wiligale c,xislinq and elitTlinafo future c�xposLJI-Cs ■ Reviow process is included in our siondard service offering 37 In-depth analysis and guidance to help employers navigate through complex rules, regulations and plan strategy decisions ■ National compliance team provides employers with a detailed road map to the multitude of requirements affecting health and welfare plans 0 Toclical advice regarding implementation and consequence management n) tOQ 14 1 A ( I Sl 1, in Ll ro 7 r e Sk, F v tu,s Al I i i 9H s - v!;e rvwJ Impact and Benefits • Substantially reduce HR team's iime investigating complex issues • Timely, relevant and accessible material written and inlorpreted by out, in-house a H of ney team ■ Provide comprehensive_, and practical analysis ■ Recommond specific action items for employers and employees 38 M Impact and Benefits • Substantially reduce HR team's iime investigating complex issues • Timely, relevant and accessible material written and inlorpreted by out, in-house a H of ney team ■ Provide comprehensive_, and practical analysis ■ Recommond specific action items for employers and employees 38 UST's national compliance team monitors, interprets & communicates federal, state, and local legislative developments • Tin-ioly Health care Reform updale s and geacral compliance alerts a Employee tcicinq communicalions n,buvre l Orr%R Fee lar Fnur>Ih kdralr I=.°nlr',1110UrarrnrcE,<;,,V,Vrn[..nlbn+,VhfSn:nf^Jr,.,;l: Impact and Benefits: • Subslanlially ruduce HR ICCAM'ti tirne. investicialinq complex issues • Timcly, rolevanl and accessible maleriol wrilien and inlerpreled by our in- 17ausc_: allorr1ey 100M • Provide c ornprohcrosivc: and prac.lical analysis cel ledoral and slate 1(:Jslcflivo developmenk • Recommend specific action items for er-riployers and employees I 39 . UST's national compliance team regularly monitors and communicates pending compliance filing deadlines - Idonliiy cappropriuie compliance and disclosure: filing iequirenl nt based on eMployc'c size, location and coverages Inierpret and corrimunicate impact and required caclioi is ley employers Timely reminders of filings and fee: pnymenisr i.e., PCOR'I. 5500s, ibinsutat'ic.:c` ic::c Form 5500 The Basics of the Annual Reporti Requuament for ERISA Welfare 6enefd Plans Twr lrA.mrrm nit.am:�[xr mi. Medicare Fart D Requaeni wwhr M.Y9f419rMLiXfAillr r� .ea�Z..wN." w .... "n.wr,. rre•uu,..�weuv.r 4iw-...,r ,nr r..r+.. weaY Junu�.wrn .uw,.mwyYH �ene,kw+•+••,.�.w � YMIKMVNI wr�o •....a.rawu.,aw.a."e��.�9rn.imxir..r. II,I Ir,1ur.mie S.'rr¢:es.AN tr4_ht% npwrvud Rrr4rlrerl Rartnihnn R w � ,�..... .. .. .ru n.. w��w .. a.. �.. w.., � x�•rn r • Yr"r.rnr,reY,dr,wa.nr+Y.."u�. r...nu. r� Impact and Benefits: ■ Reduce or avoid significanl penalties (e.g. $1,100 per day (5500) ) ■ C.Onlinuou sly supporl HI: "itaff with updated requirements and model notices - Comprehe;17 siva, easily understood foals and communications 40 USI's national compliance team provides informative webinars and semina► -s regarding legislative developments and interprets impacts to employers ■ Regular national and regional seminars and webinars with live and recorded access ■ Focus on the most pressing issues of the day • Identify key takeaways and next steps �:att (NI lncu+rinco ';�,.'.fV14eF: All r,g! ts_,vRr3yd Impact and Benefits= • Quesfion and answer sessions will'i our compliance experts to provide clear underslanding of the issues ■ Tin-ioly and informative 141 4N, P4 -,:j T M 9. Cardiac USI's team of consultants and clinical experts provide detailed analysis and deploy innovative solutions to reduce healthcare cost without sacrificing quality of care. Gaps in Cardiac Care vs. Norm I Bct+l APF..r, 2 F,th Al 359 Nbe,I. wlh.LA InN aFflc. ural 1,, the I.,t 12 nvwAhsr 3 ndi, AN ]so PdheT)h5 %i�! ouk in the las! I —Ihs, 4 Bath Al 3SO P'tj'—b -ftKo4A MVUhYPNHP4deMiC drugs in the j4s« I'* .4 12 nrontlr3, 5 Pn+ J,.P 196 WILyOt ACF M APR in 16 12 —Mh, 01 Itil tTi,,;IIrm)uu.Services All riyJ,IF resrrva,) Focus on Reducing Unit Cost/frequency for Care Alictjja] ive Reimbursement Strategies • Reducing Gaps/Risks in Care Alternative Settings of Care ROI Analysis and Modeling Constant innovation to Reduce Cost and Improve Quality Creating Cost Management Solutions USI°s implementation of consumer pricing comparison tools can reduce member out of pocket expense and overall claims cost ■ The Third-pc.irty payer syslet-n creates a lack of underslanding of clualily and of price sensitivity on behalf of consumer/members Leverage transparency tools to improve employee awareness and reduce expense in conjunction with Nigh deductible plans f Bi T114%111 X11845 T2S1 11111117111Y� . 71r�11� 5�^ Making 5- iim SI �m St.tina S),Inl 4v'Sen Siam Lue9mo MRI (uu'tou wst) PNWA •. S•en _. s .�. 5.1 m1 Si.•l+' �a1 9- ^if-...1)tsl tr+s7:uar ;e. HI mak; r, 1.7�IIIIInvll�al'�`IY i srm *yn 4�w1 511•. f ac 1117y Ha5•?d tilaep Sturdy (rw�.�.'wrrnavi - L Impact and Benefits: ■ In-Nefwork pricing car) vary by up to 3007/0 for cerlain procedures w Typical estimated employer savings using fransparency tool range frornl -3% of overall claims cost ■ 50% reduction on employee out of pocket expense for applicably: procedures sloe Making USI's analytics team evaluates the cost savings opportunity to redirect members to a telemedicine solution and away from high cost alternatives ■ Routine or self diagnosed issues can often be resolved by a ]:Tone call to a physician; eliminating need to miss work, or Ell visit ■ Analyze eligible charges to perform projected ROI calculation ■ create communication pieces to increase employee understanding V2014-20 I ii 1114 imoranre ServwoA, All nuhmkwserv"d f S Impact and Benefits: ■ All estimated 5O%p savings in elijble chat(- cis or 17o r( cducvlic�n in total claims ■ Increased enipioyee productivity by eliminating 1 sick day per employee per year ■ Increased employee satisfaction by improving tlexibility of benefit plan ] 44 AA `647 A� E SFr I L w N IN I'M. N USI's Pharmacy fools provide cutting edge, transparent, cost management capabilities to reduce pharmacy spend and enhance employee offerings. L • Clioni Specific Pharmacy Trend and Benchmark Analysis • Porformance Analysis • Rx Pricing Strategies • Rx Prograrn Management Strategies • Specialty Program Review Eliminate Excess Cost & Reduce Pharmacy x.41 RIt L • Clioni Specific Pharmacy Trend and Benchmark Analysis • Porformance Analysis • Rx Pricing Strategies • Rx Prograrn Management Strategies • Specialty Program Review Eliminate Excess Cost & Reduce Pharmacy RIt L • Clioni Specific Pharmacy Trend and Benchmark Analysis • Porformance Analysis • Rx Pricing Strategies • Rx Prograrn Management Strategies • Specialty Program Review Eliminate Excess Cost & Reduce Pharmacy Negotiate PBM contract language lo ensure favorable definitions, appropriate pricing, and rebate sharing. Pharmacy costs are unique in Ilial c:artior/Pharrrrcacy L'enelit Mancigor (PQM) typically earns profit in Ilse cu,jl or ilr(cloin-1 us Opposed to Il)c; cost of insurance or administration ■ Conlract review is applicable; to bolh c ML-)c,rctctr.�d c.`Urric r pharmacy solulions and carve -out plans, USI provides a 7 -point conlrcact review to facilitcale negolicrlion of lavorable: te=rms and pricing. Including 'bul not linzil+ d io rc bale t ni-irrs, AWP discounts and brand definition jj�.� �.L 1 =ice. ✓ Wit'.. '{A 441k, '� k`-j�: �j rj C�✓ t/ , M, — — , �:", I I . . N I . . 11114-"M I1, W', 1-owrni'n Impact and Benefits: ■ Savings of 10-155-0 of pharri Lucy cast ■ Zero dirupticrr io rrlernbe;rs 1 46 USI reviews ancillary benefil- programs to manage and measure plan effectiveness, maximize value and employee satisfaction Derine Customer Needs > con"Ilpel-ifive Marketing > Managing/Measuring Vendors • ROI on Adniinistrafiot,j Prograrns, • Achioving SUporior Dkcoullfs • Finding "Best in Ciciss" Vejj(-Ior� s anc, carriers Establish' Porformal-ic(> Goals - Monil-or Resul-Is > Ancillary Benefit Programs a Disability, Dental, Life, STD N Roluin lo Wolk, strategies a Suppler-nerilal and VOIunI ry Plan's a Aggressive Negotiation and Strategic Plan Design 1 47 .r' US1's aggressive marketing and packaging of mulliple coverages with a single insurance company creates efficiencies and cost savings ■ Many carriers offer a full ranee of ancillary coverage and discounts when mulliple coverages are purchased ■ USI analytics (earn aggressive: annual markeling of benefit plans creates a competitive environmumf reselling in best in class pricing Volume $30,222,500 $30,222,500 Life Rate per $1,000 50.098 $0.110 AD&D Rate per $1,000 $0.016 $0.010 t Monthly Premium Total $3,445 $3,808 Annual Premium Total $41,344 $45.696 r Volume $3,144,483 $3,144,419 LTD rate per $100 $0.580 $0.520 Monthly Premium Total $18,238 $16,351 Annual Premium Total $218,856 $196,212 Monthly Premium Total $21,583 $20,159 Annual Premium Total $250,200 $241,908 1.716 lJSI All r�ghis rw;. ry-;1 Annual savings Amt $18,292 Annual Savings ��0 7.0% Impact and Benefits; ■ Mul1i-line discounts range from an estimated 1-3% per line of coverage ■ Consolidating coverages creates opportunities to add additional free services such as CAF', approximately $2 PEPM of value Ease of billing administration and claims processing with a single carrier t 48 W& > ,� n . �r ti<' � n em�a',•e{e Y*w;",",u{y �w�ragmMe!gf M�%?'�"Lw'RR'q;,r'37� "M'111II"�"N'4''.P1M�i�`PII J, V �1 USI secures multi --year rate guarantees to simplify employer budgeting and reduce long term cost • USI's underwriting and analytics team negotiates with muliiple carriers for the most favorable pricing and long to. guarantees ■ USI monitors experiences and market trends for opportunities to further reduce rates in second or third year Life and ADBD Benefit $200,000 $200,000 5200,000 Guarantee Issue Amount $200,000 $200,000 $200,000 Reduction Schedule Reduces to: 65% at age 70; Reduces to: 65% at age 70; Reduces to: 50% at age 70 55% at age 75; 25% at age 55% at age 75; 25% at age 80 80 Waiver of Premium 6 month elimination period; If 6 month elimination period; If 9 month elimination period; disabled prior to age 60, disabled prior to age 60, If disabled prior to age 60, benefits extend to age 70 benefits extend to age 70 benefits extend to age 65 Rate Guarantee 1 Year 3 Years 3 Years Volume $26,638,138 $26.638,138 $26,638,138 Life Rate per $1,000 $0.190 $0.160 $0.090' ADBD Rate per $1,000 $0.030 $0.025 $0.010 Monthly Premium Total $5,860 $4,928 $2,664 Annual Premium Total $70,325 $59,137 $31,966 $ Change From Current N!A -$11,188 -538,359 % Change From Current hUA -15.91% -54.55% �:'U1�1;n1"li`",I lri�.�rni�ii.+�`,. i,:h -, AIS nipl l^ro:,, ,. ;, •.i Impact and Benefits; ■ Mitigate annual trending increases of an estimated 3-570 of prerYiiurrz • Improved or-nployee satisfaction due to stable contribution amounts l 49 Our Con-iniitrnent to You...... Next Steps USI will deliver cost containment and avoidance strategies leveraging robust analytics and deep expertise to ensure that your benefiI plot -is beet both your needs and budge L • R( -,,view and sign corilmd if s+-flecled cis wirinar of the RFP • Initial Mecling/Benekil Audil wilh Cily of MK.imi HR iearn 0 Discuss Service Ccilendai m M'',(,l Willi C-1lYcA 0 Markeling of lhe City's b(n ielil proqtcily)s it 1101 Oil Cordrad - Dcivellop Conimut iica I ion Sltc.il(,ciy 1 50 Appendix m Case Studies w Detailed Analysis m Team Biographies COMPANY BACKGROUND The Company is a telecommunications firm that is an advanced technology leader in the areas of wireless communications and aerospace systems and engineering has more than 850 employees. KEY CHALLENGES The Company had a fully insured health insurance plan and implemented a self-funded health insurance plan. As a result of introducing a self- funded, the Company now had to include an IBNR analysis with their financial statement. Al WON W I I.;I Ihertr:;nrc: };r-ry wtis. All IiyttSg USI SOLUTIONS OFFERED USICG's Actuarial team performed an ONR analysis that met the requirements _set by the auditors and is compliant with the current Actuarial Standards of Practice. QUANTIFIABLE BENEFIT TO THE COMPANY Analysis met the requirements and expectations set by the auditors. 1 52 COMPANY USI SOLUTIONS OFFERED BACKGROUND ■ USICG's Actuarial team performed an Other Plan Employee Benefits (OPER) A global Company, specialising valuation and provided a report r6flecting both the retiree medical obligation and in flavors and fragrances, has expense. 436 plan participants. ■ USICG provided further analysis of various design changes to reduce the cost to a manageable level. The valuation provided the Company with the required information to make their financial statements compliant with their applicable accounting standards. ■ USICG worked with the Company and its auditors to finalize the appropriate entries in its financial statements. KEY CHALLENGES The Company's health plan included retirees. The Company was not aware that they had to recognize the full obligation for their retiree group on their QUANTIFIABLE BENEFIT TO THE COMPANY balance sheet and as a result the Company was out of The valuation was compliant with Accounting Standards and provided the compliance with current Company with information needed to assess the long term.cost of the plan and to 'financial dcccoumodify . � m odify t�d•design of the, plan to miticaie the ,. cost'.ngstandar s , 53 w., .., 1till` I Ills r,a"r, .,i a,. ,4 :+:• i- +-+l,. - ... - .. COMPANY BACKGROUND A 182 life group specializes in the manufacturing and distribution of food sauces and marinades. KEY CHALLENGES The Company spends $2.9M annually on their health plan and needs to reduce cost. The cost per employee is very high as they have rich benefits and heavy dependent enrollment. The Company has been on a self-funded plan for over 25 years. �`� 7U14 7(19 Ca I.JSI lrtsurnrrce S+ss1fu�. All riytris reservers US] SOLUTIONS OFFERED US[ evaluated the existing plan that included a bundled Administration, network and insurance solution from a large national insurance company USI`s stop loss benchmarkirly analysis determined that an increase in the specific stop loss deductible level would be appropriate - USI's proprietary stop loss program offered the following benefits: - 90 day rate lock - 2nd year rate cap - No laser on renewal QUANTIFIABLE BENEFIT TO THE COMPANY Premium savings of $86,800 due to market competitiveness and $26,000 due to specific deductible increase. Additionally, the new carrier reduced aggregate claim livability by $181,000 or roughly 10 of total liability. - In total the client reduced maximum cost by $293,800 or 10;x'6 of total program cost. - The early renewal process allowed.the client to secure final pricing well in advance of open enrollment and allowed adequate time for planning. . l 54 COMPANY BACKGROUND A 500+ employee self-funded group specializing in medical diagnostic testing, research and manufacturing, with distribution units in several states and sales teams throughout the United States. KEY CHALLENGES Due to multiple large claims, the Company faced a significant rise in self-funded medical plan costs that would negatively impact profitability and drive a significant increase in employee contributions. The insurance company classifi&d the -high-dollar claims as "continuing'.', and anticipated similar clair*-in the coming year. ;I NJ lt :t JS I I I is br-wW� )I %f 11 1 USI SOLUTIONS OFFERED N USI team obtained and reviewed detailed high -dollar claim data that exceeded 50% of stop loss deductible while protecting personal health information (PH 1). a USI team reviewed our proprietary 3D data to evaluate continued risk factors and probability of future claims focusing on ernployee/depe ride. tit status, i.e. 0. ctiv(-., retired, disabled, age -limit, expected return io work dates, etc. W USI medical director and underwriter evaluated the likelihood of tuf ure large claim expenses. 