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SIMPLIFYING THE BUSINESS OF HEALTHCARESIMPLIFYING THE BUSINESS OF HEALTHCAREIntroduction to iPlanRxTom Madden, Partner375 AMS Court, Ste BGreen Bay, WI 54313tom.madden@iplanrx.comwww.iplanrx.com920-221-1633

“Managing operating expenses, controlling headcount..deferring capital expenditures, and conserving or strengthening liquidity…are key CFO goals in 2023….” Deloitte’s Q3 2022 CFO Signals Survey

Key Questions for your District:Why would you expect your costs for your next plan year to be lower than they are right now?What is your #1 strategy to reduce the number, size, and frequency of your claims?If there was a better way to do what you are doing today…when would you want to know?

The average school district in Wisconsin spends $23,820 per Family and $11,340 per Single per year for health insuranceState of WI District Reported Data, 2019**(with 7% trend for plan years 2020,21,22)

The average employer working with iPlanRx spends $14,900 per employee per year- 2022 Plan Year Data

010090807060 50403020100The most expensive five percent of patients accounted for about half of total health spending, while the most expensive 20 percent accounted for 82 percent of spendingPercent of Civilian Non-Institutionalized Population Ordered by Health Care Spending, 201410 20 30 40 50 60 70 80 90 1000.0 0.10.51.32.85.49.917.933.89577.2100.0Top 1% of spenders account for more than one-fifth of all spendingTop 5% of spenders account for half of all spendingTop 10% of spenders account for two-thirds of all spendingBottom 50% of spenders account for only 3% of all spendingCumulative Percent of Total Spending9949.515THE RIDDLE to SOLVE: DO YOU HAVE the ANSWER?

The Current Model Isn’t Working Problem: All players have misaligned interestsProblem:No management of the frequency and severity of claimsProblem:Managing increases by moving to lower cost, lower benefit plans

iPlanRx Custom Health Plans DeliverConvert OpEx to EBITDAPredictability Better Outcomes Less Risk Aligned Incentives

Case Study WI School DistrictLong-term Outlook: Change vs. Cost of Inaction

Plan Year FlexibilityIn most cases, it is possible to make changes that are effective the first of any monthWe are ConsultantsWe act as an adviser to achieve these resultsMinimal informationInitial cost modeling is possible with basic data Moving Forward

Initial Cost ModelingCensusMember name, zip, gender, date of birthEnrollmentNumber of employees by tier per offered planRenewalMost recent renewal including ratesABC CompanyCurrent PlansSummaries of current plan(s)

Initial Cost Modeling (no cost) Review of Cost Projections - If positive then next steps are determinedDeliverable: Actionable detailed plan to control increases, vendors, underwritten ratesImplementation:Timeline would be laid out with key milestones, please contact and mention WiRSHIP Plan for WI School Districts:Next StepsTom Madden, Partner375 AMS Court, Ste BGreen Bay, WI 54313tom.madden@iplanrx.comwww.iplanrx.com920-221-1633