Dianne Kiehl Business Health Care Group Guest Speaker Presentation July 30, 2009

The purpose of the Louisville-Kentucky Business Coalition on Health is to improve the quality and reduce the cost of health care and to address the unsustainable rising costs of health insurance.

LKBCH is established… Incorporated June 30, 2004 Filed February 5, 2006 for 501(c)(3) recognition Approved November 20, 2006

Louisville employers are supporting our efforts…

“As an organization located in the Louisville area, we are interested to see any results of research that may illustrate potential tangible solutions toward the stabilization of health insurance costs.” Randall R. Rakosnik Sr. Director – Compensation, Benefits & Administration Beam Global Spirits & Wine, Inc.

“I am writing in support of The Louisville- Kentucky Business Coalition on Health’s (LKBCH) proposal.” Congressman John Yarmuth October 1, 2007

What Do Employers Want? Improve the Bottom Line! This can be accomplished by Improving productivity and employee satisfaction with health care by improving patient outcomes Providing affordable health insurance by lowering overall medical and pharmacy costs Measuring the quality and cost of health care by implementing a system that provides checks and balances in the delivery of and payment for health care

Employers Drive the Current Process Supporting a Payment System that Pays for: Services rather than outcomes Acute care not prevention Medical errors and “do overs” Services with no performance-based payment No measurement or standard for quality!

The problem…. Rising health care costs in America put local industry at a disadvantage. The opportunity… Industry leaders know that re-engineering and technology can drive improved quality and lower cost. This can be accomplished in the delivery of and payment for health care. Where do we stand?

National Business Coalition on Health (NBCH) Nationally, there are 65 non-profit business and health care coalitions Prime Objective Health care reform, community by community

Business Health Care Group Reports Savings Self-Funded Members See Aggregate 15 Percent Drop in Costs MILWAUKEE – Jan. 08, 2007 – Business Health Care Group’s self- funded member companies reporting data for the first half of 2006 saw a 15 percent drop in medical costs per health plan member, which translates into annualized savings of $26 million.

Dianne Kiehl Executive Director