Table of Contents Assumptions .............................................................................................................................. 2 Healthways Fitness Your Way ................................................................................................... 2 Summary ................................................................................................................................ 2 Tools to meet fitness goals ................................................................................................. 2 Budget friendly fitness program........................................................................................... 2 Flexibility ............................................................................................................................. 2 Items included in Healthways Fitness Your Way program ................................................... 2 Items not included in base fees for Healthways Fitness Your Way ...................................... 3 Pricing ........................................................................................................................................ 3 Base Price Summary .............................................................................................................. 3 Pricing Assumptions ............................................................................................................... 4 Current and Future Prices ................................................................................................... 4 Eligible Member Population .................................................................................................... 4 Marketing ................................................................................................................................... 4 Communication and Promotion............................................................................................... 4 Reporting ................................................................................................................................... 4 11/21/2012 1 Assumptions The summary, pricing, marketing, reporting and data integration that follow reflect the current program and population characteristics associated with the Healthways Fitness Your Way solution designed for Blue Cross Blue Shield Association. Healthways Fitness Your Way Summary Healthways Fitness Your Way is a fitness program that’s designed to be flexible, accessible, and affordable, fitting the needs of members by offering: Tools to meet fitness goals Access to more than 8,600 participating fitness locations Ability to track exercise and nutrition goals with easy online tools Motivational tools through social networking, rewards and the Daily Challenge Budget friendly fitness program Only $25/month and a low $25 enrollment free, with a three-month commitment Up to 30% off on more than 40,000 experienced health and well-being specialists including massage therapists, personal trainers, nutrition counselors, yoga, Pilates instructors, and more Savings on vitamins, exercise equipment, aromatherapy, organic products, and unique gifts Flexibility Members can visit any participating fitness locations at anytime, anywhere, and as often as they want. Membership is active immediately. Members can print a temporary card from the website to use until the permanent card arrives via U.S. Mail. Locations include select national fitness centers such as 24 Hour Fitness®, Snap Fitness®, Curves®, Gold’s Gym, YMCA’s and more. Members will have 24/7 access to well-being support, health articles and online health coaching. Items included in Healthways Fitness Your Way program: The following services are included in the Healthways Fitness Your Way program membership: Healthways Fitness Your Way Web site — Online tools and resources for enrolled members. Fitness center locator — Access to an online locator to identify and connect with a participating fitness location. o 11/21/2012 Access to more than 8,600 participating locations nationwide, including select 24 Hour Fitness®, Snap Fitness®, Curves®, Gold’s Gym, YMCA’s and more. 2 Discounts — Up to 30% off for services from more than 40,000 experienced health and well-being specialists including massage therapists, personal trainers, nutrition counselors, yoga, Pilates instructors, and more. Additional Discounts — Savings on vitamins, exercise equipment, aromatherapy, organic products, and unique gifts. Daily Challenge — Engagement-driven well-being challenges through social networking, gaming and rewards. Customer Service — Healthways provides telephonic and online customer service to accommodate those members who cannot access a website or who choose to enroll or ask questions telephonically. o Customer service is available in English and Spanish. Customer service representatives will accommodate other languages by using the Language Line Services. o Customer service is available Monday through Friday, 8 a.m. – 9 p.m., in all U.S. time zones. Membership cards — Healthways will mail membership cards to enrollees. Quality Fitness Facilities — Each fitness location is evaluated based on the atmosphere and friendliness of staff, overall capacity, appearance, location, visibility, cleanliness, parking, handicap accessibility, and availability of other amenities before they are added to the network. Recruitment — Members can nominate a fitness center either online or through the telephonic customer service. Items not included in base fees for Healthways Fitness Your Way: Incentive fulfillment services, promotional items, non-standard marketing, or other means to increase utilization Print production and distribution of marketing communication materials Digital distribution of marketing communication materials (full-service e-mail delivery) Custom and/or ad hoc reporting Pricing Base Price Summary Pricing summary: One-time $25 initiation fee per enrollee A $25 per enrollee per month (PEPM) fee with a three-month minimum Enrollee refers to a Blue Plan member who qualifies for and enrolls in the Healthways Fitness Your Way program. Taxes will be applied to the fitness membership based on the location of the enrollee. 11/21/2012 3 Pricing Assumptions Current and Future Prices Current pricing effective January 1, 2012 Healthways collects initiation fee and monthly fee from enrollees via member credit card. Changes to pricing can occur based on market demands, promotions, network changes, etc. Eligible Member Population The member population represents adult members (18 years or older) who are currently enrolled in a medical product at one of the Blue365 participating Health Plans. Marketing Communication and Promotion The Healthways Fitness Your Way program has a comprehensive package of communication and promotional materials available to use as-is or in a customizable format. This package includes web banners, newsletter articles, tent cards, sales/discounts flyers, etc. Each piece is available in a customizable PDF and in a Word/text format for customizable promotions by the Health Plan and/or the employer. The Blue Cross Blue Shield Association may provide various promotions throughout the year to increase member enrollment and participation. During these promotions, the pricing model may change to reflect the promotion. Reporting Aggregate participation reports by participating Blue Plan are available on a monthly basis. Non-standard services, customization, data analysis, file feeds, and reporting may incur additional fees depending on the scope of services requested. 11/21/2012 4