Elevance Health, Inc. · NYSE:ELV
Elevance Health — Anthem — 2015 Credit Suisse Annual Health Care Conference
20 slides from Elevance Health's conference presentation, Nov 10, 2015
Slide 1: 2015 Credit Suisse Annual Health Care Conference
2015 Credit Suisse Annual Health Care Conference Joseph Swedish Chief Executive Officer Wayne DeVeydt Chief Financial Officer Doug Simpson Vice President, Investor Relations Filed by Anthem, Inc. (Commission File No. 001-16751) pursuant to Rule 425 under the Securities Act of 1933 and deemed filed p
Slide 2: Safe Harbor Statement & Non-GAAP Measures
Safe Harbor Statement Under The Private Securities Litigation Reform Act of 1995: The statements made during this presentation that are not historical facts are forward-looking statements within the meaning of the Federal securities laws, and may involve a number of risks and uncertainties. Factors
Slide 3: Agenda
AGENDA Consumer Benefits of Cigna Acquisition 2015 Financial Outlook Diversified Growth Focused on Affordability & Choice 3 Pillars – Focus on Strategic Imperatives
Slide 4: Anthem Business Continues to Diversify
Commercial Government Commercial Government Other Percentages calculated as a percent of total operating revenue. Anthem Business Continues to Diversify
Slide 5: Innovative Solutions Driving Affordability & Choice
Innovative Solutions Driving Affordability & Choice Leadership position in advancing provider collaboration and new payment models Proven health and wellness programs Local focus advancing affordability Technology centric investments across industry’s largest base of membership Enhanced administrati
Slide 6: Pillars – Focus on Strategic Imperatives
3 Pillars – Focus on Strategic Imperatives Provider Collaboration Managing Total Cost of Care Consumer Centricity
Slide 7: Assessing Excess Health Care Costs
Assessing Excess Health Care Costs Category Sources Estimate of Excess Costs Unnecessary Services Overuse—beyond evidence-established levels Unnecessary choice of higher-cost services $210 billion Inefficiently Delivered Services Mistakes—errors, preventable complications Care fragmentation Unnecess
Slide 8: Increasing Provider Collaboration to Drive Affordability
Increasing Provider Collaboration to Drive Affordability 2,250 designations Blue Distinction Centers of Excellence 796 hospitals >75% of Commercial inpatient admissions Hospital Payment for Quality and Safety 4.2 million members Attributed to Anthem’s Enhanced Personal Health Care Program 55,000 pro
Slide 9: Encouraging Results from Enhanced Personal Health Care Program
fewer acute inpatient admits per 1,000 7.8% fewer inpatient days per 1,000 5.7% PMPM decrease in outpatient surgery costs 5.1% decrease in ER costs, and a 1.6% decrease In ER utilization 3.5% $9.51 PMPM GROSS SAVINGS OVER THE FIRST YEAR (3.3%) NET SAVINGS $6.62 PMPM $36M IN SHARED SAVINGS PAID TO PR
Slide 10: EPHC Drives Differentiated Member Experience
EPHC Drives Differentiated Member Experience Patients get appointments for urgent care right away Physicians and staff are attentive, thorough and available Patients feel more respected and satisfied CAHPS-PCMH is utilized for patient experience Change in member experience scores, 2013-2014 Comparat
Slide 11: Managing Total Cost of Care
Managing Total Cost of Care Emerging technology Fraud & waste Specialty drugs ER utilization Imaging High-cost conditions Social/ behavioral
Slide 12: Understanding Consumer Preferences
Understanding Consumer Preferences experiences customers value most experience enhancements most impactful at critical interactions interactions that impact those experiences the most 1 2 Experiences Interactions Feeling confident you are covered and will be taken care of in the event of a health is
Slide 13: Acquisition of Cigna Brings Together Complementary Businesses
Acquisition of Cigna Brings Together Complementary Businesses Affordability: Most recognizable brand Local focus A leading Commercial franchise Strong Public Exchange execution A leading and growing Medicaid franchise A leading Medicare Supplement and improving Medicare Advantage business Well-posit
Slide 14: Acquisition Advances Affordability, Quality and Choice
Acquisition Advances Affordability, Quality and Choice Affordability Quality Choice / Personalization Provider Collaboration Managing Total Cost of Care Consumer Centricity Data and Insights Talent
Slide 15: 2015 Shaping Up to be Another Strong Year
2015 Shaping Up to be Another Strong Year Adjusted EPS** of a range of $10.10 - $10.20 Operating cash flow >$3.5 billion 38.3 – 38.5 million members by 12/31/15 Benefit expense ratio of 82.9% +/- 30 bps Continued strong Commercial & Government segment results Solid membership growth Robust Medicaid
Slide 16: Anthem
Slide 17: GAAP Reconciliation of Adjusted EPS
We have referenced "Adjusted Net Income Per Diluted Share" (or “Adjusted EPS”), a non-GAAP measure, in this document. This non-GAAP measure is intended to aid investors and analysts when comparing our financial results among periods. Management also uses this measure as a basis for evaluating perfor
Slide 18: Additional Information and Where to Find It
This communication does not constitute an offer to sell or a solicitation of an offer to sell or a solicitation of an offer to buy any securities or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would b
Slide 19: Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 This document, and oral statements made with respect to information contained in this communication, contain certain forward-looking information about Anthem, Inc. (“Anthem”), Cigna Corporation (“Cigna”) and the combine
Slide 20: Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 events that result in negative publicity for us or the health benefits industry; failure to effectively maintain and modernize our information systems and e-business organization and to maintain good relationships with
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