0 US[ team negotiated removal of one large claim from renewal projections resulting in a lower claim projection. a USI was able f o lower th6 stop loss deductible (laser), and also reduced specific and aggregate stop loss premiums. QUANTIFIABLE BENEFIT TO THE COMPANY M The Company reduced claim project -ions by $150,000, eliminated on additional $150,000 deductible, and saved $60,000 in..s top Loss pi cmiurn. Total anticipated savings were $360,000 on initial renewal cost- of $2,500,000, or 14%. I COMPANY BACKGROUND A 470 life medical technology Company with core expertise in neuromodulation. KEY CHALLENGES The Company changed carrsers at their prior renewal and was facing a 23.7% renewal increase from the new carrier. Based on the short time and limited experience data (five claimants over $100,000 in the first 5 months), the Company did not feel the renewal was justified but was also not interested in changing carriers again. ` 02014-t01b trll huttranre. Sarvicuu, All ngtitis reser 4w- US1 SOLUTIONS OFFERED - USI's Underwriting & Analytics Team had a full reporting portfolio established which enabled the Team to review and assimilate all available data. - Both prior and current carrier report claims on an incurred basis. This made for a seamless integration of both carriers' claims data into a rolling 12 month analysis. Large claimant information was available from each carrier. An exhaustive analysis; of claimants' diagnosis and procedure codes was completed. This revealed that there were eight carryover large claimants from the prior carrier to the current carrier. The Team's analysis revealed a dramatic decline in pharmacy claims dui to cr hinh priced drug not being in the incumbent's experience. QUANTIFIABLE BENEFIT TO THE COMPANY The USI team's renewal projection was a 9.2?0 increase based on a complete 12 months of claims, maximum large claim credits and an aggressive position rnlative to carrier retention. Carrier profit was reduced. The carrier ultimately provided a revised renewal of an 11.4% increase. The Team's knowledge of the client, data analysis and aggressive position were instrumental in saving the client over $776,000 in renewal premium. 1 56 y COMPANY US[ SOLUTIONS OFFERED BACKGROUND . The USI team assessed the dollars being spent by covered dependents. The tearn A 300 life maintenance supply iof--)served significant claims generated by spouses on the plan - alrnos1 40""'3. company that specializes in ■ The team presented two orations designed to address the cost of working spouses wholesale distribution of on the plan: hardware and building supplies - 1) Working spouse carve out with signed cffidavit for the multi -family property industry_ - 2) Working spouse surcharge with signed affidavit The client selected the working spouse carve out with signed affidavit, which resulted in the removal of 20 spouses from the plan. KEY CHALLENGES The Company was spending almost $3M annually on its health (QUANTIFIABLE BENEFIT TO THE COMPANY plan and needed to reduce casts. Over the last 18 months, the total dollars spent on spousal claims were down by almost 89'0. This savings was directly tied to a reduction in the number of spouses Historically, the plan design accessing coverage through the employers' plan. changes were restrained in order - The. US[ solution represented an annuol.savings of $78,000. to reduce employee disruption, . When reviewing.total claims for- the group, spousal claims now. represent 35% of the however given the rising costs, total cost of fhe program. thdt mindset wcis ch'dnging. 1 57 COMPANY BACKGROUND A 260 -life law firm in Ohio specializing in corporate law and commercial litigation. KEY CHALLENGES The firm has separate benefit plan designs for Partners, Attorneys, and Staff. The HR team was heavily taxed with the burden of collecting, communicating and maintaining the numerous materials needed support these plans. Getting and keeping the attention of the Partners and Associates was very challenging M4-2U'16-tNt 6esLit tinct iCHs. FUI nrp,I: na�:r •,r: r rl--'� USI SOLUTIONS OFFERED USI created customized benefit guides for each class of employee. USI gathered all the relevant information for each plan and created clear guides for use at open enrollment and throughout the year. The Benefit Guides included all required notices in one easy -to -read document. USI created recorded open enrollment webinars, including links to relevant documents, to be emailed to employees and spouses to watch at their convenience. This tool was also used for new hire orientations. ■ USI worked with the HR team to create customized monthly communications to highlight key information to help the employees become better informed consumers of the benefit programs available.. QUANTIFIABLE BENEFIT TO THE COMPANY • The Company saved on estimated 10 hours of HP time in preparation for open enrollment, improved the experience of the employees and drastically reduced time spent answering follow up questions from employees unable to attend meetings_ ■ The. Company saved an estimated 5 hours per month on an ongoing basis with the introduction of the''benefit guides and the pre-recorded new hire presentation. I 58 COMPANY BACKGROUND A restaurant chain with 89 locations from New England to Virginia and approximately 350 employees enrolled in the health insurance plan. KEY CHALLENGES l Reaching employees at 89 locations ---many of whom had no access to computers at work. The Company decided to limit the enrollment meetings to just one at the corporate location Plan design chanties took a long time to finalize. USI SOLUTIONS OFFERED The USI team developed a customized strategy to reach itis Iargest nur7iber of employees and their dependents, providing them with the information needed to make enrollment decisions for the coming plan year. • The approach included multipif; mediums of communication: • Mailings to employees horne • Web based portal for enrollment • On demand meetings via Brainshork • Mobile technology application QUANTIFIABLE BENEFIT TO THE COMPANY ■ Aso result of the corn rriunication carnpoign, the employer was able to: • Deliver 85% ID cards prior to the effective date • Increase high deductible plan enrollment by 30% • Update 79% of beneficiary designation forms • Increase voluntary enroll'r-hent from 8"'0' io '13517. • USI created the open enrollment booklc:t,,the clien' t -branded website,: and the'on- demand video presentation, saving the client approximately =10 hours of HR time, at an estimated value of $5,000. 1 59 ,4_ • , l 'syr, -e I � 1 It Pe -. r• US1 i 02Z ^ ..�.. 1.1.....,...� :i...»,..err.-_.. � s. ► .__ __.... ._,�.� COMPANY BACKGROUND A 300 life supply company headquartered in CT that provides products and services to clients across the Commercial Building & Facility, Healthcare, Food Service, Hospitality and Recreation industries. KEY CHALLENGES Rie administration of the Company's benefit program had not kept pace with other technologies in their business. The Company was unwilling to add a much needed HR staff and the CFO was looking for similar efficiencies in HR administration they had seen in procurement and distribution. n _[}14-YU16 11`il Insurmrlce Sur -Aces. M nr11,1•. i :::..•r US[ SOLUTIONS OFFERED ■ The USI team identified the enrollment process as a key driver to simplify the administration of the benefit plans. ■ USI worked with the HR and Senior Management Team to identify additional priorities to simplify their administration platform. USI evaluated the capabilities of several vendors with respect to their client's needs and identified the vendor with a customized solution to meet their plan enrollment, benefit administration and communication needs. QUANTIFIABLE BENEFIT TO THE COMPANY The introduction of the Benefit Administration services allowed the client to centralize enrollrneni, electronic eligibility, employee self-service and carrier billing and payment services in one application resulting in greater efficiency. ■ As a result they did not have to hire an additional benefits specialist resulting in a net saving of over $40,000. 1 60 COMPANY BACKGROUND A township in the Northeast with 1,100 active employees and 200 retirees covered under their. group health plans. The group has 4 separate union contracts and 15 different plan designs. KEY CHALLENGES To reduce costs, the Company decided to move many of the active employees to a high deductible plan HR staff was not equipped to answer hundreds of incoming questions regarding changing to the high deductible plan. t,_In A7�7iti 1751 Lr54'.1=onc., s�avS..ii r�.p�. n USI SOLUTIONS OFFERED USI implemented the Benefit Resource Center to operate as a single point of contact for benefit questions and assistance regarding plan choices during open enrollment and throughout the year. �I USI Designed custorrlized communication materials to meet the needs of retirees in this transition process. I QUANTIFIABLE BENEFIT TO THE COMPANY ■ The USI Benefit Resource Center received 725 incoming inquire-,, i( presenting 150 hours of saved HR staff time. An outside vendor had proposed a similar service for $2 PEPM or$31,000 annually. I 61 1q, s'r, t i17Y►0t?fin+iol Al COMPANY USI SOLUTIONS OFFERED BACKGROUND ■ USI Account Management team used proprietary benchmarking tools to evaluate The Company is a 300 life the Company's benefits offering as compared to other companies in the technology company located in technology sector in similar cities. 15 cities throughout the Midwest- = USI determined that the client was offering several 100% employer paid ancillary benefits not available at competitive firms. ■ USI recommended a change to contributory plansfor life, LTD and dental. The Client was pleased with the recommended changes and was reassured that their benefits were competitive in their efforts of attracting and retaining key KEY CHALLENGES employees. The Company spends $3.6M in fully -insured premiums annually and seeks to offer a rich benefit plan as a recruiting tool for top talent. QUANTIFIABLE BENEFIT TO THE COMPANY Due to financial constraints the i The employee contributions of 25% towards the cost of these ancillary programs Company was seeking to make amounted to a 590,000 savings for the employers. benefit reductions but unsure of HR did not experience any negative feedback in the new hire process regarding the effect on employee � retention in several key offices. i the contributory benefit plans. 62 to_,ttw uIil U51 Itt.,tr,trw. I:�yhlx r ,i COMPANY USI SOLUTIONS OFFERED BACKGROUND W USI conducted a complete analysis of the Company's benefit programs, premiums, The Company is a 700 -life and employee contributions and compared each prograrn with regional peers. pharmaceutical Company with 0 US] idenfified gapsin the current program and recommended solutions through locations throughout the United additional group and voluntary coverege's. States. a US] identified areas of the program in which the Company was providing benefits farin excess of peers and worked will'i the, Company to crealo a 4 -year tra risition strategy to modify existing plan designs to create a compefifive and comprehensive package - KEY CHALLENGES This Company has grown rap�dly from a sfart-up in 2001 to a major QUANTIFIABLE BENEFIT TO THE COMPANY player in the pharmaceutical �ndustry. 0 The incumbent administrator had not ad!ustod fees to account tor the Cori 1pc-.iriy',; rapid growth. USI benchmaiking of adr-ninisttafion fees provided leverage to The Company offered a benefit negotiate a reduced fee of $12 PEPM or over $105,000 per year. plan reflective of their start-up 0 The additional medical plan option and change to employee contributions saved roots and needed a careful $342,000 per year while n'iaiintaining a program f hafexceeds peer company evaluation to transition to -a bench'marks. program-thot could sustain Thr- _)rnpdny cl -)ose -to �&allbccflb ii-)uc'h ol �hese_sovirigs lo new dental, shorl-term growth and achieve shareholder disability, and life insurance benefits f& the first fimd, Ihefeby improving the benefit results for the long-term. pack'age for et -nployees at no additional'cost to the employer. 63 COMPANY BACKGROUND A 375 employee rapidly growing Bio Technology company in the Mid -West. KEY CHALLENGES The Company offers a rich benefit plan in order to compete for top scientific talent, and the costs were spiraling out of control. The Company had struggled to implement critical solutions as it had no formal planning process and management, lacked the time needed to consider and... communicate strategic solutions r,_m14 iIrjl) US11ryst,rEnyz:e SE:rvl�sr5. Fl1i i�ipfil5 rtrs�-rxo'.: USI SOLUTIONS OFFERED In consultotion with USI the client identified the solutions they wanted to implement and the time frame for each of them overthe noxt 3 years. rhe service calendar then defined the annual and monthly activities necessary to execute the plan; - Mid- year planning and review - Early renewal - Form 5500 Filing - Total value for employees - Communication and education campaigns QUANTIFIABLE BENEFIT TO THE COMPANY As a result of this formal planning process, the client implemented a high deductible plan (CDHP) and converted io self -funding. - 1 st year savings achieved from converting to self -funding resultc: d in savings of 81, or $300,000. - Estimated savings over a 3 year period from implementing a CDHr pion is approximately 3/10 iin trend mitigation with a cumulative savings over the 3 year period of over $350,000. - USI increased leverage with the carrier by negotiating an early renewal, and reducing renewal rate increase from +12°0 to +3%, the largest reduction from the carriers renewal target the client had ever experienced. 1 64 '1 f R •tin_.. � �I.�.i,Lli]1NY8IJMw+t a,..�., -- , r COMPANY BACKGROUND A West Coast -based manufacturing Company with 625 employees on the health plan. KEY CHALLENGES The Company spends $7.2M on the fully insured health plan and was regularly experiencing numerous high cost claimants and above average claims trend. The Company is looking for alternatives to -control long term., r cost other than: cost ,hifti ng to employees. u':2 Tii -i ^)7f'n11I4 I ,.r xi s vi,.ui"-,All r4El I ii J I k'hl L1. USI SOLUTIONS OFFERED USI identified above average disease prevalence, daps in care, and higher than norm emergency room visits and in-patient hospitalisations. • USI implemented the COBE HEALTH strategy to address the: issues in a comprehensive manner. ■ Company implemented a 15% prernium differential incentive for employees and spouses to complete they i annual primary care visits_ ■ USI engaged a third -party Disease Managei-nen1 vendor. • USI provided detailed annual tracking and reporting. QUANTIFIABLE BENEFIT TO THE COMPANY ■ The Company experienced a 60`�� increase in preventive visits, which are vital to identifying potential high-cost claimants. ■ The number of non -admitted ER visits dropped from 55% to 41'1'0, i.e. 25% roduction in non-critical ER visits due to primary care relationship., ■ Average renewcll increases droj�ped to less 1-han 5% in iho past 3'-year5 from over 10a, in the preceding '2'years 'for can approximate savings of more, than $1,100,000. .... f_.�.....—r..--....—_..�..� ... .,.-.- ,...