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Jim Dempster
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mailto:jdempster@componeltd.com

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Oklahoma City, Oklahoma 73104

Telephone: 405-319-8450
Fax: 405-319-8455

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Spring 2007 e-Update

The Kim McAllister Story Underscores the Importance of MedEncentive

I am pleased to report that this last quarter was filled with all kinds of good news and positive developments. However, one event stands out from all the rest - an event that reinforced in my mind exactly why MedEncentive is so important to all of us.

It all started when Larry Gundlach invited me to spend an hour with him as part of his continuing education class for insurance brokers. Larry is a Partner with Oklahoma Business Insurors and is a faculty member at Francis Tuttle Technology Center. This is the third such class Larry has asked us to join him at the podium. Since insurance brokers are required to attend continuing education classes to maintain their licenses, each of these sessions have been full with over a hundred attendees. And each time the attendees have responded to MedEncentive with great enthusiasm. However, it was Larry’s most recent class in April that was so extraordinary.

Larry is a natural teacher and likes to conduct our sessions as an interview. He asks me questions and provides commentary. In April, Larry did something different. After he had me describe how MedEncentive got started, how it works, and about our two year trial in Duncan, Oklahoma, he turned to the class and asked if anyone was from Duncan. Since Duncan is not a large city, the likelihood of an attendee was small. Much to our surprise, a broker spoke-up and said, “I’m from Duncan and I’m covered by the MedEncentive Program through my husband's employment.” What she said next had us all captivated.

"Recently, I broke my arm in an accident. As a result, I had five separate doctor visits including a pre-scheduled wellness exam. My husband's employer offers a $30 (MedEncentive) reward for each office visit. I completed each information therapy prescription and earned $150. That was great! However, I received something much more valuable. After reading my information therapy, I discovered that my doctor had prescribed a medication that could cause a serious side effect with my kidney disorder. When I called my doctor to tell the nurse what I had read, she said the doctor would research the information and they would get back to me. She called me back and said the information I read was correct. My doctor had already referred me to a kidney specialist but wanted me to discuss medications with the specialist in detail. I really believe in the MedEncentive program."

Her comments were followed by a series of questions from the class. When the session was over, I was surrounded by insurance brokers asking me how they could sell MedEncentive to their customers. I was unable to break away to meet the mystery subscriber and left the campus not really knowing who she was.

When I got back to my office, I couldn’t wait to tell our team and my wife and anyone else who would listen. Larry and I caught up with each other a few days later. We both immediately started recounting this extraordinary experience. I asked Larry if he could find the name of the Duncan broker so we could follow up. After some good investigative work, Larry learned her name is Kim McAllister. Kim and I finally had a chance to visit. She is the branch manager for a local credit union and her husband, is a police officer with the City of Duncan. I thanked her for her testimonial. I explained that we have had a number of patients with similar experiences. However, we had never had a patient in a class setting do what she did so well. She explained to me that she has only one kidney and went into more detail about the sequence of events.

She wanted me to know how much she trusted her doctor and added, “He cared enough about me to participate in the MedEncentive program so that I could gain more knowledge about my health and he could have access to the most recent medical research.”

“I think as patients we put way too much responsibility on our doctors,” Kim said. “Medicine is changing so fast, how can doctors possibly keep up with everything? Your program offers a nice incentive for patients to step up to the plate and learn what is going on around us...I like that and think you are taking a positive step in educating the public.”

I asked Kim if she would help us help other patients learn about the potential of MedEncentive. She has graciously agreed to assist us however she can.

I don’t know exactly how to close this story except to say that this episode epitomizes MedEncentive’s win-win-win – the patient won, her doctor won, and her husband’s employer won. However, it is experiences like this that validate the commitment of our team and the faith of our supporters. To make an important contribution to the wellbeing of another human is priceless. To have someone like Kim McAllister share her experiences in a large gathering like she did renders me speechless. This is why MedEncentive is so important to all of us. I guess it speaks for itself.

