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Total Volumes vs Reviewed volumes

• Average Claims Processed in a month – 70K• Average Claims Pre audited in a month – 48K• Average claims auto paid in a month – 22 K• No. of receipts on an average / claim – 10• Average no. of receipts / month for processed claims – 700000 receipts• Average no. of receipts / month for pre audited claims – 480000 receipts• Time considered for the prep activity/ claim - 2 minutes• Scanning cost / receipt – $ 0.0344 • No. of Team members handling bar code activity – 10 FTE• No. of Team members performing Pre audit activity – 67 FTE• Total of team members in EP – 108 FTE

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OVERALL COST CASE COMPARISON

• The above computation includes FTE cost for Pre auditor.• In actual environment the cost of 67 PA’s are included• In Option 1 & 2 we have considered cost of 62 PA’s thereby showing a 5 FTE efficiency as against actual environment of 67 PA’s. This is arrived at by taking the standard time for pre auditing a claim in actual environment at 12.09 mins as against 11.30 mins in a scanned environment.

* Please note: Headcount will be re evaluated 4 months post go live

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FTE comparison between various solutions

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Cost case for ESP & In-house scanning solution

Please Note: $14199 towards increase in network bandwidth has been removed from the business case as Pam Hurd has approved this cost & work is in progress.

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Addendum

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Actual environment : Row reference 1-4 – Slide #6

Head count required for scanning documents in In house solution – Slide #5

Vendor cost - Slide # 6 Row reference 8

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Storage costs derived for ESP & In House solution

Parallel introduction of Scanning solution & e receipting.

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OVERALL COST CASE COMPARISON

Assumptions:

• FTE & storage calculations are based on the assumptions that15k claims will be received through e receipting process

• For all telecommunication expenses the policy will be revised to accept only the summary sheet & not itemized sheet as per Chris Hood & team’s recommendation

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FTE requirement with scanning & e receipting

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Cost case for ESP & In-house scanning solution with e receipting

Please Note: $14199 towards increase in network bandwidth has been removed from the business case as Pam Hurd has approved this cost & work is in progress.

THANK YOU

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