Stop-Loss: Changing Deductible Current Premium Renewal Premium Current SL Level Current SL Level Alternative 1 Alternative 2 Specific Stop Loss Deductible $210,000 $210,000 $220,000 $230,000 Annual Premium (Cigna 2023 rates & 516 enrolled) $1,089,885 $997,469 $944,590 $880,379 Annual Premium Change ($) -$92,416 -$145,295 -$209,506 Annual Premium Change (%) -8.5% -13.3% -19.2% Annual Premium Savings for Higher Deductible ($52,880) ($117,091) Velcro's High Claims (2019) Total Claim Reimbursement Reimbursement Reimbursement above $210,000 above $220,000 above $230,000 • What is net impact Claimant 1 $453,191 $243,191 $233,191 $223,191 Claimant 2 $317,303 $107,303 $97,303 $87,303 of a change to the Claimant 3 $281,056 $71,056 $61,056 $51,056 specific stop loss 3 Claimants $421,550 $391,550 $361,550 deductible Add'l Claims Paid by Velcro due to Higher Deductible $30,000 $60,000 Net (Savings) or Add'l Cost ($22,880) ($57,091) Velcro's High Claims (2020) Total Claim Reimbursement Reimbursement Reimbursement above $210,000 above $220,000 above $230,000 Claimant 1 $639,124 $429,124 $419,124 $409,124 Claimant 2 $371,674 $161,674 $151,674 $141,674 Claimant 3 $275,328 $65,328 $55,328 $45,328 Claimant 4 $247,683 $37,683 $27,683 $17,683 Claimant 5 $232,998 $22,998 $12,998 $2,998 Claimant 6 $215,048 $5,048 6 Claimants $721,855 $666,807 $616,807 Add'l Claims Paid by Velcro due to Higher Deductible $55,048 $105,048 Net (Savings) or Add'l Cost $2,168 ($12,043) Velcro's High Claims (2021) Total Claim Reimbursement Reimbursement Reimbursement above $210,000 above $220,000 above $230,000 Claimant 1 $1,074,112 $864,112 $854,112 $844,112 Claimant 2 $596,371 $386,371 $376,371 $366,371 Claimant 3 $532,984 $322,984 $312,984 $302,984 Claimant 4 $473,653 $263,653 $253,653 $243,653 Claimant 5 $394,298 $184,298 $174,298 $164,298 Claimant 6 $394,119 $184,119 $174,119 $164,119 Claimant 7 $217,441 $7,441 7 Claimants $2,212,978 $2,145,536 $2,085,536 2022 Add'l Claims Paid by Velcro due to Higher Deductible EBS Services & Capabilities $67,441 $127,441 51 Net (Savings) or Add'l Cost $14,562 $10,351