LIFEHEALTH & WEALTH Ron Watt, Second VP of Wellness & Engagement

LIFEHEALTH & WEALTHRon Watt, Second VP of Wellness & Engagement

LifeHealth & Wealth update

• Onsite screening event (lessons learned)

• LifeHealth & Wealth – What is it?– What have we learned?

• Voice of the customer• Consultant findings

– Solution enhancements– How is it best leveraged by producers?

• Where do we go from here?

HealthFitnessA Trustmark company since 2010

Serving one out of five Fortune 100 firms

HealthFitness overviewDivision of Trustmark Mutual Holding Company• Years in business

35• HealthFitness revenue (2012) $128

million• Number of associates nationwide 5,000+• Number of clients

250+• Covered lives 3.5

million• Participant satisfaction 94%• Client retention

94%• Client awards: NBGH, IHPM, C. Everett Koop,

WELCOA, multiple state awards and others

Producer conference onsite screening event

• We wanted you to experience our health screening services…

What could have been….

• It’s free, it’s convenient and we had poor participation…

What happened?

• Made the same mistakes thousand of HR people make every day:– Assumed because WE personally understand the

benefits that all employees must think like us…offer it and they’ll come!

Onsite Screening Event

• “We” gave you no compelling reason or incentive and communicated via stealth tactics…

• Result – we had 18 of 130 attendees sign up

Onsite screening event

• To promote wellness programs, it takes sustained effort and proactive (over)communication!

• Employees need:– Awareness– Trust– Buy in - What's in it for them– Multiple methods of ongoing communication– Incentives or simply a call to action

• How could this possibly be communicated on a postcard (or wellness table, etc.)?

Common client challenges

Rising healthcare costs

Employees are unengaged in managing their health

Employees lack knowledge of benefits options

8%

Employers impact 80% of the “influencers of health”

Source: Centers for Diseases Control and Prevention, University of California at San Francisco, Institute for the Future. Reprinted from Advances, Robert Wood Johnson Quarterly Newsletter, 2000; 1:1

Influencers of Health

Access to Care

Environment Genetics Health Behaviors

Health Behaviors

U.S. Healthcare Expenditures

88%

OtherAccess to Care (treatment)

4%

10% 20%20% 50%

Employer Impacts

LifeHealth & Wealth solutionEmployee engagement solution • Drives participation for the

right reasons

Employee engagementthrough 1-on-1

communications

Physical well-being Financial well-being

Financial solution - enabled by voluntary products• Provide financial well-being• Fill gaps in benefits

Wellness solution• Helps clients improve

employee health and contain costs

Engagement solutions

Multimedia communications designed to trigger

employees to think about their current lifestyle and

overall well-being.

Get their attention

Engagement solutions

One-on-one messaging formulated to educate

employees about the available wellness programs, motivate

them to participate and stimulate engagement.

Motivate action

Engagement solutions

Multimedia communications intended to encourage ongoing participation in your wellness

program.

Keep them going

Multidimensional engagement

• Pre-launch communication campaigns

• Meet with a benefits counselor one-on-one

• Engage employees to take the first step with a path

• Post-launch communication campaigns

Engaged &

participating

employees

• Plan design

• Incentive programs

• Behavioral economics

• Core business strategy

• Health risk assessment

• Biometric screening

• Health advising & coaching

• Walking and other “fun”

programs

Wellness solutions

INPUT ADVISE ACTION

1 2 3DRIVES

RESULTS

Reporting Suite

eHealth platform

Physical well-being

HRABiometric Screening

(optional)

Health AdvisingDaily Emails

Monthly NewslettersQuarterly Webinars

Health CoachingPersonalized Lifestyle

ProgramsSpring walking programFall web-based program

LifeHealth & Wealth is amodular solution• Enhance employer’s

existing wellness program with engagement solution

• Bundled wellness & engagement solutions for the mid-market (100 to 3,000 lives)

• Customized wellness & engagement programs (typically 3,000+ lives)

Market feedback• While we’ve been inspired that:

