ABSOLVE PROGRAM RESULTS 2 Through a combination of proprietary claims handling processes, clinical and technical expertise, and medical case management, AbSolve reduces unscheduled absence by 30% in 3 years. 3 EMPLOYER EXPENSE AS % OF PAYROLL Direct Cost of Unscheduled Absence = 9% of Payroll PROPRIETARY OUTSOURCING SOLUTION NJHA’s new leave of absence outsourcing solution, AbSolve (formerly known as CAMP - Custom Absence Management Program), leverages clinical and medical expertise, best practices, and technology to reduce lost time associated with unscheduled employee absence. 14% 9% 26% Unscheduled Absence Direct Cost Unscheduled Absence Indirect Cost Health Care PAYROLL Salary Continuance Benefits Taxes Replacement labor Training Lost productivity M����� 1-6 M����� 7-12 M����� 13-18 M����� 19-24 M����� 25-30 M����� 31-36 1 Incurred duration as of February 2015 2 Calculation of total hours and pay rates BOOK OF BUSINESS INDUSTRY: FACILITIES: EMPLOYEES: LOCATION: BOOK OF BUSINESS RESULTS AbSolve®: ABSENCE MANAGEMENT SOLUTION 3-YEAR SAVINGS SCHEDULE 4 YEAR 1 YEAR 2 YEAR 3 TOTAL 3-YEAR SAVINGS: PAYROLL (DUE TO UNSCHEDULED ABSENCE) �������: ������� � � ����� �������: ������� �����: $3600 ��� �� 6% $108 M $1800 ��� �� 3% $54 M $1200 ��� �� 2% $36 M $600 ��� �� 1% $18 M ������ ������ ��������� 3 HEALTHCARE 12 30,000 NORTHEAST U.S. 3 Based on closed claims trend and incurred duration as of January 2015 4 Total savings as a result of reduced paid-time-off and replacement of essential hours 71 DAYS 63 DAYS 60 DAYS 56 DAYS 53 DAYS 30 35 40 45 50 55 60 65 70 75 STATE FUND (Before) MONTHS 1-6 MONTHS 7-12 MONTHS 13-18 MONTHS 19-24 1 Short-Term Disability: Days Reduced by 25%