Vanderbilt Health Affiliated Network, Humana Enter Value-Based Agreement to Benefit Medicare Advantage Patients

NASHVILLE, Tenn. & LOUISVILLE, Ky.–(BUSINESS WIRE)–The Vanderbilt Health Affiliated Network, the region’s largest alliance
of leading hospitals and clinicians, and Humana, a leading health and
well-being company, have entered into a value-based agreement that will
benefit 4,000 Humana Medicare Advantage members in Middle Tennessee and
Jackson, Tenn. The four-year agreement, which is the network’s first
value-based care arrangement for a Medicare Advantage plan, commits
network clinicians and Humana to work together to achieve shared goals
for their patients: better health, improved outcomes and lower costs.

Both organizations have proven track records in value-based care, which
aligns the efforts and incentives of clinicians to what matters most to
patients: improving their health care experience and overall health
while also controlling health care costs.

• Over the last four years, providers who are part of the Vanderbilt
  Health Affiliated Network have
  improved the coordination of care for their patients while also
  delivering cost savings to benefit plan customers.
• In 2015, on average, Humana
  Medicare Advantage members served by providers under value-based
  care experienced: 6 percent fewer ER visits, higher screening rates,
  including those for colorectal cancer (+8 percent) and breast cancer
  (+6 percent), and healthier outcomes versus members who were treated
  by providers in standard Medicare Advantage settings.

“Humana’s new agreement with the Vanderbilt Health Affiliated Network is
aligning high-quality physicians and facilities with Humana’s expertise
in value-based care, population health tools and data-driven insights
around the same goal: improving the health of the people we serve,” said
Doug Haaland, Mid-South regional president for Humana.

“This agreement with Humana further validates Vanderbilt Health
Affiliated Network’s proven model for delivering quality and value. We
are pleased to work together to bring the network’s mission for
providing more proactive, coordinated and affordable care to Humana’s
Medicare Advantage patients in our region,” said C. Wright Pinson, MBA,
M.D., deputy chief executive officer for Vanderbilt University Medical
Center and chairman of the board for the Vanderbilt Health Affiliated
Network.

The Vanderbilt Health Affiliated Network is the region’s largest
physician-led organization of healthcare professionals working to
improve health and increase value to patients, providers, employers and
other consumers of healthcare services. The network powers programs and
benefit products with the goal of improving overall health across large
populations while reducing per-capita costs for healthcare delivery.
Currently, the network is responsible for delivering high-quality,
cost-effective care to more than 130,000 people through benefit products
with multiple insurance carriers. That number is growing constantly
through new relationships such as the one announced today.

“To truly transform the health of this region, we created a network of
hospitals and physicians who are committed to excellence, innovation and
collaboration. We have carefully chosen partners, like Humana, who share
our vision for strong, healthy communities and who provide valuable
support to help make our vision a reality,” said Mark Cianciolo,
executive director, Vanderbilt Health Affiliated Network. “We are
looking forward to the valuable insights and the best practices that
will come from our work together caring for Medicare Advantage patients.”

This new agreement maintains Vanderbilt Health Affiliated Network
coverage for patients with Humana Medicare Advantage plans, but provides
additional resources to physicians to help them better manage the health
of their patients.

As of Dec. 31, 2016, Humana has 1.8 million individual Medicare
Advantage members and 200,000 commercial members who are cared for by
50,400 primary care providers, in more than 900 value-based
relationships across 43 states and Puerto Rico.

As of Dec. 31, 2016, approximately 64 percent of Humana individual
Medicare Advantage members are in value-based payment relationships.
Humana’s goal is to have 66 percent of individual Medicare Advantage
members in value-based payment models by the end of 2017. For more
information, visit humana.com/accountable-care
or www.humana.com/valuebasedcare.

About Humana

Humana Inc., headquartered in Louisville, Ky., is a leading health and
well-being company focused on making it easy for people to achieve their
best health with clinical excellence through coordinated care. The
company’s strategy integrates care delivery, the member experience, and
clinical and consumer insights to encourage engagement, behavior change,
proactive clinical outreach and wellness for the millions of people we
serve across the country.

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

• Annual reports to stockholders
• Securities and Exchange Commission filings
• Most recent investor conference presentations
• Quarterly earnings news releases and conference calls
• Calendar of events
• Corporate Governance information

About the Vanderbilt Health Affiliated Network

The Vanderbilt
Health Affiliated Network is the region’s largest physician-led
organization of health care professionals working together to improve
health and increase value to patients, providers, employers and other
consumers of health care services. It serves patients across Tennessee,
portions of Kentucky, Eastern Arkansas, Northern Mississippi and the
western portion of Virginia. The network includes more than 4,000
clinicians, 56 hospitals, 12 health systems, and hundreds of physician
practices and clinics. Participating health systems include:

• Baptist Memorial Health Care, Memphis, TN
• Cookeville Regional Medical Center, Cookeville, TN
• Erlanger Health System, Chattanooga, TN
• Jennie Stuart Medical Center, Hopkinsville, KY
• Maury Regional Medical Center, Columbia, TN
• Mountain States Health Alliance, Johnson City, TN
• NorthCrest Medical Center, Springfield, TN
• St. Thomas Midtown, Nashville, TN, & St. Thomas Rutherford,
  Murfreesboro, TN
• Sumner Regional Medical Center, Gallatin, TN
• Vanderbilt University Medical Center, Nashville, TN
• West Tennessee Healthcare, Jackson, TN
• Williamson Medical Center, Franklin, TN

Contacts

Humana Inc.
Kate Marx, 502-271-9288
Corporate Communications
kmarx1@humana.com
or
Vanderbilt
Health Affiliated Network
John Howser, 615-322-4747
john.howser@vanderbilt.edu