– Clients need this solution

– Brokers like to offer this solution

– It provides producers another compelling communication solution

– Clients get positive results

Market feedback• We’ve also heard loudly that:

– Clients (and producers) like to customize

– Clients don’t always like being told to tie programs together (e.g. voluntary and wellness)

– Many clients don’t want to make choices – would rather an “expert” tell them what to implement

Consultant feedback

• Market opportunity– Much larger than anticipated– Recognize strength in broker distribution

• HealthFitness solutions– In line with market desires– Acknowledged many do not see

tie between voluntary benefits and wellness (three decisions necessary)

Large and growing mid-market for wellness:

• Big opportunity– ~$800m available market

($360m via brokers), fragmented competition, emerging innovation areas

• Right solutions– Large and growing “full-range wellness” buying

segment with advantage for single-vendor with broad solutions offering

LifeHealth & Wealthenhancements for 2013• Positioning:

– Wellness tailored solution options– “Why wouldn’t you?” vs. “You have to.”

• Health screening package options/tablets tech• Addition of achieve incentive tracking option• Engagement - more multimedia available• Modular marketing pieces• More systems flexibility coming

– >$25m investment in Portal 2.0

Wellness solutions

1 2 3DRIVES

RESULTS

Reporting Suite

eHealth platform

INPUT ADVISE ACTION

HRABiometric Screening

(optional)

Health AdvisingDaily Emails

Monthly NewslettersQuarterly Webinars

Health CoachingPersonalized Lifestyle

ProgramsSpring walking programFall web-based program

“We can’t afford that program.”

“We want to start with the basics and grow.”

Tailored solutions - positioning

“Can we offer coaching to everyone?”

“Can we reach out to every participant regardless of risk

status?”+Engagement solution!

Biometric screening

Worksite screenings

• Tablet technology– Electronic waivers– Enhanced health advising– Electronic confirmation of results– No internet or wireless required– Time/date stamped event data

Engagement solutions

• Post-enrollment communications– Flyers– Posters– Email & direct mail template–Motivational clips

Employer marketing materials

– Additional specifics for each area

– Overview (elevator pitch)

• Modular approach for a modular solution

– Recommended & tailored solutions

Leveraging wellnessStage 1

You have never sold voluntary benefits, or you’re just getting into the

voluntary world.Stage 2You have sold voluntary benefits, but you have yet to leverage a proactive

approach to sales.

Stage 3You have leveraged other value-added services with voluntary sales, but you haven’t leveraged wellness.

Stage 4You have fully leveraged wellness to sell voluntary benefits.

Stage 1Large regional brokerLeveraging wellness as a way to

enter the VB market

Objective: Find a way to expand revenue for the agency and solve wellness need for client

Solution: Provided LH&W in conjunction with VB

Results: Client was provided a subsidized wellness solution and agency drove new revenue. Saw 87% of EE’s & sold over $730,000 in premium

Stage 2

Large Midwest broker

Using wellness to increase VB

sales

Objective: Successful health brokerage seeking more

proactive VB sales activity

Solution: Provided LH&W as a value-added solution to

help drive VB sales

Results: Sold first VB case (1,500+ lives)

Stage 3Small regional brokerImpacting employee

health through VB

Objective: Client needed to improve the health of itsemployee population

Solution: Broker provided LH&W’s engagement andwellness solution

Results: Drove high engagement levels (without incentives) and made a positive impact on group health risks

Stage 4

Long-time client

Using VB to drive wellness

engagement

Objective: Increase participation in an existing

wellness program

Solution: Leveraged VB to develop custom

engagement solution

Results: Of employees seen, 77% signed up for 1 or

more wellness programs

Leveraging wellness

LifeHealth & Wealth

• Trustmark VBS will be the premier wellness solution for mid-market employers

• Leveraging VB with wellness is a no-brainer• Brokers are the key mid-market distribution

partners• We want to continue working with you

to provide your clients with the best engagement and wellness solutions

• Drive business by helping people help themselves….