1 Making healthcare expenses easier for employeesSteve Horvath Vice President, Product & Marketing Strategy CoreSource

2 Nationwide leader in self-funded benefit plan managementRobust programs focused on Benefit Administration, Cost & Risk Management and Member Health Optimization Flexibility to create unique, negotiated plan designs, integrate numerous vendor partners and managed care/network options Target markets: mid-size employers (100 – 5,000 lives), health insurers, hospitals & health systems and retirement systems One of the largest independent employee benefit TPAs, as ranked by Business Insurance 40+ years of TPA experience, more than 500 clients and 1.3 million members with approximately 900 professionals on staff and 11 regional client service and operations centers across the country

3 Fulfilling the Trustmark Mission Helping people increase well-being through better health and greater financial security

4 Problems faced by Healthcare ConsumersMoving from Passive Patient to Active Consumer Paradigm Shift in Cost-sharing Consumers are confused They don’t know the total cost prior to, or at the time of, service Get multiple bills from several different entities. “What do I owe?” X 2.5 2015 $1,541 2005 $622 Avg. deductible more than doubled in last 10 years¹: ¹ Agency for Healthcare Research and Quality : Medical Expenditure Panel Survey-Insurance Component, private-sector establishments, July 2016.

5 Consumerism causes Providers toDO MORE WITH LESS Billing patients is very expensive for Providers Patient payments are the most volatile and slow It costs 3X more1 to collect from Patients than from Employers – Expected to increase 62% by 20192 Providers typically write off 30-50%4 of Patient payments as bad debt – this will increase 23% by 20192 …and more staff is needed to support patient billing …and lower utilization due to patient cost 35% of calls3 to Admin Staff are regarding billing issues 58% of people report they’ve foregone or delayed medical care due to financial concerns5 While keeping patients satisfied 1. Improving self-pay at all points of service. McKesson/ RelayHealth white paper. September 2010. 4. The next wave of change for US health care payments,” McKinsey Quarterly, May 2010 2. Citi analysis, 2014, Emdeon Analysis 2015, based on 2011 data gathered by HHS and CMS. 3. NextGen, Revenue Cycle Management Survey 2015 5. Kaiser Family Foundation, “Health Security Watch.” June 2012.

6 How do we fix this? Plans shift cost to ConsumersConsumers use less services Providers raise fees to counter lost income The same old “reactionary” approach can’t fix this – it only gets worse

7 An Innovative and Unique SolutionA healthcare financial benefit exclusively for CoreSource clients A merger between the financial and healthcare industries Making healthcare expenses easier for employees

8 Two Levels Serving Different NeedsOnline Payment Manager SimplicityComplete Convenience and Control Protection and Support An Online Payment Manager (OPM) Easy resource tool for individuals to simply manage their own healthcare finances Complete funding of benefits with deductible and co-insurance Up to 12-months interest free payment options

9 Online Payment Manager (OPM)Simple claim data view with bill payment functionality Members pay out of pocket balances online using the secure portal Members could receive 1% SimpleRewardsSM credits Powered by Simplicity

10 OPM has a simple, intuitive designA system flow similar to other financial management sites

11 Online Payment Manager Value to MembersSimplified process means all medical expenses are in one place! No more sorting through multiple bills. More control means members select which bills to pay and add them to the online shopping cart. Multiple payment options give members choices. Pay using debit, credit, or a tax-free account like an HSA or FSA.

12 12 months interest-free payment options!SimplicityComplete An upgraded healthcare financing mechanism, which funds co-insurance and deductibles 5% Rewards 12 months interest-free payment options!

13 How SimplicityComplete WorksMember goes to doctor 1 Patient makes one payment to SIMPLICITY 7 Doctor submits claim 2 SIMPLICITY sends statement to Patient 6 CoreSource sends benefit payment to SIMPLICITY 3 SIMPLICITY sends ONE complete payment to doctor 5 SIMPLICITY pre-funds patient payment responsibility 4

14 Key Aspects of SimplicityCompleteCreate a single, complete source of reimbursement for Providers Add Plan benefits to Patient obligations at the time of adjudication Send one, consolidated monthly statement to patients Combine all provider bills and services into a simple statement Give patients a single source of truth for what they owe by taking Providers out of the billing process - one amount due to one source A New Type of Provider Network Offer a consumer-focused payment network tied to the managed care environment

15 Member Rewards Earn 1% SimpleRewardsSM credits for using Online Payment Manager Earn 5% SimpleRewardsSM credits for paying SimplicityComplete balance Use Rewards during next two plan years after earning

16 SimplicityComplete Value to MembersFinancial Protection – medical expenses can be overwhelming and possibly catastrophic. SimplicityComplete is a safety net and offers protection from high out-of-pocket costs with 12-months interest free. Trust – members can be assured the balance bill confusion is removed. They can be confident the amounts they owe were clarified for them. Advocacy – members get support and education from industry experts to navigate the complexities of healthcare expenses. They benefit from someone helping them while they focus on their health.

17 With SimplicityComplete Providers Can…Benefits to Providers SimplicityComplete Offers Providers something they’ve wanted but never thought they could get: A system where Payers bill and collect all patient responsibilities – taking providers out of the process. Payments that finally work like other modern industries – one payment for one service A more complete and expedited payment with less effort than ever before – no startup investments, no internal process change With SimplicityComplete Providers Can… Increase Liquidity Receive Prompt, complete Payments for services Reduce Days in A/R Reduce Administrative Burden and Cost Eliminate Bad Debt Improve Patient Relationships

18 Benefits to Brokers Differentiator for Broker working through CoreSource CoreSource is the only company leading the introduction of this benefit to the self-insured market Protect retention of client with value of retaining rewards No cost to client Funded via fee paid by provider No work on their behalf Can leverage communication opportunities to educate employees

19 Simplicity Value PropositionTrust and Advocacy for the Member Confused? We’re here to help! Simple Bill Payment Process and Rewards One Bill for SimplicityComplete users “Simple Rewards” Control and Transparency Easy to understand statements & portal

20 Steve Horvath Vice President, Product & Marketing Strategy CoreSource