Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group. ACCOUNTABLE CARE PLATFORM

Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group.Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group.

ACCOUNTABLECAREPLATFORMDelivering distinctive value to those we serve

Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group.

Network Strategy | Delivering Distinctive Value

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WE ARE TRANSFORMING HOW WE PAY FOR HEALTH CARE AND HOW HEALTH CARE IS DELIVERED

We are aligning incentives across employers, consumers and care providers to achieve the Triple Aim of better health, better care and lower costs

We are transforming the delivery system to be more accountable for cost, quality and experience outcomes, helping make health care more affordable

We are paying for value through outcome-based payment models that reward care providers for improvements in quality and cost-efficiency


Accountable Care Platform | Accountability Continuum

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Capitation + PBC

Lev

el o

f F

inan

cia

l R

isk

Degree of Care Provider Integration and Accountability

Performance-based Programs


Centers of ExcellenceCenters of Excellence

Accountable Care Programs


Shared Risk

Shared Savings

Bundled/Episode

Payments

Performance-Based

Contracts (PBC)

Primary Care

Incentives

Fee-for-Service

OUR MODULAR SET OF VALUE-BASED PAYMENT MODELS ARE DEPLOYED ACROSS THE CONTINUUM.

WE ARE ABLE TO ALIGN OUR VALUE-BASED PAYMENT MODELS WITH A CARE PROVIDER’S RISK READINESS.

Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group.Proprietary information of UnitedHealth Group. Do not distribute or reproduce without express permission of UnitedHealth Group.

4

Primary care incentives,Performance-based

contracts

Shared savings, Shared risk,Capitation

(including ACO, PCMH)

Achieving specificMETRICS

Managing a specific CONDITION

Managing ENTIRE POPULATION HEALTH

Bundle/episode payments

We have value-based engagement with more than 600 hospitals, 1,150 medical groups and 80,000 physicians participating in our Accountable Care Platform.1

• 32,000+ physicians• 900+ medical groups• 575+ hospitals

• 160+ Centers of Excellence• 60,000+ physicians• 550+ medical groups• 65+ hospitals

1 Deployment statistics for executed contracts as of July 2013, net of program overlap.

Increasing level of integration, financial risk and accountability


Centers of Excellence Accountable Care Programs

Accountable Care Platform | Deployment Snapshot

OVER $22 BILLION OF NETWORK SPEND IS TIED TO OUR ACCOUNTABLE CARE PLATFORM1


Accountable Care Platform | Deployment Map

5


Location of icon within state is for illustrative purposes only and is not indicative of program’s actual geographic locations within the state – many programs are state-wide. Deployment as of December 2012.

DELIVERING DISTINCTIVE VALUE ACROSS THE COUNTRY

CT

DE

DC

MA

MD

NH

NJ

RILEGEND


Centers of Excellence



Accountable Care Platform | Managing Population Health

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PATIENT-CENTERED MEDICAL HOMES (PCMH)

Our PCMH programs include more than 2,000 primary care physicians and 250 medical groups

On average, our commercial model in the initial launch markets, AZ, RI, OH, CO demonstrates:

Additionally, we are participating in the CMS Comprehensive Primary Care Initiative Program in Ohio, Colorado and New Jersey

4-4.5%Medical Cost

Reduction

2:1Return on

Investment (ROI)

Clinical quality results trending above program targets on 95% of all measures and delivering a 2 to 1 return on investment.


15 ACOs Selected (Commercial, Medicare, Medicaid):

•ACO model live with 10 Accountable Care Organizations

•Participating in Dartmouth-Brookings ACO collaborative in Arizona

•Additional ACOs launched in New York, North Carolina, Northern California, Rhode Island, Colorado, Texas and Ohio

•Ongoing negotiations with ACOs in Arizona, New York, Ohio and other markets

Medicaid Accountable Care Shared Savings programs launched in several states

Accountable Care Platform | Managing Population Health

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Our ACO model incorporates proactive population health management strategies

The objectives of our ACO model are to:•Improve population health and patient experience•Deliver the best possible quality outcomes•Reduce medical cost and medical trend

Deliver Best Possible

Quality Outcomes

Improve Population Health and Patient

Experience

Reduce Medical Costs/Trend

ACCOUNTABLE CARE ORGANIZATIONS (ACO)

We are introducing Optum capabilities to our ACO partners to provide them with the analytics and decision support solutions to manage risk and improve quality outcomes.

CT

RI

MA

DEMD

NJ

AL

ARAZ

FL

IA

IL

MO

LA

MI

MS

TN

KY

SC

PANE

NY

TX

UT

WI

VACO

MN

NC

OHIN

WV

NV

NM

ND

OK

OR

WA

GA

SD

HI

VT NH

ID

KS

DC

MEAK

CA

WY

MT

8

ACCOUNTABLE CARE ORGANIZATIONS (ACO) & PATIENT-CENTERED MEDICAL HOMES (PCMH)

Palo Alto Medical Foundation

SUTTER

Palo Alto Medical Foundation

SUTTER New WEST PhysiciansNew WEST Physicians

Arizona Connected CareArizona Connected Care

CORNERSTONE HealthcareCORNERSTONE Healthcare

COASTAL MEDICALCOASTAL MEDICAL

Accountable Care Platform | ACO/PCMH Deployment Map

LifespanLifespan

WESTMED Medical Group

WESTMED Medical Group

North Shore LIJNorth Shore LIJ

ACO Model LaunchedACO Model Launched

As of 8/1/13As of 8/1/13

ACO and PCMH Models LaunchedACO and PCMH Models Launched

PCMH Model LaunchedPCMH Model Launched


Seton Health AllianceSeton Health AllianceACO Ongoing NegotiationACO Ongoing Negotiation

ACO Model LaunchedACO Model Launched

Mount CarmelMount Carmel


Accountable Care Platform | Proven Results

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SPECIFIC RESULTS

Performance-based Programs have demonstrated improved quality and cost-efficiency outcomes:

• 14% reduction in the use of non-Tier 1 prescriptions• 25% reduction in the use of non-participating laboratory services• ROI: Medical cost savings exceed incentive payout by at least 2:1

The transplant Centers of Excellence program has improved health outcomes:

• 25% decrease in the average length of hospital stays for transplants• Improved transplant survival rates at Centers of Excellence

• 3% reduction in one-year mortality for liver transplants• 5% reduction in one-year mortality for heart transplants

• 16% reduction in the incidence of transplants through application of evidence-based appropriateness criteria

Accountable Care Programs have proven results that demonstrate improved health outcomes:• 4-4.5% medical cost reduction• 17% reduction in inpatient days per 1,000• 16% reduction in emergency room visits per 1,000• 13% reduction in inpatient admissions per 1,000• ROI: Medical cost savings exceed incentive payout by at least 2:1 • Programs focused on Medicare Advantage members achieved at least a 4 Star HEDIS level on

screenings for diabetes, cardiovascular care, colorectal cancer and rheumatoid arthritis

Performance-based

Programs1

Centers of Excellence

Accountable Care Programs2

1 Primary Care Incentive Program results from RI market and national performance-based compensation program results.2 Commercial PCMH results from RI, OH, CO and AZ markets; Medicaid PCMH results from SW Arizona.

1 Primary Care Incentive Program results from RI market and national performance-based compensation program results.2 Commercial PCMH results from RI, OH, CO and AZ markets; Medicaid PCMH results from SW Arizona.

Documents

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