�_... COMPANY BACKGROUND The Company is an international land and shallow water geophysical service companies with 725 domestic employees on the medical plan in multiple offices. KEY CHALLENGES The Company spends $8-1 M on the se4f-funded medical plan and has seen higher than average increases over the past years. With a diverse geographic employee base the Company has struggled to implement an effective wellness program. Tj ti; t11:1 Insw iaors All rights ra wrvcd. USI SOLUTIONS OFFERED USI's Population Health Management teem reviewed the. company's data on preventive care utili?ation and noted low compliance with physical exams and recommended preventive screenings. • USl created a step-by-step communication guide to help employees find an in - network primary care physician and access preventive care at no cost. USI recommended a employee premium contribution differential (discount) of $50 per month/$6®L per year to incentivize employees to see a physician for a preventive visit - QUANTIFIABLE BENEFIT TO THE COMPANY The company experienced a 50% increase in preventive visits with 69 ,;� of employees participating. As a result emergency room visits have decreased by 15% and inpatient days by 22 o. t - I 66 3 COMPANY BACKGROUND An 1,100 employee group in Central Missouri. This regional medical center provides comprehensive medical services. KEY CHALLENGES From 2010-2012, the Company experienced double-digit healthcare increases despite implementing a results -based, .t USI SOLUTIONS OFFERED • USI's Population Health Management team reviewed the company's data and noted severely low compliance for spouses with preventive physical exams and recommended screenings. • USI created a communication guide to help employees and spouses find on in - network primary care physician and access preventive care at no cost" USI recommended employee and family differential (discount) cif ?0`:to incentM-, e preventive -care physician visits. QUANTIFIABLE BENEFIT TO THE COMPANY on-si e screening program. - In 20 13/ 20 1 4, 94/0 of the employees and 36`io of spouses participated in 11 ie company's physician engagement wellness program. The Company plan members' a As a result, emergency room visits have, decreased by 17.5`,'x, in-patient days by 30''Q'; s inel9ud d obes�t hi h and spousal ctc�ims by $117,000. main chronic condition y, g cholesterol, low back pain, and } diabetes. . ti :tYt.l i°III�J"iii. L;mr rr it ii All 1 67 ^n' COMPANY US[ SOLUTIONS OFFERED BACKGROUND W USI implemented the CORE HEALTH strategy in the first year of engagement with this An 1,100 employee group in client. The initial phase of CORE HEALTH focused on connecting employees and Central Missouri. This regional their spouses to a prit-nary care physician, medical center provides 0 USI implemented a targeted disease management program in year two to provide comprehensive medical secondary tesiing to those individuals with pre -diabetes, diabetes or heart disease. services. The Company covered the cost of the secondary Testing. ■ USI's preferred vendor- connected tine results of the secondary testing to the prir-nary care physician, specialist, and the patient. KEY CHALLENGES Obesity and sedentary lifestyle are contributing factors to the QUANTIFIABLE BENEFIT TO THE COMPANY high prevalence of high blood pressure, pre -diabetes, and highs individuals participated in the secondary testing. cholesterol. Consequently, the = The projected cost avoidance to the company by properly mana( ing diabotes is Company has a significant risk of $7,000 per participant per year. diabetes and cardiovascular W The projected cost avoidance to the company by properly managing heart disease. disease is $2,000 per participant per year. 1 68 e _rti1,1 `Uir".tltil All ngttt5 P s., Ld r 'i COMPANY BACKGROUND An 1,100 employee group in Central Missouri. This regional medical center provides comprehensive medical services. KEY CHALLENGES It is estimated that 70% of the Company population is overweight or obese, which is a major contributor to high blood pressure, high cholesterol, low back pain, and diabetes (up to 25% of claims are tied to Diabetes) :Jn I4-H,1F: USI I: ts.mr:r.aSwoc:., . fill 09hlr. r', orv' . USI SOLUTIONS OFFERED ■ Based on client's data, USI recommended the client implement a premium differential incenting employees to visit their Primary Care Physician and complete a tobacco affidavit In year two, USI recomMended the company: - Expand the program to include benefits -eligible spouses - Implement a chronic disease management program USl provided a detailed impact analysis of the plan design and wellness program. ■ USI implemented an audit to identify key opportunities to target obesity_ The CEO launched a two-year program, such as removing unhealthy options from the cafeteria and offering Weight Watchers classes, aimed at improving the health status of the employees. QUANTIFIABLE BENEFIT TO THE COMPANY a By implementing a low-cost, targeted CORE wellness strategy, the impact analysis illustrated how the campany saved over $500,000. 0 Decreased FR Utilization by 28°x' Decrease d'Inpdifient'Util'izdfion by 40%. 1 69 COMPANY BACKGROUND 8001 employee Manufacturing company predominately in California & Texas. KEY CHALLENGES The Company has 2 different insurance carriers in 2 different markets. Texas has 300 full-time employees that were not eligible for the plan. California had 120 employees on a Private Exchange with individual plans, i7:101rt.}1018 tAl snsLoant.xi Sorvlcgs. All r{S}hm res,oivEd r� USI SOLUTIONS OFFERED Prior to engaging USI, this Company was invited to regularly occurring USI Compliance WebinClrs regarding compliance issues under the ACA. USI legal professionals worked with the Company regarding their existing plan designs where it became apparent that issues such as reimbursing individual policies, discrimination testing performance and ineligible full-time employees needed to be addressed. In addition to other factors, Company was impressed with USI's local approach, as compared to their current national resources with no direct access_ The Company fired USI and altered benefit strategy to conform with ACA rules. QUANTIFIABLE BENEFIT TO THE COMPANY The Company avoided up to $4.4M in potential penalties by dissolving the practice of reimbursing individual health insurance coverage. ■ /avoided negative tax implications on participants and flee employer through discrimination testing and alterations of the plan. ■ Addressed the uncovered full-time employee population by offering a meaningful, low cost plan thus removing a potential $1.54M employer mandate liability. l 70 COMPANY BACKGROUND A 300 employee group that specializes in the design, manufacture and distribution of medical equipment. KEY CHALLENGES In UST's new client review, it was determined that they had never filed a Form 5500, but they had been over the 100 plan participant ERISA threshold for 16 years. In addition, they did not have a Wrap SPD, so each line of coverage was considered its own plan. All rttaryr_ t,9m ,r.wt US[ SOLUTIONS OFFERED USI collected Plan and Schedule data, and assisted in the preparation of the delinquent 5500 filings for the 16 plan years. ■ Because a Wrap Summary Plan Description was not in place for the group, occh of their lines of coverage was considered its own ERISA plan. Therefore, 4 separate 5500s had to be prepared for each delinquent plan year. Using the Delinquent Filen Voluntary Compliance (DFVC) Program, USI helped the company to limit their penalty liability to $4,000 per plan. USI also provided sample Wrap SPD documents so that the company could work with their legal team to wrap their plans into a single ERISA plan, and 5500 filing going forward. QUANTIFIABLE BENEFIT TO THE COMPANY Federal penalties for delinqueni or non -filed Forms 5500 are up to $1,100 per, day, per plan, per plan year with no cap Under the DFVC Program, penalties per plan are $10 par day up to a $2,000 cap for one plan year, or a $4,000 cap for r7zultipie plan years filed together: • A DOL audit could have resulted $55,000,000 penalty per plan, or $200,000,000 total. -With USI solution, the penalty was capped at $15,000. The wrap SPD document allowed for a single Form 5500 filing in the future. l 71 COMPANY BACKGROUND A 100 life company with a fully insured plan and a health reimbursement account (HRA). KEY CHALLENGES The Company faced penalty exposure due to the fact they were not receiving timely notification of compliance deadlines. a, • — M a ..,,Lill USI SOLUTIONS OFFERED USI provides timeky reminders of key compliance deadlines and upcoming requirements as part of regular legislative and regulatory updates. The Company was unaware of upcoming PCORI fee deadline, bui received a reminder email from USI after opting into our disiribution list. The Company reached out and learned that while insured on the medical side, their self-insured HRA was subject to this nominal fee and needed to be paid. ■ The Company was happy to receive a timely reminder, as well as, the knowledgeable account staff that assisted in this process and directed them to appropriate forms and tools. QUANTIFIABLE BENEFIT TO THE COMPANY • Timely complied with the PCORI fee filing requirement. • Failure to do so may result in penalties. (theamount of the tax) and interest on o late payment. 172 CJ $014-7lJ11i ilsl Ifi."11r9r5[:L' `ieevice5 r'l rigW4 rwK.trvLii t s �GY,iI..''YJrt4l ufi=wMq'.'�YiLa.t Waww- ... COMPANY BACKGROUND A 3,000 life fishing company across several locations in the Northwest, with 1,500 employees covered under the health plan. KEY CHALLENGES With limited benefit experience among the HR staff, the company invested valuable time and resources to understand rules and regulations regarding employee benefit plans. The Company was unsure of the impact of the employer shared responsibility, provision of the .Affordable Care Act pdrticUl rly given a high nurriber of seasonal employees. r e:l!Oid-9t)16.U514i Suni,, je,AlIrig tits r'asermi.. y r 1t, 4 ' �r USI SOLUTIONS OFFERED • USI provided the employer with several guides regarding COBRA, FMLA, and the employer shared responsibility handbook, which summarizes key requirements of the "pay or play" low. • In follow up, the account manager and compliance attorney met with the client to conduct impact analysis and addressed additional questions and concerns. • The employer regularly refers to the handbooks as their "playbook" helping them to develop their "pay or play" strategy with relevant vendors, including a new payroll system. QUANTIFIABLE BENEFIT TO THE COMPANY • The employer mitigated costly external compliance fees as well as 80+ hours of internal research tirrne by referencing the USI guides. • The employer avoided penalties of at least. $6,000,000 by re -designing their benefit offering based on USI "pay or play'`' stratir-gy analysis outcome. 1 73 COMPANY BACKGROUND 350 life employee manufacturing company it) the Northeast. The group had been fully insured with the same carrier for over 5 years KEY CHALLENGES The Company has limited HR resources devoted to the employee benefits plans The Company has not maintained plan documents and has failed to meet some notification requirements , gIJ4 '?016 tlti9 Jr-ourntice Servrees RII Aghts- msetjed. 1 � I ,fir .y1 i USI SOLUTIONS OFFERED • Upon engagement with the client, USI conducted a comprehensive compliance review and identified several daps, including old or non -existing plan documents, lack of appropriate COBRA and FMLA notifications, and delinquent Form 55001 filings W USI provided template ERISA wrap and wrap SPD documents, as well as sample notification letters USI assisted in the completion of delinquent filer forms to mitigate non --compliance penalties i ■ USI invited the client to attend our quarterly compliance update webinars to story abreast of new relevant compliance requirements_ QUANTIFIABLE BENEFIT TO THE COMPANY Potential penalties levied by the DOL and IRS for the absence of plan documents and other gaps USI uncovered could have exceeded $150,000. w By completing the voluntary delinquent filer forms, USI was able to cap the penalties to $4,000 per plan. 174 , COMPANY BACKGROUND 1500 employee aerospace manufacturing company located in the Mid -west. j KEY CHALLENGES The group currently offers mental health and substance abuse benefits, and their prior consultant had indicated there is opportunity to reduce expense in these areas. While cost savings from reducing these benefits may be available, the group was not aware of'fhe potential compliance issues such a decision may -create. USI SOLUTIONS OFFERED USI sales team presented 1he issue to compliance resources who identified potential violations under the Mental Health Parity and Addiction Equity Act (MHPAEA). This act mandates that when provided, rTIental health services (Ind substance abuse disorder bonefits are covered on the same basis as other medical benefits. Dropping these benefits from their plan would also trigger a loss Qigrandfathered status, so it was important to review whether there was a value in nnaintaining dint status. Compliance also pointed out the potential for issues under the Americans with Disabilities Act that should be reviewed by employment counsel. QUANTIFIABLE BENEFIT TO THE COMPANY The company elected to maintain mental health and substance abuse benefits after consultation with USI and their counsel. Failure to comply with MHPAEA may have resulted in penalties, including $100/per affected participant per day_ The company elected to pursue other avenues for cost containment recon-rrriended by U1, 75 COMPANY BACKGROUND This Company is a 600 life group that awns and operates retail eye exam and eyeglass stores around the country_ KEY CHALLENGES The Company spends $3.1 M annually and was facing a layoff due to business climate issues. The alternative was to drastically reduce the employer healthcare costs through significant contribution increases or reduction in, coverage. �-i2t}is{.?!i7Gti5311nswaau��:;aavi:-ad AV!nghiSreaservca. USI SOLUTIONS OFFERED ■ USI identified a claim savings opportunity of 13% by moving to a high deductible plan and offered transparency tools as an additional service to reduce employee's exposure to overcharging by providers. ■ The employer reset the employer contributions based on the new plan and offered employees the option to buy up back to the traditional plan. ■ USI initiated aggressive implementation and communication campaign to explain the high deductible plan and demonstrate the value of the transparency tools. ■ After several meetings and many email communications, over 80% of the employees elected the high deductible plan. QUANTIFIABLE BENEFIT TO THE COMPANY = The projected claims savings for the high deductible plan were $:20,000. The, cost of the transparency tool is $36,072 per year, for a net savings of $284,000. = Employees reported strong satisfaction with the high deductible pian in part due to the clarity of expenses provided by the transparency tools. 176 r. - COMPANY BACKGROUND Arizona based property management company with approximately 204 employees nationally KEY CHALLENGES The Company was facing a relatively large premium increase due to poor claims experience and is seeking plan changes to off set this added expense. The carrier reported higher than normal emergency use as a key driver of renewal increase. ."� �U"1 �1-:7(718 L1tiLlri:bci r�in�:.� `;iii vi�xi s.AGI rlglNs: re�crvuii�: USI SOLUTIONS OFFERED ■ USI identified increases to office visits and errnergency roam copays than roducod the requested premium increase from 0.2, to 16%. ■ USI implemented a telernedicine solution with $0 copay as an alternative for members needing basic primary care. ■ USI communicated the new offering to employees through the open enrollment process and email correspondence. ■ USl performed an R01. calculation to illustrate the savings opportunity - QUANTIFIABLE BENEFIT TO THE COMPANY ■ Initial premium savings of 6% due to plan changes. ■ There was a 33.510 decrease in the utilization rate for outpatient professional emergency room visits and a 1-1 % decrease in the utilization for outpatient physician office visits. ■ These reductions in utilization and lower net cast for servicesgenerated s'ovings of over $140,000 drid requested increase: of. only 5°0 in. the tolfowing year: 1 77 COMPANY BACKGROUND The Company is a supplier of building materials in Arkansas with 500 employees enrolled in multiple locations. KEY CHALLENGES The Company spends $2MM (or approximately 30%) annually in pharmacy plan costs. Plan costs were rapidly increasing without a clear explanation as to the cost drivers. US[ SOLUTIONS OFFERED USI identified significant improvements in contractual tem -is to reduce costs without modifying member bernefils. US4 negotiated more competitive renewal discounts off of Average Wholesale Pried (AWP) for the Company, including higher discounts for retail claims. USI negotiated 1001 of the rebates be passed through to the client in lieu of their current rebate credit. USI narrowed the definitions of generic and brand name drugs to ensure greater adherence to guaranteed discounts. QUANTIFIABLE BENEFIT TO THE COMPANY = By negotiating more competitive discounts off of AWP and receiving actual rebates in lieu of a rebote credit with the current insurance company, USI I produced savings $178,000 with no benefit changes to the pharmacy plan. 178 ., _O'l4 :".?7.4, Lt`;I tnsurtinr--e S r—izues. A4 ri{alts R.tmiyu3 f I�MM4Ytl1Y�r.t - M.