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MacAllister Machinery Reduces Healthcare Costs, Improves Employee Health With CareGuide's Predictive Modeling and Health Coaching Program.

Total healthcare costs decline for second year in a row; MacAllister employees show consistent improvement in reducing high blood pressure, high cholesterol, and other clinical risks.

CORAL SPRINGS Coral Springs, Fla. -- CareGuide, Inc. a total population health management company, today announced that its customer, MacAllister Machinery, a leading heavy equipment supplier based in Indianapolis, is experiencing year over year declines in healthcare costs and improved employee health since using the One Care Street TM predictive modeling and health coaching system.

Like many employers across the country, MacAllister Machinery faced yearly rate increases, with the most recent rate increase being 14.5% from 2004-2005. After using CareGuide's One Care Street survey-based predictive model and integrated health coaching approach, MacAllister saw its rates decrease 7% from 2005-2006 and decrease another 4% from 2006-2007.

For MacAllister's employees who had biometric screening results in both 2005 and 2006, an analysis showed that employees realized substantial improvements in blood pressure and HDL readings after using One Care Street. In fact, for the entire employee group, HDL decreased by 10 percentage points and blood pressure decreased by 7 percentage points.

For the "high-risk" group that also received one-on-one telephonic coaching, the results were even more dramatic showing overall clinical risk decreased by 10 percentage points, the percent with HDL risk decreased by 13.4 percentage points, body mass index risk decreased by 10 percentage points and those at risk for systolic blood pressure Systolic blood pressure

"As with many employers, we tried it all and just could not make a dent in healthcare cost increases. One Care Street has not only improved our financial situation when it comes to rate increases, but our employees are getting the help they need in a very targeted and supportive way," said Chris MacAllister, President and CEO at MacAllister Machinery.

It's the details that make the difference for MacAllister. The company has initiated a robust, multifaceted approach to wellness, not only for employees, but for spouses as well. Biometric screenings are conducted on-site and the results are reviewed by their on-site Wellness Coordinator. "MacAllister has really taken on a leadership role in understanding that reducing healthcare costs requires reaching out to employees, providing health education support at the worksite and making resources available that are personalized to meet everyone's specific healthcare needs," said Kevin Sherman, Wellness Coordinator at MacAllister.

Money talks at MacAllister. The company has realized the importance of a powerful incentive to drive participation in their programs. Insurance premiums for employees and their families are affected by the number of health risk factors they possess, i.e. tobacco usage, high blood pressure, etc. Discounts are provided on monthly insurance premiums to those employees and their spouses who have a low number of health risks and participate in the One Care Street program.

The One Care Street system moves beyond disease management, which relies on past healthcare usage, and finds those that will use large amounts of healthcare services even though they haven't in the past. One Care Street, based on the perceived health model, identifies a broader range of indicators that make people seek help (physical, emotional and behavioral) and put an employee at risk. Research has demonstrated that the standard disease management approach is accurate in identifying only 10-15 percent of people who will actually use large amounts of healthcare services, as compared to the 63-67 percent of high users reliably identified by One Care Street.

"When MacAllister came to us, they realized that health coaching was a critical aspect of changing unhealthy employee behaviors and putting employees and their spouses on the track to better health," said Julie A. Meek, Chief Science Officer and Executive Vice President of CareGuide. "The key to One Care Street's health coaching success is that we find the right people needing help in the first place, we find more of them who need help, and our coaches interact with employees in a collaborative, supportive way."

Once employees are identified as high-risk through the One Care Street survey, health coaches work one-on-one with participants to identify negative contributing factors, motivate employees and provide the resources necessary to change health behaviors. This health coaching approach results in a 74% engagement rate versus the industry standard of 15-20%. The result is an aggressive intervention with 6 to 10% of the overall employee population, versus the industry standard of .5 to 1%.

Neace Lukens Employee Benefits, a provider of benefits and wellness consulting services, is a key partner in the One Care Street program for MacAllister. "Coupled with the effectiveness of One Care Street, MacAllister critically analyzes and proactively designs an effective benefits program that encourages and supports employees to be proactive and optimize the care they need to stay healthy," added Michael Campbell, Managing Partner, Neace Lukens Employee Benefits Indiana based in Indianapolis.

About MacAllister Machinery

MacAllister Machinery is Indiana's leading heavy equipment supplier, offering a wide range of high quality new, used, rebuilt and rental equipment from Caterpillar and over 50 other manufacturers. MacAllister has 14 locations throughout Indiana.

9/21/2007