GCG Financial

Capabilities Presentation

Leaders in Creating Long-term Sustainable Benefits

Executive Summary

GCG Financial (GCG) is excited about the opportunity to meet with ABC Company and members of its Executive Team. Thank you for this opportunity. Your organization is a perfect fit for our Corporate Benefit Division. We want to work with you on a lasting basis, implementing unparalleled near-term insight with a long-term distinct benefit strategies. Your specific goals and objectives will be used to formulate an employee benefits package that enhances the company’s ability to attract and retain employees.

The cost of providing healthcare benefits continues to increase in excess of 10% per year leaving management with the difficult task of rethinking how to deliver competitive benefits to their employees. Most solutions that have been implemented are largely “cost shifting tactics and we want to join-forces with our clients to create multi-year strategic plans. Our consultants pioneer ideas and utilize creative applications to both empower and improve our clients benefit capabilities. Communication is at the forefront of what GCG dominates our market in helping our clients and their employees interpret the “science behind our industry” into a language easily understood.

We have also exclusively tapped into the resources of Milliman, who is one of the largest and most respected global actuarial firms. GCG brings Milliman actuarial and business expertise to a market that has been underserved. In conjunction with GCG, Milliman assists in bringing independent sense to complicated technical situations, uses realistic thinking, offers extensive research and bench-marking, all designed to produce a sustainable well perceived benefits package.

Leaders in Creating Long-term Sustainable Benefits

Who is GCG Financial?

GCG is part of the nations elite comprehensive insurance and financial services firm offering a wide range of superior employee benefit programs and consulting services

For over 30 years GCG’s has pledged action of doing what is “right for our client”. Encompassed with our trademark of “service that excels”, GCG leads all other brokerage firms in pioneering ideas and implementing creative applications

Our mission of creating a long-term sustainable benefits package is accomplished with the pooled resources, expertise and support of 250 Producers and Employees

GCG has a strategic working relationship with Milliman, one of the largest and most respected global actuarial firms and supplier of data to 90% of the health insurance companies in the United States

Our national presence with over 4,000 public and private corporate, municipalities, school districts and not-for-profits clients, places GCG in the top 1% of all brokerage firms nationally. Our size empowers us to partner with the best insurance carriers that can bring the most extensive solutions available to our clients

Ultimately, our success is measured by the strength of our relationships

Leaders in Creating Long-term Sustainable Benefits

Credibility

Leaders in Creating Long-term Sustainable Benefits

GCG in the News

Interview

Leaders in Creating Long-term Sustainable Benefits

Sample of the Diversity of our Clients

Leaders in Creating Long-term Sustainable Benefits

Key GCG Differentiators

Cobra Administration

Plan Design

Actuarial & Benchmarking Services

Benefit Communication

Wellness Initiatives

Carrier Relationships

Contribution Strategy

Online Resource Center

Creating a Long Term Sustainable Employee Benefits Program

Our Clients

Leaders in Creating Long-term Sustainable Benefits

GCG Employee Benefit Expertise

Specialization in the following:– Medical– Rx– Dental– Vision– Long Term Disability– Short Term Disability– Life Insurance– 401(k) Plans– Pension/Profit Sharing Plans– Executive Carve-Out Plans– Long-Term Care– Wellness Programs– EAP Programs– Flexible Spending, HRA Section 105

Plans– COBRA and Compliance Support– HIPAA Compliance Assistance– Preparation of 5500’s– Online Benefits Resources

Partial or Full Self-Funding

Disease Management

Predictive Modeling

Leaders in Creating Long-term Sustainable Benefits

GCG’s relationship with Top Carriers

Aetna: Advisory board member and dedicated renewal specialist

BCBS of Illinois: Premier Producer- top 1% of all firms (1 of 16 firms that participate in Producer Advisory Council)

Great- West Life: Platinum Producer (1 of 10 in our market)

Humana: Most cases and highest subscriber count in the country (1 of 3 firms selected to participate in national broker roundtable on CDHP’s) e dedicated concierge service to GCG and its clients

United Healthcare: Platinum Producer (1 of 8 in our market) gives GCG clients a dedicated service line, a devoted Account Manager and specific Underwriting teams for larger GCG accounts

This recognition helps GCG receive an enhanced level of service and support from the carriers mentioned.

Distinguished Service Levels

Leaders in Creating Long-term Sustainable Benefits

GCG Total Health Plan Focus

Assessment and Management of Employer Health Care Programs:

Renewal Preparation and Negotiation Perform Market Analysis Industry Benchmarking Provide Detailed and Usable Monthly Reporting Packages Analysis of Funding Methods Analysis of Plan Designs Develop Employee Contribution Strategies Determine Network Effectiveness Utilization of appropriate Care and Disease Management

Services Develop and Implement Employee Education Programs

GCG Financial has an exclusive working relationship with Milliman USA, the actuarial global leader that supplies data to 90% of the health insurance companies in the United States

Leaders in Creating Long-term Sustainable Benefits

Actuarial and Reporting Services

Actuarial and Reporting services include:– Financial Monitoring Reporting

Brings together claims experience, benefits paid, and gross and net costs in one report.