�-, ••n ,,,. � -_.._._...,....�,...�r•u.xrria�'�a r.�.....�-�.r.. T COMPANY BACKGROUND A 130 life group specializing in the review of clinical and drug manufacturing research. KEY CHALLENGES The Company is receiving a 120/0 increase to their medical premium and needs to find ways to reduce expense for other benefits programs. The Company currently has 3 carriers for their Dental, Life, and Disability- plans and is looking to consolidate carriers. USI SOLUTIONS OFFERED USI team reviewed current ancillary benefit package and determined it would be beneficial to consolidate all products with one carrier for ease of administration and to offer package; discounts. W USI team worked with multiple carriers to obtain the most compelitive benefits package through an aggressive marketing plan. The RFP process also included can analysis of the consolidated billing features of the quoting carriers. QUANTIFIABLE 'BENEFIT TO THE COMPANY By combining all ancillary lines with one carrier, the Company saved 16% in annual premium equating to $18,000. ■ By packaging all {fines with a single carrier, USI was able to negotiate a 3 year rate guarantee on the Line and Disability and a 2 year rate guarantee on the Dental. The program also includes a free.EAP program with the Long Term Disability plan, so the Company was able to remove their star`. alone EAP :dnd save $2,000 per year. 79 .. "' - P; 7rr S�1 .:?u1C,.4d tik-In.w rrn+'c `, r�4: r,r..r\El rirlhts n�ti�svati. . COMPANY BACKGROUND 650 employee pubic sector employer with Union involvement. KEY CHALLENGES The city had one opportunity during the collective bargaining process to set employee contributions for the following 3 year agreement. Unfortunately, the group had experienced several years of steady increases to their ancillary plans and were being told that a shrinking group size was compounding the problem. r,'01 1 .tO1u 41Si J s urdnue'S jIS:.s fill Mjhts tdsuvt:J. USI SOLUTIONS OFFERED Upon engagement with the Municipality, and as part of the initial due diligence, the USI team knew of a reduction in staff from the prior year that had improved the age demographics of the group. The incumbent dental carrier initially delivered a 15.4';yr renewal increase and an option of an 1€3 ] increase and a two-year rate guarantee. Bath options were based on the experience and an old census frotYi the Municipality_. The USI team convinced the carrier that the utilization and claims would improve drastically based on a detailed analysis of the departed siaff. As a rosuli, the teom was able to renegotiate the renewal including a two-year rate guarantee tm a 5.5% increase. QUANTIFIABLE BENEFIT TO THE COMPANY The first year saving due to the renewal reduction amounted to $54,000. The second year rate cap helped the employer to successfully negotiate the collective bargaining agreement in good faith.' Me Jose Ls Gonzalez 4 lu y= Vice President, Employee Benefits Coral Gables Jose L Gonzalez is the Vice President for USI Insurance Se vices, LLC. In his role, lie is primarily responsible for - consultim� with executive managernent as it relates to caraier employee benefit negotiations, underwriting and LL- claims analysis, optimization of wellness programs to re maximize ROI, as well as compliance to ERISA, HIPAA and the Affordable Care Act. His practice also involves indrlstl-v benchmarking. financial budgeting and planning, t' benefit enrollment implementation, and the design of effective employee communications strategies. Dllring his tenure, he ser-ved as the Employee Benefits Practice Leader ensuring the delivery- of high-quality insurance services and financial products to over 200 clients as well as servinrr as a coach and resource for the professional development of his clients' personnel, Josh has led several community projects on behalf of USI in South Florida. He has a commitment in sharing his time, talent and treasure with the communities we serve. In the Magic City, he supports and volunteers his time to local schools, promotes education, assists with health and human services, and cultural organizations. Mr. Gonzalez also sits on the Arts and Business Council of Miami and values the promotion and grotivth bet%ween the partnerships of the corporate and cultural cornm>mities within Miami -Dade. He has over 17 years of experience in the insurance industry and has consulted and manaUed a wide variety of clients in various industries. He holds a Bachelor of Arts Degree from Florida International University and a Life, Health and % ariable Contracts Insurance License in the State of Florida. Account Manager, Employee Benefits Coral Gables Raul has 22 years of employee benefit experience both on the carrier and broker side. This unique blend provides Raul with a high level of knowledge in client management and an unwavering commitment to customer service, with the ability to build productive business relationships, resolve complex issues and win customer loyalty. Responsible for the overall management of his accounts, Raul provides a consultative approach when resolving employer group benefit issues. His responsibilities include plan marketing, collecting and analyzing plan data, building presentations, cost analysis and providing professional support for Human Resources through proactive solutions and innovative resources and technologies offered by USI. Raul graduated with a Bachelor of Arts degree from Florida International University. He maintains a 02-14 insurance license for Life and Variable Annuities, and a 02-40 license for Health, from the Florida Department of Financial Services, He is also fluent in Spanish. rte - ERISA and Employee Benefits Counsel Over 20 years of experience advising clients in the area of employee benefits, executive compensation and ERISA, including: the design and drafting, qualification and ongoing administrational issues of defined benefit, 401(k), profit sharing and health and welfare benefit plans; the design, qualification and drafting 4r of nonquaVied deferred compensation plans (including plans for limited liability companies and compliance with Code Section 409A); the effect of corporate mergers and acquisitions on benefit and compensation plans; plan transfers, mergers and terminations; fiduciary matters; executive compensation; and ERISA related litigation; Representing clients in matters with the Internal Revenue Service and the Department of Labor, Clients include public and private companies, nonprofit companies and governmental employers. Negotiating, preparing and reviewing agreements on behalf of both management and executives, including employment, severance, consulting, change -of -control, confidentiality, and non -compete and other restrictive covenant agreements. Examples of Specific Client Matters: • Designed health and welfare programs and summary plan descriptions including cafeteria plans, self- insured health programs, and VEBAs tailored to the unique requirements and objectives of each employer. • Assisted employers with compliance and regulatory issues of all types related to their health and welfare plans, including COBRA, FMLA, and HIPAA. • Advised public client regarding the non-discrimination rules affecting insured medical plan and possible correction for violation of the rules. • Advised client with respect to freezing defined benefit plan, including reporting to the Board of Directors regarding the impact of freezing the plan. • Advised public and private companies on the impact of Code Section 409A on their nonqualified deferred compensation arrangements and amendments needed to comply with Section 409A. • Prepared employment agreements, equity awards, incentive awards and deferred compensation plans for newly formed public company. • Merged two 401(k) plans into newly amended and restated 401(k) plan and submitted 401(k) plan to IRS for a favorable determination letter. • Drafted profits -interest (type) plans for limited liability companies. • Amended qualified benefit plans and summary plan descriptions to comply with federal law. • Drafted employment, consulting, change of control and severance agreements for companies and executives, with complete analysis of golden parachute, 409A, 162(m) limit, restrictive covenant and other legal issues. • Prepared documents related to qualified plan merger, including plan amendments, board resolutions, updated summary plan description, blackout notice, and related administrative forms. Producer/Underwriter Mr. Plummer has over twenty years of successful, progressive, and diverse professional experience in client development, sales, service, healthcare analytics and underwriting.. Joe's underwriting responsibility is to work directly with the USI Producers and Account Executives in the preparation of statistical analysis to negotiate successful renewals with insurance carriers. Predictive modeling tools will be utilized to develop timely pre - renewal projections, benefit plan modeling, contribution strategies, and annual corporate budgets. Prior to joining USI, Joe spent seven years as an Executive for a regional employee benefits advisory firm responsible for healthcare analytics, underwriting, sales and service Previous successful experience in national accounts sales as Vice President of Client Development. Prestigious clients include Weyerhaeuser Paper, CBS Viacom, KO Communications, Revlon and Ford Motor Company. Joe holds a Bachelor of Business Administration Degree in Finance from Pace University, New York, NY. 7:77,7,7-77 , ^'h rl.7#. Employee Benefits Practice Leader, South Florida Steve is the Employee Benefits Practice Leader for the South Florida offices with USI. His role is to manage the operations for our four South Florida offices (Ft. Lauderdale, West Palm Beach, Vero Beach and Coral Gables) and support the team in delivering USI's service model. He brings a broad scope of expertise in all areas of Employee Benefits. Steve holds designations as a Chartered Healthcare Consultant (ChHC) and Registered Health Underwriter (RHU) with The American College. Prior to joining USI, Steve was a Vice President and Employee Benefits Consultant, and later Employee Benefits Practice Leader, with Brown & Brown. Director of Operations Annette joined USi in lune of 2014 bringing with her 30 years experience in employee benefits. As an Account Executive Annette provides her clients with strategic benefit consulting and helps develop comprehensive, cost- effective and sustainable employee benefit programs. Over the years she has focused on the large group market consulting with employers in various industries, including automotive aftermarket, healthcare, government, hospitality, manufacturing, non- profit, and service sectors on both a fully -insured and self-funded basis. For her clients, Annette evaluates claims experience and utilization, oversees the RFP process, conducts renewal negotiation with carriers, completes renewal projections, and has up-to-date knowledge of Federal and State regulations and legislation affecting employee benefits, including but not limited to COBRA, HIPAA, FMLA, ERISA, and 'Healthcare Reform. In addition, her experience includes assisting clients with communicating their benefits through employee meetings, developing communication materiais, coordinating health fairs and implementation of wellness programs. Prior to joining USI, Annette worked in the third party administration arena and as a benefits consultant for Mercer, and Hylant. Account Executive Dean Hitsos brings over 13 years of group health and welfare � n4=17 -> experience to USI. Primarily working with Bob Anderson, his responsibilities focus upon customer service, compliance, benefit renewals and marketing, open enrollment meetings and communication processes. His group benefit experience includes self-funded programs as well as all fully -insured plans. Before joining USI, Dean was employed as a Client Service Director for Gallagher Benefit Services, and a Benefit Analyst for Jordan Dynamics, Inc. Prior to entering the benefit brokerage industry, he worked as a Human Resource Generalist for various companies including Computer Associates International, Allied Signal/Bendex, Rexall Sundown, and Kids In Distress. His 14 years of H.R, experience include manufacturing, service, and non- profit organizations. Dean received a Master's in Business Administration degree from Adelphi University with a concentration in Human Resource Management, and a Bachelor's of Science degree in Business Administration, with a minor in Economics from St. John's University. He is fully licensed and authorized to conduct group Life, Health, and Variable Annuity transactions within the state of Florida. Wellness Director Jennifer Showers is a recognized leader and pioneer in the corporate- based health, productivity and wellness arena with 25 years experience. As the Associate Wellness Director at the University of Miami, Miller School of Medicine for 13 years, Jennifer paved the way to the development of their first employee -based wellness program. = This initiative eventually led to the groundbreaking and construction of a 17 million dollar state of the art Medical Wellness Center. She co-chaired the University of Miami's first Integrative Medicine Symposium and EXPO, has strategically developed and implemented dozens of customized corporate health programs and produced and directed a myriad of large-scale sponsor -driven special events. Her formal education includes a Masters of Education in Mental Health Counseling from the University of Miami and a Bachelors of Science in Corporate -based Wellness and Exercise Physiology from Penn State University. Prior to joining the University of Miami, Jennifer pioneered a grassroots health and wellness initiative for the Miccosukee Tribe of Indians of Florida. Through grant -writing, post -Hurricane Andrew, she obtained funding to transform an abandoned warehouse into a Wellness Center and site for Indian school health education. Her accomplishments with the tribe were recognized by the US Department of Health and Human Services. Wellness Consultant, Employee Health and Wellness 'F Cassie SalomOne currently serves as Wellness Consultant for USI's Southeast Region. Before joining USI, Cassie designed and r "Y implemented employee -based wellness programs for Motorola L nationally. Her 5 -part series entitled, Fitness Foundations reached employees nation-wide. She understands the importance of creative marketing, such as social media use, to drive highest levels of ti. member engagement. Cassie holds a Bachelor's Degree in Exercise Science with minors in Biology and Chemistry from Illinois State = University. She is also a certified Personal Trainer and Group Exercise Instructor through Aerobics and Fitness Association of America (AFAA). Cassie currently resides in Fort Lauderdale with her dog, Mojito. In her leisure time, she enjoys training for half marathons and reading. Vice President /Employee Benefits Consultant Patricia Bowen has been part of the USI team since January 2004. Patricia has over 20 years experience in health insurance design, She provides Senior Consulting to USI's local and national accounts on a fully -insured and self-funded basis. Her mail responsibility is to educate clients and introduce new clients to the USI philosophy. Responsibilities and Strengths: o Analyze, design and implement total benefit strategies o Communicate trends and marketplace changes to educate clients with updates in the healthcare industry o Perform analysis of renewals, claims experience, plan performance and budge projections o Underwrite carrier proposals for competitive alternatives, negotiate with carriers o Deliver client education including recommendations for plan design changes, funding alternatives and contribution strategies o Audit, edit and coordinate contracts with carriers and clients o Coordinate and analyze employee enrollment and health fair data for market position a Provide updates to human resource personnel in plan design changes, new benefit implementations and insurance carrier administration capabilities Prior to joining USI, Patricia was a Senior Consultant for Mahoney & Associates. During her ten year tenure at M&A, Patricia was responsible for the retention, and development, of large Commercial Accounts. Patricia is dedicated to maintaining quality relationships with her clients and providing her skills in offering recommendations based on the ever-changing and challenging healthcare marketplace lames WlDunn USI Southeast Region CEO As CEO of the Southeast Region, Jim Dunn is responsible for driving organic growth by ensuring that proven solutions are delivered to USI's existing and new clients. In addition, Jim identifies and acquires strategic X� partners with like-minded leaders and integrates exceptional talent into USI's growing platform. 