The following are some of the highlights for the spring of 2007:

Wichita Clinic Adopts MedEncentive Program
National Pay-for-Performance Summit
National Pay-for-Performance Webcast
Interview by Matthew Holt of The Health Care Blog
Doctor-Patient Communication Feature Attracts Award-Winning Journalist and More Magazine
MedEncentive Conducts Inaugural Agent Workshop and Broker Seminar
Mutual Assurance Administrators and Kempton Group Administrators Become First Approved Vendors
Robert Wood Johnson Foundation Market Survey Stimulates Interest in MedEncentive
Upcoming Presentations and Speaking Engagements
Strategic Advisors
E-Update Archives

Wichita Clinic Adopts MedEncentive Program – Wichita Clinic recently signed on as MedEncentive’s newest customer. This is the next step in an expanding relationship that began last December when the Clinic became the first MedEncentive provider licensee. The latest development means that the Clinic will be offering MedEncentive to its own employees effective June 1. Wichita Clinic has commissioned Blue Cross/Blue Shield of Kansas to create the automated claims interfaces with MedEncentive. This is another important and positive development.

National Pay-for-Performance Summit – In February, the National Pay-for-Performance Summit took place at in Los Angeles. The who’s who in the P4P movement were there in mass, including representatives of the British National Health Service. The keynote speaker was Governor Arnold Schwarzenegger, who impressed the Beverly Hilton gathering with his understanding of the problems plaguing health care delivery and with his resolve to bring universal coverage to Californians.

Don Kemper and Jeff Greene were invited to present MedEncentive at the Submit. Don is founder and CEO of Healthwise, Inc., the leading developer of web-based medical content. He coined the term information therapy.

The response to Don and Jeff’s presentation can be summed up by one attendee’s comment: “most useful presentation and best new idea of the entire conference.”

National Pay-for-Performance Webcast – As a result of the positive response to their MedEncentive presentation at the P4P Summit, Don and Jeff were asked to contribute podcast interviews to the National Pay-for-Performance Webcast that took place during the week of April 25. Jeff’s podcast interview with Clive Riddle, President of MCOL, can be accessed at:

http://www.mcol.com/podcasts/p4p07/greenepodcast07.mp3

Interview by Matthew Holt of The Health Care Blog – Noted health care journalist and editor of The Health Care Blog (THCB) interviewed Jeff about MedEncentive. This interview has been posted as a podcast on the THCB and can be accessed at the link immediately below. Matthew first met Jeff at the Information Therapy Conference in Park City in 2005. Matthew has tracked MedEncentive’s progress and remains intrigued by the “elegance” of our concept and with our impressive trial results.

http://www.thehealthcareblog.com/the_health_care_blog/files/jeffgreene.mp3

Doctor-Patient Communication Feature Attracts Award-Winning Journalist and More Magazine – While on a speaking engagement in Wichita, Lori Hope took time to interviewed Jeff and Wichita Clinic’s Chief Medical Officer Dr. Rob Kenagy, Chief Financial Officer Frank Cordon and Public Relations Director Angie Prather. Lori is the author of the widely-read book, Help Me Live: 20 Things People with Cancer Want You to Know. The following is an excerpt from Lori’s website:

Lori, a cancer survivor herself, speaks and writes about the importance of communicating compassionately with those rendered especially vulnerable by any disease, trauma, or condition. A producer of more than twenty documentaries that have garnered dozens of awards, and a former medical reporter and newspaper editor, Lori uses her skill and passion as a communicator to inspire others to find the pleasure and value in supporting those who are suffering.

Lori's work has appeared in Newsweek and on the Oprah show and her commentaries have been broadcast on radio stations nationwide. Her book has been featured in numerous media, including The San Francisco Chronicle, ABC News, and Redbook magazine.

