DTE Energy Company Healthcare Initiatives Overview

1
DTE Energy Company Healthcare Initiatives
Overview

• July 14, 2008

2
Company Profile

• Midwest based energy company
• Regulated electric and gas utilities
• Mix of non-regulated businesses
• 10,000 employees
• Low turnover
• 10,000 retirees

3
Healthcare Facts

• Historically high healthcare costs
• Generous benefit plan designs with modest
  contributions/deductibles/co-pays
• Five different healthcare plans for
  non-represented employees
• Healthy Blue Living a popular option

4
A Focus on Health

• Healthcare cost impact drove management attention
  and desire to devise long-term solutions
• Concept of healthier employees embraced as the
  best win-win approach
• Plans and programs identified and implemented to
  encourage/incent healthy behaviors and living

5
Program Offerings

• Preventative services covered at 100
• Wellness program offerings throughout the year
• Health risk assessments available and incented
• Disease management program for the chronically
  ill
• Attractive contribution strategy for plans with
  healthy living features

6
Healthy Blue Living Plan Member Health
Behaviors
Enrollment Qualification Forms For DTE Energy
Members 10/1/06 to 3/1/08 Based on all completed
enrollment qualification forms
Numerator too low to report
7
Progress to Date

• Culture of health beginning to gain momentum
• Favorable healthcare cost trends
• Employee/retiree engagement increasing
• Positive feedback from Healthy Blue Living
  participants

8
The Energize Your Life Program
Awareness
Health Assessment
Behavior Change
Consumerism
Chronic Conditions

• Tobacco Policies
• Preventive care coverage through benefit design
• Hygiene/germ communications
• Onsite Programs
• Wellness Resources
• StayWell Online Suite
• Program Recognition

• Questionnaire
• Action Plan
• Risk Stratification
• Onsite Screenings
• Incentives
• 50 Gift Card employee spouse rep/nrep
• Healthy Behavior Incentives nrep up to 175

• Individualized risk-based
• Phone, mail and online delivery
• Population-based campaigns -2 yearly
• Onsite health/fitness centers or discounts for
  fitness centers
• Healthy cafeteria vending options

• Self-care books and tools
• Nurse Lines
• Benefits information and tools
• Quality and cost information
• HSA company contributions
• Healthy Blue Living
• Preventive Care reminders

• Self-management for chronic disease
• Comprehensive disease management delivered
  through
• Health plans
• Focused Health Solutions
• Complex Disease Management available

Communications and Incentives
DTE Energys EYL program is designed to help
maintain low risk, reduce moderate and high
risks, and facilitate chronic condition
management.
9
Energize Your Life Risk Mitigation
Risk Migration Based on Health Assessment
Responses

• Overall, the Energize Your Life program has been
  successful in reducing reported health risks for
  HA participants
• The initial risk reduction was significant, with
  incremental reductions each year

High Risk (6-9 Risks)
Moderate Risk (3-5 Risks)
Low Risk (0-2 Risks)
4.5 shift
3 shift
1.8 shift
2005
2006
2007
Q1 2008
High Risk
938
513
498
271
Moderate Risk
3,540
2,660
2,640
1,566
Low Risk
1,625
1,494
1,843
1,175
6,103
4,667
4,982
3,012
Total

• Preliminary based on Q1 2008 health
  assessment

10
Disease Management

• Enrollment
• Focused Health has worked with over 1,843 members
  enrolled in 2,451 programs since inception.
• The top four program enrollment categories are
• Back and Neck (34)
• Hypertension (26)
• Diabetes (13)
• Asthma (13).

11
Disease Management
DTE Energy 3-Year Disease Management Savings
Active Enrollees 2007

• Savings from Reduction in Work Days Missed
• Medical Claims Savings
• Total 3-Year Investment