04 Jim's experience includes fidelity and surety underwriting positions with Chubb and Ohio Casualty where he was responsible for evaluating financial, operational, and human capital risks. In addition, Jim was The Willis Group's first leader in Florida and lead their expansion from start- up status to multi -city locations over his 21 year career as Regional Partner. During this rapid expansion, this global brokerage firm was diversified from a construction specialty group with one location to a leading positions throughout Florida in Health Care, Real Estate, Manufacturing, Financial Services, and Employee Benefits. Jim also lead the integration of Willis with HRH following that 2008 merger. USI's Southeast Region currently includes 10 offices. USI's southeastern niches include Real Estate, Industrial Casualty, Health Care, Country Clubs, Auto Dealerships, Life Sciences, Logistics, Manufacturing, Financial Services, Technology, Construction, and Employee Benefits. USI's position as the 8th largest US broker is unique in that our client base is nearly equally weighted between employee benefits and property/casualty risks. - y Adeniv !Ma ar, �tS,A MA►�Al�i - r f.- u� VP & Actuary USI Consulting Group Adeniyi Olaiya is the Associate Vice President and Actuary in USI Consulting Group's OPEB Department, which consults on retiree welfare plans for approximately 200+ clients. Prior to joining USI Consulting Group, Adeniyi worked as an Actuarial Manager with a major managed care carrier in the Northeast region. His professional experience includes FASIC6 , FAS112 and GASS 45 Valuations as well as Life Insurance Valuation and Group Life and Health Care reserving and pricing. In addition to performing OPEB Valuations, Adeniyi assists the practice leader with the actuarial assumption studies, morbidity studies, plan design and pricing, cash flow projections, plan comparison studies and also provides actuarial support to USI Employee Benefits Consultants. Adeniyi is a graduate of the University of the West Indies with a degree in Applied Physics and is currently an Associote Member of the Society Actuaries, a Member of the American Academy of Actuaries and he sits on the program committee of the Actuaries Club of Hartford and Springfield. INTRODUCTION The success of any retirement and employee benefit program depends on the comprehension, participation and a_precialon of ble emplo'reas enrolled. That is why quality ccmmuni^ation is vital to the successful implementation of any benefit ,program. You may be communicating, but do your employees understand? Errtployers can spend upwards of 305 of an employees compensation on benr^:ts. Do you communicate C-13 V3"_i' t? '/Our emptoyees and are they receiving the communication campaign can and, most importantly, help employees rrs:a a. u�i,z_ and appreciate their benefits, WHAT WE DO •�'+_ :i a �.s-. _. fe`. _ _ ci" a =rnpioyee benefit plans. .,,. hlvi tl'� S'a�j=:r rr.i`==r, c.('_`-3. copy writing st<i115 and ud c~ n capabilities to help .; communicate benefits and other human resources i,s. as effectively to your employees. Our commuricat3on p.-_`essionais will work wv th you to develop a customized comrr.,nication program to suit your work force, project and buc'.,_t. Our expertise enables us to de€ivE!r irnc'fattVe communi'=on solulons to any Size employer virthout the casts normally associated with larger fi rms. THE IMPORTANCE OF ONGOING COMMUNICATION W-2 believe effective communication is more than a one-shot effort. Sta�iing in touch with employees requires year-round planning, rot just during the opens enrollment process. On an ongoing basis, regular communication such as newsletters, messages from management and benefit statements serve to promote employee morale and reinforce management's commitment to staff. OUR SERVICES pride ourselves on our flexibility in structuring a re'a-onship that best m=_ets your needs and the needs of your employees. Our strength is in providing a wide range of material; to keep employeas informed, remind them of important issues and keep the Imes of communication avid= open. Our sar Jr -es include, but are not limited to: • Hi&ights brochures • Announcement letters • Posters Postca. ds • Nev/sletters * E-mail campaigns ■ Promotiona! items Comprehensive benefit statements Printing and fu!hliment What sets our communication services apart from other consulting firms? • Our communication strategy and plan outline • Are develop content for any type of communication geared to any type of audience • `i,ie design and execute professional materials in a Cost- effecti,re manner V)e will implement the right strataay and ma'erials that will be most effective for your employees Understand. Service. Innovate. Our experts understand retirement and benefit plans and have successfully communicated these programs. We have won the respect of our clients due to our superior service. We partner with your plan administrators, human resources professionals, benefits brokers and financial professionals to provide innovative communication campaigns. Your employees can make informed decisions about their benefits; seiecttng adequate, but not excessive covera-2 and helping you achieve your benefits goals. 95 Glastonbury Blvd, Suite 102 Glastonbury, CT 05033 850 633.5233 w�row usicg com • CONSULTING GROUP INTRODUCTION ave been pr: "'I'^ D. -�'d Benefit I Actuarial services for over 35 years. Vi? -i e a Ii staff of professionals dedicated exclusively to defn ., administration and ccnsuldng, a -s 5,';'= as a separate _ -gyp n" dedicated to c r s'r etirement _ . ;-employm vnt compliance. We ad m ?r cr::7=s �_ _:a the country, ranging in size from 30 t- r -r-2 ter. i , 3 F�,nplcyees and have the experience ant! _- -....'f 7.1 b'/ir1 ou'Stand'ng s?rvica. klost _` / boa_ - .. ' ar!, C "gl' _:i ?n; 'Nit 1 a br_ac. ' cF s _ ? _ _ s? t -at, un rc, only the la-;?st firms co'_'':' v (vuvrfll baneflt from Ir :;_�? 1._� On, a cr3a�'.v2 approach to prob:!°ern-s•oiving and a tr�c-,a h understanding of your actuarial needs. OUR SERVICES Our Defined Benefit j Actuarial services include: • De -fined benefit plan va!uatons + Pian termina7on and withdrabva1 liability calculations s U -S. GA,' -.P under ASC 715 (formerly FAS 87/88/1321 • Interna Tonal accounting standard under IAS 19 • Government plan a�countirg standard under GAS 67/63 (formerly GAS 251(27) • PEGC and Form 5500 filings • Benefit calculations and projections • Plan design/cash balance plan and conversion studies • Mon -discrimination testing and compliance • Participant benefit statements • Merger and acquisition studies • Postretirement medical and postemployment liability studies (ASC 715-60/712-10, GAS 43/45) • Labor negotiation consul'in; • 82nefit and funding revision studies • Asset/liability projection studies • Web -based benefit calculation programs Participant call tenger and administration support CONSULTING PROJECTS Our professional consulta'ive approach leads to a partnership that ailj-ws for the bast possible plan design, financial impact and employ" appre�_iat:on. We work baith you to ensure objectwa3 are clear and will strive to maximize results. We embody the e:mp_rt'~se to man.a;3 the folla'Nina challenges: • Asset/ lia'lbdity st.�dles, cim'-_:nisdc, stochastic and Liability Driven Investrnent (LDI) ana°,�'s • Plan design stud'es and Cos}j =gin efit analysis • Risk management Plan terminations Harmonious pension plan, retirement and total compensation programs • Acquisitions and spin-offs • Complian-_2 PENSION ADMINISTRATION Full Administrjon and Benefit Service Center bpi_ have ,the technology to provide a simple, automated approach to managing many of your day-to-day administrative requirements. Our team of highly trained and skilled benefit administrators is committed to providing superior customer service and will work closely with you to ensure each Facet of your pension plan's needs have been met. Our services at both the plan sponsor ands°or the parbcipa:nt level include the ability to: • Collect, maintain and track all pian participant data for efficient recordkeeping • Calculate retirement, terminated, vested, disability, survivor, Social Security and Qualified Domestic Relations Order ("QDRO") benefits • pr�vie1,2 a; :"e farrns t' • PrePare d3-3 flys r?4'J 1-2j Use (= ' l - - b ability to produce a recornci! da'a tie far t--- etc.) etc.) • Pre, -are and M..3il 3n',-.J3i ern laye•e sn*-2 l -".s i r2-_-"1 t: participants • Distribute summary ann-,;al reports, Summary Plan Descriptions (:,SPDs") atc , d rectly is p3 �7cipant5 • Scan and retain participant communications, benefit ca'cula iions and retirement forms • Customize administrative reports to manage research and call back status re lue3t;, and to ensure timely pa•/mrnts are rade i' , il-oroaching age 65 and age 7054 notifrcat-i�ns, et�.j • ro,3r4ina'ta m3in'.J" 3"--2 c- r= r" information v4vith the paying a ent (� g, a =sig ta:c, and EFT chanes, death ncbficationi, e_.I • lmportJ-_:{port �la:a t, :."u fnti an'ysource (payroll, etc.) • Prepare govn_rriinenariul mdnagei—nont reports • Perform discrimira' sr. and comp, a -ca t_s�ng • Coordinate bene,it G vviti' ! J log ?gent, inck.iding are, f_rr., f p' , camo'_- an and appropriate d_-ou:":".'_gin • A.^,s'+ver part cipant toll-free calls concernlno earned and proiectrd b_nefi:s, completion of various forms, benefit PT --rut eptaons 3-nd data changas • Field m35cefl3neOUS provide retirement planning. inforrna ion a p13n irt?rPrata-on, • Field retiree calls ra;arding missing checks, data changes, eneral questions, etc. BENEFIT SERVICE CENTER WITH SELF-SERVICE INITIATIVE ha -v.` t:h= ov-era!l admini,tration of your 1 _ p!ar� t, _._, t^e full-service model ab;ove, „ = al;:) o r value -ad:! _J services through our self-service ina`.;e cation. The s_, `-service initiative is an innovative approach to not only e�`, a:nce the administrative services we provide, but also incra);� participant appreciation of your overall retirement bene".75 program, Through internet access to our defined benefit solutions portal, participants can: • Gain lmmediat-e access to ail types of information about t^eir defined benefit plan (e.g., relevant pension data, required administration forms, SPDs, etc.) • Use our proprietary benefit calculation system to perform vieb-based modeling and review different "what -if" scenarios based on various retirement dates At tl'e pla^ s0----3 :r ,,,e • Gene'a'2 re3:lrti t-- prn,','a? Iry^.`'ar(7 a` s: _ 3� tr� frequency of'r'reb Dale i C?n? It Ca : 3; ' 1 3 Y'1 employes • Provide 5eizrai le%/z7s ur us?r r_!'.:':—i ",. c3�2d onclient- definediecu'rlty sett rgi OTHER POST EMPLOYMENT BENEFITS ("OPEB") Cu., consaltanti have "uzen providing Ocher Pastemployment &2nefits ("OCEB"h a_-tua'iaf services since the effective date of FAS 4106 in 1993. Y, n rave a department dedicated to meetin;, empfoyers' OPE5 Prnanciai needs, including compliance with applicable accounting standards. This focus on OPER gives us vast experience in all aspects of the required accounting and plan design issues. We have assisted a majority of our clients In soma sort of sen,itwity analysis or projection scenarios, each time dehvering resufts with both fisca! and personnel issues In mind WE? have osier 200 OPt3 clients, inclu&na over 15C government arnployers. Our clients ran8a in Size from t%,+,o to more than 2,CC0 plan aart;cipints. €3agar&ess of your or,3niza:ion,'s size, our act:3aories and consultants-vMl provide You vAll1 the higheit qua!ity ser,,ice and the a ention you expect and daser•;e We have gained a reputation of providing cost-eFzctiie cons'tltin and as ,, solutions the' meet Our clients' benefit plan b'3ais and objectives. O,Jr dedicated team of group h and pension actuaries, 3.1rountants and heath care cc',s_iltants can assist you in meeting your compliance challenges by: • Performing AK 715-60,'712-10 actuarial valuations • Performin° GAS 43x''45 liability and funding assessments for public sector organizations • Assisting with the collection of valuation data • Assisting with the setting and sensitivity of actuarial assumptions • Anal zing the potential impact of these standards on financial stataments • Consulting on plan diesign to ensure consistency %with human resources' objectives and mitigating your ASC 715-60/712-10 liability • Evaluating financing and pre -funding alternatives 95 Glastonbury Blvd, Suite 102 j Glastonbury, CT 1 05033 1 860.633 5283 I Wvv-N.usicg cam CONSULTING GROUP =t11' . " .,_.--- _ .�.�.....� ..mss OVERVIEW A: USE Ccns'ting G ,p, ave a'e • -�]:__, to offer our clients the opportu;:� to,ourc~_,1� a-;nuity contracts through a ^ j o _l .. l -'� = _' T' service is ideal for clients tin their pens'c,n s_ n transact.,ois 3— :•i productcons0tants ar- to a;=".. _. _ __ r.:s and/or fimita ^s of a � , _ `=�6um ar^,n.;IC'/ pilrCna�. � :.`2ir SpeCIf1C Cas2�. WHAT 15 A SINGLE PREMIUM ANNUITY CONTRACT? ; 3- to transfer the promise t;, _: s ,.ro = a' y to a qualified - 3'3" -_ - _ -ed = .� r•_ ,-_. _ ( 2 a s ^..� 3 4"2 ;�. -, T ? prCn,i u,i3�'uii:-C Is r; L„-. '•X -j' .ng pra::rc�_s and by r. _ _ a C _ . ma' . >>_ _^cion pl.3n's liability. WHY DO PLAN SPONSORS PURCHASE SINGLE PREMIUM ANNUITIES? Plan Termination n c°; ..Ii a_•c, is a common reason for an annuity t -e r, _ ar the termination, the trust Fund grill no and pay pension benefits. In this case, the r=SCv c -1 r_abe passed to an €n3ura nce carrier, thus, allowing the trust to cease operations. Once the premium is paid to the insurarcn ca; .,�-. t'7e p': is no longer obligated to pay the benefits. Eliminate Mortality Risk Fernsion pians pay benef S until retirees and their beneficiaries are deceased. Thus, the plan must continue to monitor the adequacy of its trust assets to ful-JN this promise if retirees live longer than expected (morta!ity ris-"<). Many plan sponsors woou!d rather transfer the mortality risk out o- the pension trust, thereby eliminating the requirement to fund any mortality losses due to increased longevity. From the plan sponscr perspective, retiree mortality risk may be °-eater than the investment risk. Investment Return Guarantee' t, -.d aiiats "'`esti Certa n ii"i-astment rewrns to susta,n tilt continued o3i" ander th? pia-. Prudent and ongoirg investrrent ma l;- i; required to increase the probability for S ICcaSsful ,r, ';' :..J' S. At va,lous times, the a^nutty market provides internal rates of return in excess of those that may b-- achieved by parts Off the curr?nt pen51cr pian as -sats. By taking 0 a !,ar rasa of c : umstancvs in ,vIi& annuities provide these excess a--, u :c"r; fa, _ rases of return, investment risk assets and liaoilit es One-time FAS 88 Income The annultf p A clt3s� rr:1y a`3`,+f for' C -le re'ea�.3 of some urrec• a.,izad 2a ^ --l: „ : c3 i? . _. ? „ 2 ri5cal y, r,�y on the pians Asset Allocation Strategy ,s,_„ .i3__._. .io rtoer.s...ct".?po�,c'y'nla.