Page 19 - YOROZU America Corp.

Strategic processes and tools

05 — Infolock is Lockton’s proprietary data warehouse and analytics 06 — GPS is a proprietary actuarial tool that utilizes client-speciic
tool. data, IDEAL Proile, organizational objectives, etc., to develop a
dynamic, multiyear strategy with cost impact, employee friction, and
administrative effort.

Action through
insight YOUR DATA GPS
BIG DATA
Projected cost of plan: After 3-year strategy
The big picture. $40M $37M
$35M
$35M $32M
 Collect data from $30M $30M $32M
multiple, disparate CONSULTATIVE $30M $25M$25M $26M $28M $29M
$25M
PARTNERSHIP
sources. $25M $21M$21M $25M $27M $28M
$21M
$20M
 Transform and enrich $15M
data to make it $10M
meaningful. INSIGHTS $5M
K
 Skilled experts to 2014 2015 2016 2017 2018 2019
develop targeted Projected cost with trend
solutions. Purchasing efficiency, eligibility management, cost sharing
Key medical High-cost Utilization Gaps in Risk Add wellness
conditions claims patterns care stratification
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Executive Dashboard Sample Three-Year Strategic Plan
2020 (current) 2021 2022 2023
 Medical self-insured  Assessand recalibrate stop- loss  Implement co-pay /  MandateCOE facilities and
Purchasing  Rx self-insured risk transfer strategy coinsurance differentials providers for designated
services
for using COE facilities
Efficiency  Stop loss reinsurance  Reassessself-insured TPA/PBM and designated high
terms and provider network(s)
quality providers
 Broad national PPO  Implement telemedicine service  Adopt local narrow  Consider ACO
Healthcare network  Validate effectiveness of Rx network options where plans/networks by market
where proven cost effective
available
Delivery  Mandatory Rx mail-order mandatory mail-order and
adjust as needed
for maintenance
medications
 EE annual discounts:  Continue biometric testing  Continue biometric  Continue biometric testing
testing
Health and  $40 per month for  Add spouses to biometric testing  Implement outcomes-  Continueoutcomes-based
completing health
contribution differentials
Risk
differentials based on
biometric screening
Improvement evaluation and based contribution based on health risk factors
 73% employee health risk factors
participation
 1.38 covered dependents  Amnesty dependent audit  Engage third party for
Eligibility per covered employee  Assessand recalibrate employee dependent eligibility
audit
Management  300 estimated covered contributions for adding spouses
as needed to mitigate risk
spouses
 4-tier contributions exposure
 HDHP / HSA option  Eliminated HSA seed and require  Reduce dental plan  Only offer one medical plan
 78% coverage value employee contributions to subsidy to 50% option that is HSA qualified
 PPP option receive any XYZ Company match  Reinvest savings into  Make dental plan 100%
Participant  80% coverage value  Start process of implementing a medical plan employee paid
Experience  Sample company total defined contribution strategy;
medical plan premium
subsidy at 70%; total cost cost neutral to XYZ Company
regardless of plan elected by
subsidy at 57% employee
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Yorozu America Corp. — Lockton Employee Beneits Practice overview 19 Lockton Companies