Commonwealth of Kentucky Forges a Path of Health for State

As the largest employer in the state, the Commonwealth of Kentucky places a high priority on keeping its employees healthy. When administrators of its Kentucky Employee Health Plan (KEHP) discovered that nearly 80 percent of plan costs were associated with chronic diseases, the Commonwealth turned to its health partner – Humana Inc. (NYSE: HUM), one of the nation’s leading health and well-being companies – to find a solution.

Humana and KEHP designed the LivingWell Promise to pair with KEHP’s LivingWell health plans. Commonwealth employees who signed up for a LivingWell plan agreed to complete an online health assessment by May 1, 2014, and keep contact information current.

“We wanted the LivingWell Promise to be simple and straightforward,” said Joe Cowles, Commissioner of the Personnel Cabinet’s Department of Employee Insurance. “Those who committed to the promise will receive lower coinsurance, deductibles and out-of-pocket maximums. Employees will also have an in-depth view of their health and medical history through the health assessment. The assessment also provides a greater understanding of their risks and opportunities to take action to get and stay healthy.”

Eighty-one percent of KEHP members signed the LivingWell Promise for this year. They will have access to HumanaVitality®, a comprehensive wellness and rewards program; Vitality HealthyFoodTM, a savings program on healthier foods at Walmart; health coaches for a broad range of health topics; and nurse support for expectant moms, transplant patients, weight loss and other medical conditions.

“KEHP is directly engaging their employees through the LivingWell plans and promise,” said Tony Butcher, Director of Account Management at Humana. “The Commonwealth’s innovative and progressive approach lets employees know exactly how healthy – or unhealthy – they are, and delivers personalized resources that support healthy and well-balanced lifestyles.”

KEHP witnessed a fivefold increase in employees who selected a consumer-driven health plan, which puts the individual more in control of his or her health expenses (12,900 employees in 2013 to 68,600 employees in 2014).

“As Kentucky’s largest employer, with members in every city and county, the Commonwealth sets an example for other employers to follow and has the ability to directly influence the overall health of Kentucky,” said Butcher, who oversees the relationship with the Commonwealth.

“Governor Beshear has set a clear vision to address Kentucky’s poor health. Access to affordable coverage is now available. Preventive care efforts are expanding to increase immunizations, reduce smoking, cancer, heart disease, and diabetes rates,” Secretary of the Personnel Cabinet Tim Longmeyer said. “With greater focus on wellness promotion by Kentucky’s employers and healthcare providers, together, we can increase worker productivity, attract prospective business, reduce costs, and most importantly, improve Kentuckians’ quality of life.”

The Commonwealth’s efforts have been recognized by the Healthiest Employer’s program (hosted by Louisville Business First). The Commonwealth and KEHP were finalists in this year’s awards.

About KEHP

The Kentucky Employees’ Health Plan (KEHP) is a self-insured health insurance plan delivering wellness, health and pharmacy benefits to approximately 290,000 Kentucky teachers, state employees, retirees and quasi-governmental employees. KEHP’s LivingWell program focuses on providing wellness initiatives aimed at improving members’ overall quality of life. In January 2012 KEHP launched the fully-incentivized HumanaVitality program for health plan members and dependents. For more information on KEHP’s LivingWell programs, visit LivingWell.ky.gov.

About Humana

Humana Inc., headquartered in Louisville, Ky., is a leading health care company that offers a wide range of insurance products and health and wellness services that incorporate an integrated approach to lifelong well-being. By leveraging the strengths of its core businesses, Humana believes it can better explore opportunities for existing and emerging adjacencies in health care that can further enhance wellness opportunities for the millions of people across the nation with whom the company has relationships.

More information regarding Humana is available to investors via the Investor Relations page of the company’s website at Humana.com, including copies of:

• Annual reports to stockholders
• Securities and Exchange Commission filings
• Most recent investor conference presentations
• Quarterly earnings news releases
• Replays of most recent earnings release conference calls
• Calendar of events (including upcoming earnings conference call dates and times, as well as planned interaction with research analysts and institutional investors)
• Corporate Governance information