<'SSense In v.{ 37r.� ila'J:lities. For e;fzvnple, a pension plan : retireas oni, ;-- .a,, .:t. v _-t from an asset allocation of 100Y., mcks, s -__ i":: =4: -,"come and liquidity are needed to c-e3:e cash for r. _-: `r c_ rasion payments. Fixed income 115left 3 is are import--, : ^?" --.,7 fur•,d:rg, yet tile'/ are di llcul t to manage due to the interest r3:_ r :.:s' volatility. An annuity purchase may elimina-' t"r 'r'3 3:"' associated with having to actively rnana;e tl,e pi3`s =:<_c i -come portfolio by selling those assets in favor of the a::;:r I: tnis approach is taken, it is important to re•ise the investment policy in order to ensure proper asset classes 3,2 in place to anticipate the emerging liabilities for the active that w1i r_~re in years a`-ar the purchase. HOW DOES USI CONSULTING GROUP CREATE A MARKET FOR MY PENSION PLAN'S LIABILITY? V e help plan sponsors identify the most appropriate plan participants to transfer as part of the purchase. In most cases, this will be the current retiree population and perhaps the terminated deferred vested employees. After these employees are selected, their payment data and plan specifications are forwarded to our select group of h quality annuity insurance providers for their consideration. Ea:: Insurance carrier is directed to submit their most ccmpel!i-- _ b or a speci"c date. This approach creates a market for your p?an"s per, c a :.ty on the bid date. Dependirla on the spreads ce:-,% - -- and lo'.veit offer, the bid of each carrier can, 3^,l r'.3;r C._..' ase t0 a&l Elie the most efficient mar!<et value on th3: d3y HOW DOES USI CONSULTING GROUP ASSIST IN THE FINAL INSURANCE CARRIER SELECTION? S3'ety, P`:�� a -I 1, Safety: A,! ca' ---s 2. Price: By 3 f.r 3-'.; ".1-, pr : --I is ar.",e `-, 3 Z a- to i 3-nour. of assets for bab;, atm- Using actuarial 0' C,-rLirr on the PreMiUr'-' C were priced j - a ? y Tr s insurance b ro'(E-rj cis pr:,', 3. Service: Ayer t-,- forrre-c in de,n-- th- 7 o -jt r2l a—, a s: HOW 15 USI CONSULTING GROUP PAID FOR THIS SERVICE? and a :' '5Ur1r1c? C_.'' C i 3 C 3 3 L7 r -2 Z; Yi� C"Ke C 2 standards r--, s bedisclosed in curpropos3 rL3you. SUMMARY OF ANNUITY PURCHASE SERVICES sp -2 c i f �.c a ;=ins an d a s s i -i ri '- ",o n s to b-2 by 3 s. • Collect and pry,:areparlb--ipan, data in the proper f3(,r3- and • Provide, via e:ra a' c:`a'O.:`-i7. on to r-_�' insurance companies irl ^is ma-kz-t. • Provide a c-1—.2---e-,i sz-n-:s_ :: v 's and respond 'to' carne' as ne--::-d to prop-',Jy price the plazerrent. • R.3v;ew carrier proposa:s ro, accu-3r-y and work to explain, any deviations from each 0'7_r. • Our actuarial s.3 ;," -- , fa. -2-ej bids thrrlEa=1 a v;luation to deter---- and pricing assumption; ';e?d C -2 7 -2 based A 7 L C THE AMNUITY PLACEMENT PROCESS On clad= -re -a5 3'� a.'o1jnd 12:30 10.m 3 0„�= to 1:1-2 --2 e = ens day .2 P i J tTrn e 5, tele ----ave various co rnpary. 3 3 0 -j-je q :2 3 3-3 b Service, a -d :, pa,-, • Y/ In e n a S .0 -I-,Iluity co',razt is received r- D, --,2 3= e -D a, the contrac' is r-2vievied to -:, - - . D , : � s -,- . :� ,- - — � - �i . :^ it haJ b-2:�n a; -?ed upon. Ov-.- years i,-,? h 3v^ r.----,) ao12 hD s3ve rrarrj cliar,3 s1g-lihcant d-ue to P-2rs in s'riVng to secu pr're ava'!� (in reiaton to the carrier q'A:iz,jjl -de of annuity comp3ries an any given day. OTHER INSURANCE PRODUCTS The i.-, -,r3nc� emerged: cepa .1 e premium buy-i� -,.=ducts to r 1 - - -- E---- .; -,,duc- `c 'n respect to (S]< lr3nsfer, ano :,I PJeaia contact our office ir you --2 to know more about these products and their features. ,-" , i j - 'i , i:, 1:r 2 i 3_, ba 3rl -! .,':pr' t"' -- I i '1' ; - -1'/ ',-. g 3 0 i I i tj 0f the is su in a insurance cc mp 3 ny 95 Glastonbury Blvd, Suit2 102 1 Glastonbury, CT 106033 ! 950.633 5233 ' WWN UsiCg conn CONSULTING GROUP 223 q.l INTRODUCTION Cu, regulatory and consult,,-, department provide3 crents tvi'h and a35I'3tince, as viell as o"' � i'; al--1imstrative and informa:lional supp-:rt. Vi'e t^25e services in coni ?vtion P;'t,n cti-e- USI CCAS Gr'Ju,o service a.•e3s f such as r, -,+r a:,tuanal and clohned contribution dei 3 en}s; _ an ind2penden, ser ica. ti,1;e r 3 .1;itch on r -L, �-4._.y de,= `s, a-7 ._. ^a ,goon your b _ oro -r3 ! _. 5 : `<= _ : ' u in`or ,.,! t OUR SERVICES Transactional and issue -Specific Support 3-d prctassionals provide a wide r3,-= i_. vDr-, : -s. i-�wludinb: i`;?ie3rch ars 3.7311js:3 - 13.`,.. ?7. -,)ns pertaining to retirement, cornpen5at7on, i- ' i' -r, and vieifare programs (as a;,plea to soe'=1` urnsta lc?S and issues) Assistance in ev3luinn, and maintaining benefit plan compliance and helping''/�;u a.hieve+ your retirement and benefit program goals r Consulting and support with respect to: - Plan design, imp#arrentation and administration of pension, profit sharing, employee Stock a,vnership, deferred compensti ion, cafeteria, flexible benefits and Pexibl2 spendin6 3L -count plans - Plat termination - Plan design and tax qua'ificadon defect corrections l'__-- '!-.1-. 5 I"'iU23 i,-`: -11 order eValJ-1-. 11 Pt3n dv:. �� , 3:^'` ' _ ,.. 5--r-,many plan d_scriPbon e __-;`_- favorable determfn-a~_n !e; er app!'.ca:i',n preparat rcn and sub r,.i35; - Merger and Acq-aisition Due Dili,ence Consulting ari3a at every s'aje of a 3:3 mercer Cf a _ ,.. ,' On, As buyers c'.,,-';-v--t d!._ _- _- in n3:�J':�3yJ tine_ p'Jr hale terms, It Is cr ttc3 y poten4 al e.gposure to liao h1 es that may ac _t : ,,.e'r ard ben; f•,t plans i Nolved. :1 d dev-21oping solutions before closing can s3 _ _, "f _ ; ent costly QJ.g3tion and stre3miine the s.`: - tir ocess. Once 3 transaction is complete, sirtaoth p;3- s;5 promote positive employer - employe -e V, e c` -e- d''". E n::e consulting services designed to: • He#v define bene::: c:)r ,-cnent5 that irnp3Ct a p -i ocular transaction and re,-crrmend appropriate language for the purchase/safe acreernent • Uncover potentia! buyer liabilities associated with tax qualification, ERISA fiduciary duties, prohibited transactions, and reportin, and disclosure issues + Develop to d-231 Wv th toe seller's b-2nefit plans: plan spin-off, merger, assumption and termination . Determine If pre-transactt'an amendments are required to meet the buyer's/seiler'5 goals • assist in t'n.e desi]n of an employee relat-ions oriented corirnunt.i—ilyn itra'.w '/ tc artect a 3moot,� benefits transitcn Government Audit Support a ;a Iii _3 1. a" _ _ .. f2iJIL't]ifl a�?ncle�. Why US] Consulting Group? ; ga;b.i' have assembled a group of attorneys and consultants ,.Mth more than 80 '•i=a(3 GF c00ec"Hv:2 e�c�rlence In all aspects of ernp11';=e ! �1 t > -i .2sign and compliance. L. --_ a"r. cornpliance MISL;'t3731 a,.'. Gf�3nlia:'.. •j?a'� L- �rti?`.df.�_ _"� 1 _ .�'�:�' - chanarnb, complex rui e3 tJ program; In a rrna�ye rj+Jalfl?i] f _"] marnar. PY3se n.--' In:rT?•'s 3r3 l6t your Ieg3l ':.. . _ 3".a 1'•3, _i '.. , 9 -'r1r'.. r, . .,r, our 3ltilrnar5 , .:.: ;. :j.,•_ , ,�.; ,.a....; rJteVor4trtg with ynur ; : i s -.� . .... :. 31,r 3 3d•3ettv31ue to ., : :.; rd 3�rar^cal manner ba:e ,- .:. 3'2 3s t r'}fvofd ':5 •.". 1.I1 -: :..� i ... ,, ,... .:.c ; _ l the IRS concerning ]I t3% liaedir/, unless orhe r;_ r am a^ .. Provid•'_d r_ r gd .a 'r` �ri�,,�d r a wi!'_ t_ o b_ as -31 _ - ; lr.,r; ..� -.." , , .:..., 'i>.? r _.. fi,^•g r'_ .e'7 : I _ _ -.� : , :.. .. ::- . - . - _ .- to another party any m3r.2'> i : =;sed n the document .. _ .. -_ -._ . . - -.. . .... _ 95 Gla,tonbury Bhvzl Suite 102 Glastonbury, CT 05033 S 7 633.5233 'rr+,Y iv usicZ.cam CONSULTING GROUP -XIi'i'i{d _ INTRODUCTION USI Ad'vis'ors: I^c i " '', .. Ei S..; i':i"/ of USI Con3ultinS, 3 In estm,Ent Adliisar c Ir, _, _ - t, re"irament prograrns and 2ncl _ ._ `r',3.a ; des molementane! evaluate retirEmant p13^ irt; _ =elia; according to your Investmant Policy St3te:;;a. 71 Our orQanizalional StrL, ._:"E c , YOU t --n- t3 advisory s?rvic„;. or t3 L_ _ a ., '.,i ar'j of LIST Cons'.Ilbr Group's oth=r TODAY'S CHALLENGES In an inc, E,= ! , �! -:-, - -- --i _ -. - _; , crfd, you need tha av':.'3-._e a .; i- r J Ci C i =i-1-5 more than ever. Today, you f3 _e t-' _ :.-3 i }nge e u , '_! = a n investren` pro=,, am to rn22t t-,u"�_rna v`yc7-r participants. For plan spon,i�ri Lilt" a '' :i3'=I =%Zn't plan, designing a efiiicient asa-2: in accordance with plan liabilities can c a da.�-i tas!<. Another ch.allan;? is the select - r - - ,and reporting of diver3;Red pagfolics from u-ra. TOMORROW'S SOLUTIONS From the start, ., partner v+, �` you. A; your hands- on investment aJl,'3)r, W•? Can a»[st In desianiru and implementing retirement pfan ini2stment strategies consisumt Y,ith your EniE n = a 1 Lzuslne» objectives; recocnilinb that there is nc: a s;:w = s-lution For all of our clients na?ds. Our investment cons .,'.A its provide you with the perspective, counsel and support you need t'a fulfill your fiduciary obligations. INDEPENDENT PROFESSIONAL ADVICE We pro=ridgy ; uvndent, professional advice; we are not money ma irs and do not offer proprietary funds. Our approach is tJ manage the money managers.' U;;n a rigorous dui dl!ig?^c° pr,)ceii, 'P,� Id?nhfy recomm-2nd and mo-- - . r3., _ s i 7:)ng�_ respected investment or,a3^ '3- 'i ,',2 3 s: the ec't3njl+i3 da`a, an]`r; > >- ' , _ .�':ilit ay of M.,_:rningstar Direct', a in investment kro1,v-ho•ar OUR SERVICE5 At I': - 3 -_J to ha!pl;-,=z j du d03iv a ran e of cui_orri d gar,,:: ; f' -'r s h?Ip you fon!! i !' t l' n' 2 co5t- effect,;e r^ r,I' :o a a,i i' w In ?idyl sh a i= - E 3: .. ...'c)J t3 h21' you Investment program benchmarking a Provldin.'vj-hien ana:y31� c exisving 1rive3tmEnt3 • As3essino tin-_ number of irvelstm?nt manal'rs repr25E:^� in ea -.h asset class • I u'�n::`t aiset Classes th3'_ are ovi-r or under r2, -i: nin the e:{:atm z program ■ Compa ire y P' 3'1 to similar plays in order to illu}trate ho,,v peer pans are addressing th,a eha!langes of todiy's market and business environments • Providing icve3tment recommendations designed to meet your plan's objectives and risk profile IPS development • Help with de,,eloping/updating the appropriate inve3tm,e^.;aide through an in -dept consultanon involving t-_ CE'/ie'rV of current Gbf ecti es, establlshrng performs --E benchmarks and risk, tolerance • IPS serves as an important compf an=e Instrument uoon which wi? b3ia is r '3v'e i."tres`,- 3r: r-:_: ruin-2od3tions Defined Benefit Asset/Liability Analysis Despite r=._ :;;', headlines that focus on Investment performance, the initial, and historically the most important decision is asset allocation. Through dahned benefit pl.-in asset aHocation, we: e Take the plan liabilities into account + Provide both deterministic and str,:h3stic 3nalysiss ► i`:lodel +,vhere the plan is head -2d over 20 years ,and at what probability level Our investment strategists will partner with you to determine whether your current asset allocation strategy is consistent with your financial circumstances, actuarial assumptions, future plan liabilities and risk tolerance. We will model the expected impact of various asset mixes on pension expenses, funding ratios, the level of projected contributions and their volatility over the long run as we seek to determine and document which asset allocation strategy best fits your objectives for the plan. Manager due diligence • Developing an investment profile and recommending an asset alloc'at'ion model based upon this profile o E,ialu.ating investment managers relative to pears, benchmarks and expectations Manager searches ► Assisting you in selecting "best-in-cfass" investment managers across all asset classes Assisting in the hiring decision and the subsequent transition and implementation process ► Providing ongoing manager and investment due diligence Ongoing monitoring Preparin detailed periodic tmrestmant raview reparts Ill Sting with plait sponsors or Investment Committ?es as needed BUNDLED SERVICES (provided through USI Consulting Group) Retirement plan services and cost analysis Assessing your current third -party vendors 'nn areas such as asset management, recordkeeping, customer service, administration and participant education e Assessin4 whether plan expenses are competitive within the marketplace and match the value of the services you are currently receiving Regulatory & compliance services s Providing education and assistance regarding fiduciary liabilities and compliange with regufnons ► Researching and analyzing la•,vs and regulation, ► Providing government (IRS/DOL) audit support ► Providing periodic legislative and regulatory updates Diversification and asset allocation do not guarantee ada nst a Rays, nor do they 9�grantee that a diversified and/or asset allorated portfoft, sv 11 outperform a non- diversiFed and/or non -asset allocated portfolio. U51 Advisor5, I ic. does not off?r nor exert+sz di 'r "r arerjunt, hcrrever, the firm will peau#der eccmmendaticns, pursuant to a written mveitrnen.t adv sorb agreement and in ac,or3snce with rig, 3_;proved Mv-,tment podcv statement. .ar...c_--".:,� , W__ _-4. _ ___.�e,�nw�.sn,.:u,:�,��,mane,�.a.c,��.s.F�.u-u-.�=.-s»g..� nf�• ---'� �.%�.}=cv�v:.��.--.c,�Nr�err+ca�ev�ss�-e:.��,v-.=. r.�w seccrit,as 3rr?red Orough LUST Satunt,.es, Inc %I1 mber i=1NRAIWC. Inv -2s, -r rt Advice for mititurunal a u=+t; s orav+ded av 1351 Advisor,. Inc., 95 Glastonbury 61^,d , Glasronbury, CT 06033, $60.652.3239 iq CONSULTING GROUP 95 Glastonbury Blvd, Suite 102 Glastonbury, CT 06033 8 60.63 3.52 93 wwvv.usicg tom x j_ . it I ! INTRODUCTION The s'uccoss c* a'y ret remen,t and employee bane -fit prc;ram dopsn: ; on the comprehension, participation and appreciation of the employeas enrolled. That is why qualirr communi^_anon is V!tal t the suCcessful impiementation of any benefit program. You may be communicating, but do your employees understand? Erriployers can s end upwards of 30% of an employee's ccrnpensation on b=n=fits. Do you communicate Ehis V3 u2 tD your emp'oya�-5 and are they receiving the message? A ,,,ell -designed communication C3rrp3 ;n can raise awareness and, most importantly. help employees understand, utrhze and appreciate their benefits. NKAT WE DO We u^ -�_"sn nd r3`r3:';ant and employee benefit plans. 'havr t'.-2 s= : maner exper`s, copy s!4ills and production capabilities to help you communicate benefits and Other human resources Issues effectwely to your employees. Our communication professionals will work %%/ith you to d3 elcp a customized ccmmunication program tip suit Your work farce, project and budget. Our expertise ena'olos us to d--' er innovat'iv'e communication solutions to any sire the costs normally associated with larger fir n;y. THE IMPORTANCE OF ONGOING COMMUNICATION 4ilie believe effective communication is more than a one-shot effort. Stayina in touch with employees requires year-round planning, not just during the open enrollment process. On ar, ongoing basis, regular communication such as newsletters, messages from management and benefit statements serve to promote employee morale and reinforce management's commitment to staff. OUR SERVICES "I-. pride ours ,'res on our flexibility in structuring a relationship that best meas your needs and the needs of your employes. Our strength is in providing a %bide range of materials to keep employees informed, remind them of important issues and keep the lines of communica'ion aide open. Our services include, but are not limited to: • Highlights brochures • Announcement letters • Posters • Postcards * Ne orslett=,rs • E-mail campaians • Promotional items • Ccmprehensive benefit statements • Printing and fulfillment What sets our communication services apart from other consulting firms? • Our communication strategy and plan outline • �Al3 develop content for any type of communication Geared to any type of audience • We design and execute professional materials in a cost- effecnve m3, inzr • We will implement the right strategy and materials that will be most effective for your employees Understand. Service. Innovate. Our experts understand retirement and benefit plans and have successfully communicated these programs. dile have won the respect of our clients due to our superior service. We partner with your plan administrators, human resources professionals, b?nefits brokers and financial professionals to provida innovative communication campaigns. Your employees can make informed decisions about their benefits; selecting adequate, but not excessive coverage and he!ping you achieve your benefits goals. 