– Benefit Positioning System Measures each employers plan relative to others in the nation, specific

industry and their area.– Health Plan Cost Forecaster

Actuarially forecasts cost in the coming year and provides enablement to set budgets and IBNR levels for self insured plans.

– Risk Manager/Stop Loss Analysis Actuarial projections used to estimate proper stop loss levels and

rates.– Plan Design Analysis and Renewal Evaluation– Annual Comprehensive Assessment of Health Plans (CAHP) Report

Covers plan design, assessment of carriers, analysis of rating, employee contribution strategy, funding, and risk management.

Leaders in Creating Long-term Sustainable Benefits

Sample Renewal Analysis

Leaders in Creating Long-term Sustainable Benefits

GCG Milliman Mid-Market Survey

Provide Businesses with comparable benchmarking data Lack of data available for mid-sized Employers Ability to compare data Local and Nationwide basis (over 3,000

employers are participating nationwide)

Provide solutions to help Businesses manage health care cost increases

Data is turned into Information that assists in positioning your Benefits Package

Proactive strategies can be applied to the benefits plan versus reacting based on a unclear variables and/or renewal increases

Leaders in Creating Long-term Sustainable Benefits

BenchmarkingEmployee Contribution %’s

Leaders in Creating Long-term Sustainable Benefits

BenchmarkingWellness Programs Offered

Leaders in Creating Long-term Sustainable Benefits

BenchmarkingConsumer Driven Health Plans – Plan Prevalence

8%

41%

13%

44%

23%

29%

2%4%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Currently Offer Considering Offering

Pe

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nta

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of

Em

plo

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rs

2004 MMMS National Median 2005 MMMS National Median

2005 Chicago Area Survey Median 2006 Chicago Area Survey Median

Leaders in Creating Long-term Sustainable Benefits

MyWaveHR

Connect with other professionals in your field by entering group discussions, or post a message of your own.

3-Community

Allows a seamless exchange of information sharing and collaboration with [b_abbrname].

MyWave Portal

1-Collaboration CenterA series of newsletters that will help educate you about the importance of making health care decisions carefully.

1-HealthShop

GCG’s Online Resource Tools

2-Benchmark SurveysParticipate in benefit plan and/or P&C program surveys

2-Documents on CommandInstant access to a library of downloadable articles, brochures, forms, and reports

3-Legislative GuidesOnline guides to complex legislative topics.

4-ResourcesLinks, Articles, and Resources for a variety of topics.

Take the 2006 Benefits Benchmarking SurveyDirect to Survey

Survey info page

www.gcgfinancial.com

Leaders in Creating Long-term Sustainable Benefits

Instant Benefits

Leaders in Creating Long-term Sustainable Benefits

Getting Your Benefits Message Across

Benefit Communication – Meeting the legal litmus test– Micro and Macro-level communication

Employee Meetings and Benefit Fairs – #1 Group meetings– #2 One-on-one meetings– #3 Personalized benefit statements– #4 Other written communications– #5 Web-based communications– #5 Employee benefit surveys and data gathering

Investing in benefits communication pays!– Benefit communication has direct link to employee retention– At organizations that effectively communicate the value of less rich benefit

packages, 76% of employees expressed satisfaction

Before spending more on benefits consider communicating it more effectively!

Leaders in Creating Long-term Sustainable Benefits

GCG Benefit Symposiums and Meetings

GCG Annual Benefit Symposiums.Consumerism and Wellness meetings.Milliman Benchmarking meetings.Annual appearances at IASBO and other prestigious Human Resource conferences.

Leaders in Creating Long-term Sustainable Benefits

What separates GCG Financial as Consultants

GCG Carrier RelationshipsZywave & Instant Benefits Technology – (Human Resource Center) Benefit SymposiumsBackground and Diversity of GCG StaffEnrollment Driven in HDHP’s – one of the largest in the MidwestBenefit and Contribution Strategies that meet short and long-term solutions – 97.3% Client RetentionBenefit Communication Educators Cobra Administration Included Benefit Statements & Communication Plan DevelopmentGroup Meetings & Seminar Series Available on Retirement/Financial Planning

We Are Implementation Driven!

Leaders in Creating Long-term Sustainable Benefits

Contact Us

GCG Financial, Inc.3000 Lakeside Drive

Suite 200 SouthBannockburn, Illinois 60015

(847) 457-3000www.gcgfinancial.com

Corporate Headquarters

Additional Locations:

Bloomington, IL

Glen Ellyn, IL

Oak Brook, IL

Springfield, IL

JC BuckEmplopyee Benefits Consultant

[email protected]

7807 East Peakview AvenueGreenwood Village, CO 80111

Denver, CO