April 2012 Rate Change Overview:

EmployeeElectTotal

• PPO 3.2%
• HMO 6.9%
• CDHP 12.8%

EmployeeChoice – 7.9%
BeneFits – 3.5%
Total – 5.0%
(These rates are for Small Group ONLY, the EmployeeElect 51-99 portfolio as well as the Small Group MHP compliant plans have slightly different rates than the Small Group portfolio.)
*These rate adjustments are averages and will vary by plan and region..

HMO Rate Adjustments –April 2012
The HMO plans within the Small Group EmployeeElect Portfolio will see a new business average increase of approximately 6.9%*.   All HMO plan families will receive an approximate 6.9% quarterly increase on average.

Quarterly increases on the HMO plan families will be as follows*:

• HMO 100% – 7.6%/Select HMO 100% – 3.8%
• Classic HMO – 7.5%/ Select Classic HMO – 3.8%
• Saver HMO – 7.5%/ Saver HMO – 3.7%

“Renewal” increases are as follows:

• HMO 100% – 15.2%/Select HMO 100% – 11.1%
• Classic HMO – 16.3%/ Select Classic HMO – 12.1%
• Saver HMO – 15.2%/ Saver HMO – 11.4%

*These rate adjustments are averages and will vary by plan and region.

PPO Rate Adjustments –April 2012
The PPO plans within the Small Group EmployeeElect Portfolio will see a new business average increase of approximately 3.2%*.

The PPO Increases will be as follows (quarterly/renewal)*:

• The PPO Premier Plans will receive an average increase of 3.5%/12.1%
• The PPO Copay Plans will receive an average increase of 3.5%/12%
• The Solution PPO Plans will receive an average increase of 3.3%/7%
• The GenRx PPO Plans will receive an average increase of 2.5%/3.2%
• The Elements Hospital PPO Plans will receive an average increase of 2.7%/2.9%
• The EPO Plans will receive an average increase of 3%/10.3%

*These rate adjustments are averages and will vary by plan and region.

RAF Promotion Update
The basic promotion will remain intact, however, Anthem will also now allow for the following:

• Groups with 6 or more enrolling subscribers, with a minimum of 50% participation in either the Gen Rx PPO plans and/or any of the Select Network HMO plans will receive an automatic .90 RAF –There will be no qualifying renewal RAF required on those groups.

• Groups with 6 or more enrolling in our BeneFitsplan portfolio will also receive an automatic .90 RAF -There will be no qualifying renewal RAF required on those groups.