95 Glastonbury Bind, Suite 102 Glastonbury, CT 06,333 850.633.5233 ww'N usicg corn CONSULTING GROUP INTRODUCTION tirV? fl aie been providin Defined Benefit J Actuarial services for over 35 Niea 3 Yle hive a large staff of professionals dedicated e<clusively to dahned beneFit administraton and consulting, ai .veil as a separate v(oup of professiona!s d dicatad to postretirement and postemployment compliance. W administer prop ares across the country, ranging in size from 30 to more than 30,000 employea5 and have the experience and capacity tz) pri:vi,-4e yr3u With oa`tstand ng s-_'rvice. M1ilost importan0y, we provide middle-rn ar;Cat orpniza ns reit"! a breadth of service and expertise that, until no,,%i, only the iargeGt firms could offer1 fou ti,` 11 benehl, fram individual l:;_^.`oil, a crait.ie al,proach to prob'em-solving an"." a tincrou�- Uo Jarstarnding of your actuarial needs. OUR SERVICES Our Defined Benefit I A-tuirial services include: • Defined benefit plan valuations + Plan terminanon anis wvltndrawal liabdl ty calculations • U.S. GAAP under ASC 715 (formerly EAS 887/33/132) • International account'ieng standard under IAS 19 • Government plan accounting standard under GAS 67/53 (formerly GA; 25/27) • PSGC and Form 550G filings • Benefit calculations and projections • Plan design/cash balance plan and conversion studies • Non-discrimination testing and compliance • Participant benefit statements • Merger and acquisition studies • Poitretirament medical and postemploymant Iia"oility studies (ASC 715-50/712.1'7, GA; 431145) • Labor negotiation consulting • Benefit and funding revi, on studies • Asset/I'iability projection studies • Web -ba; -_-4 benefit calculation programs • Parte-.— - -- center and administration support CONSULTING PROJECTS Our pro ^ appro3ch lea -'s to a partnership that allowsfor t-_ b_ . ccis'' `_ plan design, financial impact and employee 3 '_- =. Wor4 With you t) ensure obieetives are clear and ,vd strive to maximlz: r,s,lla. VVe embody the eXpertisa t0 manage the folloNvi ng Q c^31lenoes: • Asset/liability stud! as, d_`_rmin:3 v, S`.1=^a3 = i- Drivetn Investment (LDI) • Plan des'�n studies and cyst/bene" : a` Y'ri:i • Risk mana�ernant ■ Plan terminations • Harmonious pension plan, retirement and total compensation programs • Acquisitors and spin-offs • Compliance PENSION ADMINISTRATION FAX Administ-at cin and Beaefrt Service Center Y e have.the technology to provide a sirr.pl?, automated approach to managing many of your day-to-day a:lministrati've requirements. Our team of hlohly trained and skilled benefit administrators is committed to providing superior customer service and will work closely with you to ensure each facet of your pension plains needs have been met. Our services at both the plan sponsor and/or the participant level include the ability to: Collect, maintain and track all plan participant data for efficient record`.ksepino • Calculate retirement, terminated. vast=d, disability. survivor, Social Sacur ty and Qualified DO{-na5ac R213tions Omer ("QDRO") b.en _fits * ?`.':'de a1 , :ate forms t.:� art=;� arts • Prat.a`e d3`3 .i re:;lirar a ;l,tt:y to pr a .,e a reccnri'.= :ata f J_ for t^e -a u-1 =•`C 1 • Prepare and m3;1 a^ i•,13' em P.;D,2�_ 3ta`2:7e+n's dfrectly to participants • Distribute _,', rnma,'y ain-131 reo'orts, S,, -I' -,3-Y P13,1 rtes- i Pl e"c ty C3`-- �1.,-i �_�..r.ptl�n3 ('J ;'�) ., d:,"ct;/ • Scan and retain participant communica�;:-i, be-e,- calculation3 and redremen.t forms • Cu tornize administrative reports to masa e research and call battik status requests, and to ensure tir-nely payments are made;e.g, approaching age 65 and age 70;4 notifications, etc.) • Coard.nata maintenance of afiree informat?on with the paying a;ent (e.g., address, tax, and EFT changes, death notifications, etc.) • Import/export data to and from 3".j source (payroll, 2 .c.) • Pre; 1 rnanage: ent reports � • Prr�• J'Fare7=. _. _ _, ,:; com+w+.. _._ testing • Coord!n3_e L-�.".j�J_I`:' rs „-_, v3, agant, including a re; , ` c _ tinction and appropriate d: _ - • Ans,'! 3 t wi:.ant toll-free ca'li concerninz earned and ,rrrplPt.on cf various forms: benef;t c1c;r s -i.-rd data changes • Field questions, provide retirement planning inform:•_ n and plan int2rpret3t0n • Field retir=es caiis regarding missing checks, data ch3n13e3, general questions, etc, BENEFIT SERVICE CENTER WITH SELF-SERVICE INITIATIVE in addition to hand; ,n t.^2 o';er311 adrrinls'ra�on of your ^=-t plan under the tfIf-sarvi e modal adove, 'Ne 2 �-� oc =' ';3'',e -added services throu=in our Self-service initia^,a op ic.:. The self-service initiative is an innovative approach to not only enhance the administrative services 1,ve provide, but also increase participant appreciation of your overall retirement benefits program. Through intern -at axass to our defined benafit solutions portal, participants can: Gain immediate access to all types of information about their defined benefit plan (e.g., relevant pension data, required administration forms, SPDs, etc.) • Use our proprietary benefit calculation system to perform web -based modeling and review different °what -if" scenarios basad on various retirement dates At t -e pia^ lava , w,e can: • G-2ner3'_2 f= _.'?s to provide informa-cr,, s!,+= ai t`2 frequency 2'C -based be -1 C3 'CJ 1_?r hid C! cmploy;:ei • Pr•^:'lld'a jo.+a.3f 13+i21i G alar r:l"'?t'or'3!Itt/ b3i�� • .y def;ned 3eCurlt•, j� Yn7J OTHER POST EMPLOYMENT BENEFITS ("OPEB") Our consuirants have been pro,Ad..,na Other Postempioy ;ger 132ne-it3 ("O'=B') a--tuarial aer'iices since the effeCt,vie d3:2 of FAS 4106 in 1993. Yi_- have a department dadicated to maetina employers' OPER financial needs, including compliance +,'pith applicable accounting standards. This focus on OPEB gives us 'last experience in all aspects of the required accounting and plan desig^ is]ues. Vita have assisted a majority of our clients in sortie sort of Sensitivity analysis or projection scenarios, each time d2i1k,'eri+ng results with both fiscal and personnel issues in mind. We ha'•re over 200 OPER clients, including over 150 govern~^_nt employers. Our clients range in size from to more than 2,000 plan participants. Regardless of your cr 3-iz3'Lion's 342, our actuaries a ---d c�rsultants'will provide t e hi5�'231 gJ]Gt'/' 3-,d the attenti. you e.(;:2i`_ 3` j 4_s2r ve. Via have �3'- 3 r 2putati. on of providing cos±, r cons;lima and a.!-- ,-'.2 solutions t;^a` mesh our c"_""`_s' benefit pla+-i �73.'i -_)-d objectives, Ourd2J _._ t7'_3 -i. c 3i; =3 �"s 3- ! hea'_ao ca -_-,_. .3':� m -_ __.:ipFancec.14ler z -2s v, • Ferforrr�i�:gA5C715-60/712-10actuari 3. •ra'ua�'n; • Perf'orrnino OAS 43,''45 liability and f+undo r„ assessments for public sector organizations • Assisting 1xith the collection of valuation data • ASsistinu viith the setting and sensitivity of actuarial assumptions • Analyzing the potential impact of th252 standards on Financia' statements • Consulting on plan design to ensure consistency with human resources' objectives and rn'iti33tlnb ~jour ASC 715-60/712-10 liability • Evaluating financing and pre -funding alternar,ves =M95 Glastonbury Blvd, Suite 142 1 Glastonbury, CT 1 06033 1 860.633 5233 1 wsaw.usieg cam 9 CONSULTING GROUP :`..'3 2'4 remium.Annuity Contracts OVERVIEW a: USi Ce a_ngg Group, we are p€a3sed t�) -4, ca.' clients the c3- s. T eY for cjie -a es-.., -1 _ _ , the lia'ciiitf as __ 1. _ ; J1.3.1 to a I'SiiGe Corr Pa r1°/. Rea 50^J i.._ I. 1_t. .S -3 unique _ =^t.0uractuarlesaoda�, a __..:. :anis are tra a t_ s s: c:lents on the me- :a a 5 _ _ a.,, ,ait'I Purchase for t;a ' e,. WHAT IS A SlciNGLE PREMIUM ANNUITY CONTRACT? "Jty CC.". �.:. _.,rr 3 r2F-_r;rad t'7 3� 3 C'r ^J _ act, Is aii to t. a t0 i''"j '--:a from a 3 ..;1 �?,i.' _3 t _ _- s _refits. T• _ _ _ __ _ L_ 3 3 3 ' and by Sett" a Com. -- - '- �. ',F�,. iC-3-5 WHY DO PLAN SPONSORS PURCHASE SINGLE PREMIUM ANNUITIES? Plan Termination rre of the ]-- a_d pay p -2-c_ E t" 3 case, t;.. c r.a [ P9ised t0 an'riur-9-'ue C; tn.15, aIjo`P/ the tru3t to c 3 c4p?ranons. Once t�, is pi.d t tri Insurance p --n Is no longero"o:: w:= 4 3'+ Eliminate Mortality Risk f=allen pians pal benefiit3 until retirees and Uleir beneficiaries are deceased. Thus, the plan must continue to monitor the adequacy of its trust assets to fulfill this promise if retiree; lire longer than expected (mortalio/ risk). Many plan sponsors would rather transfer the mortality risk out of the pension trust, thereby elirni,nating tine requirement to fund any mortality losses die to increased :�,Aty. From the plan sponsor perspective, retiree mortality risk b2 g'_at2r than the investment risk. Investment Return Guarantee' F_ C assets generate cart3 n In'v�itnnent re jrns to iUst3in ine c' ?d payments under the plan. Pr'uderit and co—grog Irr4a3tn'.?:"' management is reC'ilred t0 increaie s -e .rirobablllt-% for succ23sf::l Ir vestment returns. At v3'Tous 1- 'r. tri 3n.nu!ty alar!*et p o v . .ernai rates of retvr^ I^ xr_ass o: t-c;e ^a` may �= a,: eved ---5 of the current ,C - s _ _ ?' a:�a•.�;�c�: .c.:mstancLsin°rrhrch=.-_ _�...,, .. __ ��c�=ss in fa°rorao e a:_s or rear , ir,,-s r'+sk C3°r oe ?° J: a; plan s0ons'J � r J Cn a» -2 j and iii One-time FAS 88 Income T`._ e i_ r rcnase may a.lo„ foe't'_e re'_.. c` s: 1 = -': 3, 7 ' C_. a _ ' _ _ ense Asset Allocation Strate;y r? s 41ans i^.W,' , As part e' . _ t rna"a?' s II aa:Ir.._.. ?'jriot benefitf,c:- a- __:3 _ _ i_t;"; interest incom_ and liqu;d <`y r _�', to create cash for monthly pension payments. F:i- i c::re Inv?3trnent5 3'_ jirrpornit to p2n3iv to mana;e da= interest r3:. c a arc';: _ purchase may e!imira:= the heav=._r._ to actively manage the plan's fixed irC1 v t-osa assets in favor of the annuity. If t- 3 av important to rEvlse the investment pJ Icy ir G: asset Classes art in place to anticipate the emerg'^�, _; for the a."+e err12 .yeas that °r,ili retire in years a`7�: r _ Z _--_. HO�V DOES USI CONSULTING GROUP CREATE A MARKET FOR MY PENSION PLAN'S LIABILITY? We help plan sponsors id=_ntify t`ie most appropriate plan participants to transfer as part of the pur,"ha5e. In most cases, this wN be the Current retiree population and perhaps the terminated deferred vested employees. After these employees are selected, their payment data and plan specifications are forward,9d to our Select group of nigh quality annuity Insurar:ce Prov"d -s ' their consideration. Each insurance carrier is directed to ;... , e r most compeive bid on a specific date. This market foe your plan's pens c- li3ba;_•/ o;, r,e bid on the ipre3ds be -ii=_ 57 3'_. each carrier can, and may, decrease to 3_'ri Mv,- = ,, int TYIQt 1131ue on that day. HOW DOES USI CONSULTING GROUP ASSIST IN THE FINAL INSURANCE CARRIER SELECTION? T" -2 -z? a -e CO3-; ��'37a"i 1. Safety: --:-.7.-c a b -d your bis'-,e5s 2. Price: By cr-23'j, r7,' of ass -3 7 = ni73 -,�dlel t -e ::glial rats of return on t C, --i7c— :1--� . C ,, I;rte, that premium liabilities yie-? P,.ce--- T7js is a va;ue-added service typical irs,rince 0-7 -D- C--- 7-1� Service: -Led tz) kno5,%, their cr3lbestpos3ibias-!ice it dE!i -, 2 -7 7 m! S-,-" Fj i - d c -i i poi n CC, HOW 15 USI CONSULTING GROUP PAID FOR THIS SERVICE? -L -,:-, 35 born 3- b-C."a., an;l a e a C-1 c, J - oe--.3 forms 01 re m, - Ll,- "i i.- i s p -i r SLi .3n t to 37 a —3 is are tach -i _i - an, contra:,,- 3 la,,v3. T-- c2--- 3-17- -,�, "' be a"_ i be discicse j in our pro.po-s i :,, /: - SUMMARY OFF ANNUITY PURCHASE SERVICES 6 i-:: a -ardor ---its and prepare q'jolatvion -) `u-2 !,Sad by the data in the proper format and a--'uari3l Pricing programs. 11 Pro, r, 3 _ a--D"e to rna;cr r '"3; !tet. • Provide a cornpr2h.=-5 search to solicit bids and respond'to carrier que5t7ons as needed to properly price the placement. • Revi&,v carrier proposals for aCCLJr3Cy and work to explain any cl,?,)i3tons from each other. 9 Our ar--tja-ial staff will run favored bids throu-� a valuationC� systR-i to deternne reasorableness and pricing assurnp-ioni used. av Yo a :.I • Ass -s' a! 7 2 C: :;'E-aup a ..�'Y contracts, fo;, �-,,jed by ---.3 3- , Prores-z. I Assist carrier w, th takeover of participant data to initiate /t? pa/"—.e—its and issuance of annuity cerffica.es • S -,n -.D / � -5 s --a to Plan actuary to be Mated from pian ky a 1:, 1-"2 P rov' 3 46 �a tion i -27 1— C 'D company. THE ANNUITY PLACEMENT PROCESS 1 -2 rr c�' i-ound 1230 p- 3 3 3, F Z. -e -7,t, pla-ernzr:t d3, C3 J. • A c 1 = 'p-- for the insj(a:7ce co-np3ri %-2- P;I-e j is Preparej doociurnentng the z- Voc?33 S1OrS3, s due d i g --Ca (in case of q,-;-3snon3 by -- DOLor the Interna' R--,,Enue Service, and companr, c -,-7--tcrs and/or other officers}, • When a grout s.ng!- prernium annuity contra4-. is rRceived (which mat/ to 5-2veral months), the contract Is re',i&,ved to maka sure it ;-z -- 311 tnat ha�, �-- a;7 --J '-por'. Liver the years 3 ba -e to save many clients 5:0gnihcant a-o',-n*s of -a,,r pers:stence in striding to secure the rnos, far pace avadable (in re!atJor to the carrier quality) from a --,y companies on anygiven day. OTHER INSURANCE PRODUCTS The irs-.-ance ;, a -�.' ,-- ,i products have emerged: separate accc,-,' �'rg�2 P.-arr. ,ruitly contracts, Single premium buy -in contrasts, a -id ir,-:eed 1i 3il,if driven irve,,tn-- products to name a fLw. Each product has specific characterisdics with respect to risk transfer, adml,--izitrau'on and revocability Plea5e contact our office if yo -i vio,aId to know more about these products aid their features. tl;v,, =r — :!almi o3yiqg 3c,Fry ofti,2 5;wrq rii,r3.11-2 :3-'Pr3ry 95 C.135tonbury Blvd, Suit -2 102 : Glastonbury, CT ! 06033 1 350 633 5233 1 WNW USiC.3 COM CONSULTING GROUP Consuftinb INTRODUCTION Our . r•j a: --d comp -e con3ulti;i. department provide= c ants oiith issue -specific transavtional analysis and aria::' 4e, a3 Orrell as cr-:_: n7 administratr-ry and lnforma^onil support. We pr_l, these sen ices in connection 1,41tn other USf Consulting Group service are33 (such ai our a-_tuarial and defined contribution or ai an, Ind?pendant �z?-vilze. W42 !t_ ? ._ .', i an 13 __,'?7 i re17IJ13tCr'y �r cha:,ge an yourb. 2" c ;ri e -_l t_isi,neis Y, uinformecf of le; .'s-•, -:! _r, _ is t6 rough a r ce • .• _ c _ ne;;;l2tt?r and pan 3 f -r attendant OUR SERVICES Transactional and Issue -Specific Support Our re-.11at.or y and compliance coin3liltling professionals provide a viide ran„ e of support services, including: Research and analy3li of laws and revulatlons pertaining to retirement, compensation, and health and welfare pro;ra ss (as applied to specific client circumstan.es and is3ue3) • Assistance in ev3luating and maintaining benefit plan compliance and helping you achieve your retirement and benefit program goals • Consu!ting and support with respect to: — Plan design, implementation and administration of pension, profit sharing, employee stock ownership, deferred compensation, cafeteria, flexible benefits and flexible spending account plans — Plan termination ,- Plan de=ign and t3.X qualihcatson defect corre _tions — Domestic rela'nons issues and order evaluation — Fiduciary raiponsibility • Plan document, amendment, summary plan description drafting and Intarnal Revenue Service favorable dat?rmination letter application prelpar3don and submission Merger and Acquisition Due Diligence Consulting Ra`ire e ,p' ye_ benefit issues i-� a: ;vary Stage of a r_rate rre'7er of a As buy='s cond,j_t du_ a It IS Cr.^ i pa- a M a••r a .. t r _ e'd. closing can so, ant costly litigation and str_).