Lori is writing a story for More magazine about doctor-patient communications. She had read the news articles about the MedEncentive and Wichita Clinic relationship. She was particularly intrigued by the use of information therapy and rewards to enhance patient understanding, which prompted the interview. We will look forward to her article.

You can read more about Lori on her website at http://www.lorihope.com/.

MedEncentive Conducts Inaugural Agent Workshop and Broker Seminar – As the MedEncentive moves past the trial stage toward commercialization, we have begun to execute our sales and distribution plan. With the help of Cindy Mitas of Francis Tuttle Technology Center, MedEncentive received a business development grant from the state of Oklahoma to conduct our first Agent Workshop and Broker/Consultant Seminar in March. The two day workshop attracted attendees from Kansas, Texas, Utah, Connecticut and Mississippi. Attendees learned about the Company’s products and how we intend to distribute these products through provider-friendly agents who will recruit and train existing insurance brokers in assigned territories.

The workshop was followed by two half-day broker/consultant seminars. Over thirty brokers, consultants and third party administrators from Oklahoma, Kansas and Missouri attended. The response was very enthusiastic. We are now working with a number of these attendees on several prospective customers.

A second broker/consultant seminar will take place in Tulsa at Hillcrest Hospital on May 24. We expect to conduct seminars in Kansas City and Wichita in the near future.

Mutual Assurance Administrators and Kempton Group Administrators Become First Approved Vendors – As part of MedEncentive’s commercialization plan, we are in the process of approving third party administrators (TPA) who are willing and able to meet MedEncentive administrative criteria. These criteria principally deal with the automated transferring and processing of customer claims data and participant rewards.

We were pleased to announce that Mutual Assurance Administrators and Kempton Group Administrators are the first MedEncentive “Approved TPA Vendors”. We are currently working with other TPAs who are interested in gaining this distinction to attract and retain customers. Read the newspaper article and press releases about MAA and Kempton’s designations in the News section of our website (http://www.medencentive.com/).

Robert Wood Johnson Foundation Market Survey Stimulates Interest in MedEncentive – In 2006, MedEncentive participated in the Robert Wood Johnson Foundation market scan of ambulatory health care quality attributes in 14 cities across the country. RWJF released the survey on April 12, 2007 with the intent of stimulating a nationwide call to action. One of the seven attributes was the presence of physician financial incentives. We view MedEncentive as the ideal means to initiate improvement in all the quality attributes through physician incentives. To this end, MedEncentive has begun to form an Oklahoma City task force to address the RWJF attributes. Working through our agents, we have also offered our assistance in some of the other surveyed cities and there is interest. To learn more about the RWJF health care quality market scan, click on the link, below.

Aligning Forces for Quality: The Regional Market Project

Upcoming Presentations and Speaking Engagements – The following are some of the upcoming presentations and speaking engagements:

 

  • Wilson Partners Conference – Troy, Michigan, June 26
  • National Consumer-Driven Health Summit – Washington, D.C., September 27 - http://www.consumerdrivensummit.com/
  • Sedgwick County Roundtable – Wichita, Kansas, October 31

Strategic Advisors – We always want to take this opportunity to recognize and thank MedEncentive’s list of strategic advisors and supporters who include:

 

  • Drs. Susan Chambers and David Parke, MedEncentive co-founders
  • Greg Main, Tom Francis, Daniel Mercer, and company with i2E
  • Mike Joseph, Mike LaBrie, Bill Hall, Jennifer Wheeler and company with McAfee and Taft law firm
  • Dick Rush and company with the Oklahoma State Chamber of Commerce
  • Chuck Rahill with Wedel Rahill and Associations
  • Renzi Stone and company with Saxum Strategic Communications
  • Cindy Mitas, Business Development Marketing Director, Francis Tuttle
  • Ken Schuerman, special advisor

E-Update Archives
April 2005
May-June 2005
Summer 2005
Fall 2005
Spring 2006
Fall 2006
January 2007

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