—'inethe rnergar/a•_:; l process. Once a transaction is r rplety, smooth p'3:- transit oni promote pasidve employer- employee relations. Y4'e o—,far comprehensive due di zRnce conatAir,g services d?signed to: Help da ^e Gene~: components that irmp3•_t a particular transacticr arl..J recommend appropriate lanbaage for the purchase/sale agreement Uncover potentia? buyer liabilities associated with tax qualification, ERISA fiduciary duties, prohibit=d transactions, and reporting and disclosure issues • Develop strat-g ?3 to deal with the seller's benefit plans: plan spin-off, merge ; assumption and termination • Determine if pr2-transaction amendments are required to meet the buyer's/seller's goals Assist in the dei!on of an employee rel3tion3 oriental commu .icaticn s1r3te;y to 3ff e :t a sM Dt.ti berefi'-3 transition Government Audit Support Our team of eXP-21- --:-21 :i=)rn��ys and :s ha -! assisted man', _ ^., in r3i;a 'in -g r , coml-llarlr2 133:1°5 t, i'.. a`__ :r the GJ. `.'r. _ i � :i'_I DaP3'trnent C, f: L3b'D` , 3 -- i--4- i. sltr riurterau3 clients i... e r-2varation anis'_,_ ..` Carre=give aol-l:cah-j-j � ,^ 12r thE3 s,3-ioLi3 CC^ 3-�e re5z) Luton prDz,3.,..3 a _moi C'/ Via. clo:?nc123. Why USI Consulting Group? kiitlithin USI Consular; Group's Leg31 departure -t, P-2 have assembled a group of i-orneys and ccnsu!tant3 with more than 80 years of collecdve experience in a'I asce`,ts of employee ben?fit program dasign and compliance. P. -2 3'J _ 3 of yr ;-.. ..` IZe a, -y. o- re - t retire= _ . 3-' ;_ "-2= r"'3 3 _., _ _ ; ccrnpfiance and s+upc'ort, benefit or 1273' coun,iai, ii? �ririr to '!'3 cr;ani'sar!ix, '1?a-3 of exp,2rl2nce in a,cytylno changing, cornpl2.( rLlle3 to Important ccrprorate C ": prc�7ram; in a creat -,-,e, bu3ine3s-orientecl and r3. rnanner. �'23.° ,cte t!nat our y and orrpGan,:? Lensultir, artcrn?ys are nct dour le. -al rroun.sel and may ncr ;i `i.r i - .. ayj a,--1 "tear al •ell"J,- l .0414r ir'r 3t-::r:!ey 6eflt pwitl gi. r111nriing .s'th IC,,r ;angor e.12-Jr'/e 3 A -a y }vr or,)nizat 'n r 3 .. as r?. 1s;ness 7rzn,=d and prar3�:al rs- ; is?d tin yelrs .gram,. In additimn. to ccrnply ,v-th re; la�oru+slued by the IRs cur.ervn; rl e pravisicn ,: U , r . .::•leis 7[h rvr ,e e(prps ,'! Vie- a r rh=r�:r., any Afrin -2n infar;mxton prj,,ir . ycu �y our -n , -- 3 Q.,y h?'1i2-J and ear Ict O? uind 1Ti ary.]ne FCf the Purl � 1 -` 3 -7!. 2-! '3 `. , . 7 ),, ;. _. ,r'r ary matters 3ddrass?d ;n the document. r�=xr�xanmnnr ;a,�4�.sxrvx'-n�fsav�.!cev:my+vei:�wswrwrtn^�?3wravt::.v�n :.Aa;.:�c�awtwr�wNr�.cis+Fr:�sr>=..-�.,�"nn...<<.-xr�nr: rrrk��am+ a 45 Glastonbury 81-iJ Suite 102 Glastonbury. CT 05033 $23.633.5233 wwvv us c; cpm 9 CONSULTING GROUP �1E;�E'�... ..°'14�.=�J•':'t.€��..+.. kar+h^�i. 3t119[II✓.' INTRODUCTION USI Advisors, Inc. [3 subiid;ar,.i cr U5! Consulnng Groups Ts �_'-3.'j ,.2j"3+-2r2d Advisrr or�2rind i���, �-: 1._i�;ice puma-:'./ to re;7re���nt progrim3 and encloYi v -:s � ',2 can design, implerren' 3-d evaluate retrernent pian i.--, _s`ment portfolios a;cording to yoiirlrh/�stra`lc^ntP01!='f �_?;'-�'�f1��•'i��'�. Our organizational s _`cture givers you t":2 i,'? (lblllty to advisory services, Cr to C01r^'u ? Our servicei „ . 7ly or �`jl �(jnsUlt; ria C7 ro;gyp 5 uC" .r depart;�rienC3' s=�"vices. TODAY'S CHALLENGES In an incr233in.-ly difficu'� 1-:�-1-'ax and litigious world, you need the guidance and s_: -':port of consultants more than ever. Today, you face the cI'- :i 6-2 of building an investment pro rarr. to meet t;,le gre•,ving derriands of your participants. For plan sponsors with a defined benefit plan, designing an emi cient asset allocation! strategy in accordance with plan I abilibes can be a d3un7ng ta3k. Another challenge is the selection, manitoring 3^d reporting of diversified portfolios from muii'v'.? Investment m3naj2rS. TOMORROW'S SOLUTIONS From the start, vie partner with you. As your hands- on Investment advisot, v q can assist In d234anlne and implernentina retirement plan investment strateoi•es consistent with your irve3tment and business objectives; recognizing that there is not a singfe solution for all of our clients needs. Our investment consultants provide you with t` ,2 perspective, counsel and support you need to fulfill your fiduciary obligations. INDEPENDENT PROFESSIONAL ADVICE V/a provide independent, professional advice; we are not money managers and do not offer proprietary funds. Our approach i3 to manage the money manager,.' U3lna a rigorous due diligence proce33, Nie identify recommend and monit�)r in;estrv' _ _ r 3pected inves'rnent organiz3tior`5• Yie a _ _,'7„ n the e,(t3nsr-ie data, analysis and r?searcr ? -?i of Nlorn;r}jstar D;rect7; a re•_og'n;z��d leader in i : <-now-hovi. OUR SERVICES y'�Ll ';:en 'jau t'.'' r'_iriary ries✓:^ `-,es in an efficient and C• ;` 2; ectiva r".. Y,a- c3'. a s: 35s;St you in L^s wll5hl;' a pragram',t,' _s:M _ 3e'� s 3,,- '-1: ._ . _ic j— employees a-' _,2 t; =;r re ren,2— 31s. Investment program benchmarking Providing writ7en analyils of existing investment; Asse;3;na the number of investment manag3rs r2;aresented in each asset class = Identifying asset claS325 that are over or under represented viithin the existing program Comparing your plan to similar plans in order to illustrate how peer plans are addressing the challenges of today's market wid business environments Providing investment re ommenda`ons designed to ,meet your plan's objectives and risk profile IPS development • Help with developing updating the appropriate investment buid2 through an in-d2p'h conslu'tation involving the revievi of current object lies, e3nYb ihin' performance benchmarks and risk tolerance • WS serves as an important compliance instrument u,^1 -3n which 'Ale b3sa suit3t1e investment recaimrn2nd3tions Defined Benefit Asset/Liability Analysis respite today's headlines that focus can investment performance, the initial, and historically the most important decision is asset allocation. Through defined benefit plan asset allocation, we: • Take the plan liabilities into account • Provide both deterministic and stochastic analysis • Mod -21 where the plan is headed over 20 years and at what probability level Our investment strategists will partner with you to determine vilnether your current asset allocation strategy is consi,tent with your financial circumstances, actuarial assumptions, future plan liabilities and risk tolerance. We will modal the expected impact of various asset mixes on pension expenses, f!Inding ratios, the level of projected contributions and their volatility over the iong run as we seek to determine and document which asset allocation strategy best fits your objectives for the plan. Manager due diligence Developing an investrrient profile and recommending an asset allocation anodal based upon this profile • Evalt.l.ating investment managers relative tG peers, benchmarks and expectations Manager searches • Assisting you in selecting "best -in -class" investment managers across all asset classes • Assisting in the hiring decision and the subsequent transition and impiementation process • Providing ongoiino manager and investment due diligence Ongoing monitoring • Preparing d,talled periodic Investment review reports • �.I�� n :. F'1-1 smonsors or Investment Committees as needed BUNDLED SERVICES (provided through USI Consulting Group) Retirement plan services and cost analysis • Assessin.7 your current third -party vendors in areas such as asset management, recordkeeping, customer service, administration and participant education • Assessing whether plan expenses are competitive within the marketplace and match the value of the services you are currently receiving Regulatory & compliance services • Providing education and assistance regarding fiduciary liabi#hies and complianQe with re;ulations • Researching and analyzing laws and regulations • Providing government (IRS/DOL) audit support • Providing periodic legislative and regulatory updates Diversification and a J ,carion do not guarantee a8ainst a loss, nor do they ?guarantee that a diversified and/or asset allocated portfolio :vall outperform a non- diversified and; or nor -a_ .t allocated portfolio. U51 Advis=ors. tnr_ d _ -, ?ff-r nor exi:rci5e discrbtion in any client account. hov+ever, the firm well pro,Aa recommendations, pursuant to s Wrktten investment advisory adreerne-.� i -, o 3 .cardance with the terms of a client approved investment policy staternent -._-Tt.514R.1P0®G-�'�saSifF ci!'_4T.fxopr Fiim:S.'�.�r. 't,t �9h fs�'F�-�'PlYa1P�-'��•�/p-11E"YRkIY�'!k1CY�11496YitlY�1r RM+WYNWa`�T=vsl•glirYMl�--�'+16ilTA'✓:IJPY4.�S��1'a4"M> n.�"cs�tW.Yy i ---r —,pert through usl Siecurities, Inc. Member FINRr\/SIPC Inra1-t-.2ot ads:cr �r r5;nrurn_nai a- s arovuiad by U -,i Ajvrsc;r,. Inc., 35 Glastonbury B=id , Glastor,oury. CT 06033. 860.652.3239 —s CONSULTING GROUP 95 Glastonbury 81vd, Suite 102 Glastonbury, CT 06033 860 633.5283 vvrvau usic; com :17'11':;. Client#: 1420259 DEANWORMI ACORD. CERTIFICATE OF LIABILITY INSURANCE DATE 52016YY, 12115x2016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER, IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and Conditions of the policy, certain policies may require an endorsement A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCERNAMEACT USI 2711 N. Haskell Ave., Suite 2000 Lynn Owen FAX arc°, Na, E t: 203 634-5921 A1C, No EMAIL ADDR€ss LY nn.Owen USl.com Dallas, TX 75204-2914 INSURER(S) AFFORDING COVERAGE NAtC # INSURER A: XL Specialty Insurance Company 37885 INSURED Onex USI Holdings Corp. 200 Summit Lake Drive INSURER B : EACH $ INSURER C CLAIMS -MADE P OCCUR Valhalla, NY 10595 INSURER 13 INSURER E MED EXP (Any one person) $ INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. ILTR TYPE OF INSURANCE NSRL WV RI POLICY NUMBER POLICY EFF MMA701Y1'YYP LIMITS COMMERCIAL GENERAL LIABILITY EACH $ CLAIMS -MADE P OCCUR ��OCCURRENCE PREMAISES (Ea RENTED $ MED EXP (Any one person) $ PERSONAL & ADV INJURY S GFNT AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ F-1 PRO. POLICY JECT _ LOC PRODUCTS - COMPJOPAGG $ $ OTHER: AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT Ea accident $ BODILY INJURY (Per person) $ ANY AUTO ALL OWNED SCHEDULED AUTOS AUTOS BODILY INJURY (Per accident) $ PROPERTY DAMAGE Peraccldent $ NON -OWNED HIRED AUTOS AUTOS S I UMBRELLA LIAR OCCUR EACH OCCURRENCE $ AGGREGATE $ EXCESS LIAB CLAIMS -MADE DED RETENTION $ 5 WORKERS COMPENSATION IPER OTH- ANO EMPLOYERS' LIABILITY Y / N ANY PROPRIETORlPARTNERIEXECUTIVEE.L. OFFICERIMEMBER EXCLUDED? ❑ N I A EACH ACCIDENT $ (Mandatory In NHI E.L. DISEASE - EA EMPLOYEE If yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT I 5 A Professional ELU14790516 1213112016 1213112017 $10,000,000 per claim Liability (E&O) $10,000,000 aggregate DESCRIPTION OF OPERATIONS 1 LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached. If more space Is required) Professional Liability / E&O Liability coverage is extended to all subsidiaries and dba's of Onex USI Holdings Corp. l USI Insurance Services LLC. All USI employees are covered under this policy for the work performed as directed by USI. RE: USI Insurance Services LLC Gth 111`11UAI Evidence of Coverage ACORD 25 (2014/01) 1 of 1 #S194447041M19441775 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE 7 �1 • w� ck.+�n�.n., O 1988-2014 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD LAOHD Client#:1420259 DEANWORMI ACORD,,, CERTIFICATE OF LIABILITY INSURANCEDATE(MMIDDIYYYY) 12/1512016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT; If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER USI 2711 N. Haskell Ave., Suite 2000 CONTACT Lynn Owen PMONE 203 fi34.5921 FAX (MC, A1C, Na, Ext : C, No): nn.OwenUSl.com L @ ADDRESS: Lynn,Owen@USI.com TX 75204-2914 INSURER(S) AFFORDING COVERAGE NAfC # INSURERA: XL Specialty Insurance Company 37885 INSURED Onex USI Holdings Corp. 200 Summit Lake Drive INSURER B : INSURER C: Valhalla„ NY 10595 INSURER D! INSURER E INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE ADDL INSR SUER; V POLICY NUMBER POLICY EFF MMIDOIYYYY POLICY EXP MMIDDNYYY LIMITS COMMERCIAL GENERAL, LIABILITY EACH OCCURRENCE S CLAIMS -MADE OCCUR RAVIAGE 7O RENTED PREMISES Ea occurrence I8 MED EXP (Any one person) S PERSONAL & ADV INJURY S GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ PRO - POLICY ❑ JECT LOC PRODUCTS - COMPlOP AGO $ $ OTHER: AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT Ee accident $ BODILY INJURY (Per person) $ ANY AUTO ALL OWNED SCHEDULED AUTOS AUTOS BODILY VNJURY(Per accident) S PROPERTY DAMAGE $ Per accident NOWOWNED HIRED AUTOS AUTOS $ UMBRELLA LIAB OCCUR EACH OCCURRENCE $ AGGREGATE $ EXCESS LIAB CLAIMS -MADE DED RETENTION S $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY Y 1 N ANY PROPRIETORPPARTNERIEXECUTIVE OFFICERIMEMIRER EXCLUDED? N I A PER OTH- TAT T E.L. EACH ACCIDENT S E.L. DISEASE - EA EMPLOYEE S (Mandatory In NH) E.L. DISEASE -POLICY LIMIT S If yes, describe under DESCRIPTION OF OPERATIONS below A Professional ELU14790516 2/31/2016 12/3112017 $10,000,000 per claim Liability (E&O) $10,000,000 aggregate DESCRIPTION OF OPERATIONS I LOCATIONS d VEHICLES (AC ORD 101, Additional Remarks Schedule, may be attached If more space is requiredl Professional Liability 1 E&O Liability coverage is extended to all subsidiaries and dba`s of Onex USI Holdings Corp. 1 USI Insurance Services LLC. All USI employees are covered under this policy for the work performed as directed by USI. RE; USI Insurance Services LLC Evidence of Coverage SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE Z. 4 - LAI 4, -IMAM. ® 1988-2014 ACORD CORPORATION. All rights reserved. ACORD 25 (2014101) 1 of 1 The ACORD name and logo are registered marks of ACORD #S19444704/M19441775 LAO H D MONUMENT -REAL ESTATE SERVICES - Gerardo Gato Monument Real Estate Services 5200 Blue Lagoon Drive, Suite 400 Miami, FL 33134 March 7, 2017 Re: Jose L Gonzalez To whom it may concern: This letter serves to vouch for the personal and professional character of Jose L Gonzalez. I have known him both on a personal level as well as a professional level and can attest that Mr. Gonzalez is of high Moral character and incredibly professional and proficient in the arena of Employee Benefits. I wholeheartedly recommend Jose as a consultant. He has a take -charge attitude and subtle -yet -confident approach that resulted in being immediately embraced by our Human Resources department when we first engaged his services. Jose is not only creative; he possesses the rare skill of being able to communicate his ideas and their associated benefits effectively, which in our case resulted in full buy -in from our leadership. Simply put, he gets us the results we demand. During the time our firm has contracted with Jose, we have seen an increase in profits as well as improved morale. We are convinced that both achievements are largely a result of Jose's efforts. He is worth every penny. Please don't hesitate to follow up if I can answer any questions about Jose and his skills. Sincerely, Gerardo Gato Chief Financial Officer 5200 Blue Lagoon Drive, Suite 400, Miami, FL 33126 (305) 446-0010 AdrienneArsht Center FOR THE PERFORMING AMTS OF MIAMI-GADE COUNTY March 61h, 2017 To whom it may concern, This letter of recommendation is to attest that Jose L. Gonzalez is one of the most thoughtful, knowledgeable and professional people in the benefits practice industry. He has a passion for the design, development and education of benefit plans, and is one of my "go to" people in the insurance industry. He has knowledge of the market, understanding of current and pending issues and cares tremendously about his clients. He can be relied on to deliver what he promises. Beyond his role, he is always ready to provide help and support. There are select people in organizations who you can trust to carry responsibility and believe in the importance of accountability, and Jose is one of those individuals. Sincerely, Trish Brennan Vice President, Human Resources 1300 Biscayne Boulevard, Miami, FL 33132 Telephone 786.468.2000 Fax 786.468.2001 www.arshtcenter.org