Social Responsibility Report Values in Action Letter From the CEO At Amerigroup, social responsibility is not just a part of our business – it is our business. We are committed to ensuring every business decision we make improves the health and well-being of our members, our associates, the communities we serve and our planet. Our work helps people live healthier and more independent lives. We invested in a diverse, culturally competent workforce, 5,600 strong, that solves problems and drives innovation to improve health care. Connecting our social responsibility with our business charter – our Company’s heart and mind – Amerigroup employees put our values into action by donating more than 20,000 hours in service to their communities last year. These combined efforts were recognized when Amerigroup was named a 2011 Best Place to Work in five states. James G. Carlson Chairman, President and Chief Executive Officer As our employees connect members to the right source of care at the right time, our commitment to innovation in health care delivery goes beyond call centers and claims payments. It is on the ground in places like Wise County, Va., where dozens of Amerigroup employees volunteered to help provide free medical services to thousands of uninsured and underinsured Americans. It is in the homes of members, where we reunite families with loved ones by providing them with what they need to live independently, rather than in an institution. It is at the doctor’s office, where health professionals become medical homes delivering immediate care that keeps children with asthma out of the hospital. It is about living our mission each day by providing real solutions to the people who need it most by making the health care system work better. While the recession forced curbs in investment, for us it reaffirmed the need for solutions. Many of our states continue to face revenue shortfalls and increased needs. Through investment in promising practices – especially community-based long-term care – we help the health system work better by putting people first. In fact, we have helped move hundreds of members back into their communities, improving quality of life and providing savings to taxpayers. With the nation’s health challenges before us, our mission – doing well by doing good – will continue to define us. James G. Carlson Chairman, President and Chief Executive Officer Amerigroup “In the United States, more than 133 million people, nearly half of the population, live with a chronic condition.”1 Commitment to Quality Care — Chronic Disease and Prevention Chronic diseases – such as heart disease, stroke, cancer and diabetes – are among the most prevalent, costly and preventable of all health problems. Medicaid spending has grown rapidly in recent years, and it has become increasingly important to help inform state decisions on investments in chronic disease prevention and disease management programs. With its unique focus on the Medicaid population, Amerigroup has experience and a unique perspective on disease management and awareness best practices. Achieving gains in health outcomes require a member‐centric and integrated approach to care coordination. Amerigroup has developed a quality and results‐oriented Disease Management (DM) program that has been refined over time to achieve the best outcomes for members. The goals of the our disease management program are to improve our members’ understanding of their conditions, provide self-management education and opportunities for patient-centered care, reduce acute episodes, and improve overall quality of life. Caring for Kidneys Campaign Our DM services include programs for the most prevalent chronic conditions among our members, including asthma, coronary artery disease, chronic obstructive pulmonary disease, congestive heart failure, diabetes, HIV and AIDS, depression, and schizophrenia. The key differentiating feature of our approach to chronic condition management is our focus on the individual. Members often must make significant changes to their lifestyles and daily living behaviors to achieve sustainable progress in health outcomes related to chronic conditions. Amerigroup promotes optimal outcomes by assessing each member’s readiness to change at the outset and applying motivational interviewing techniques to engage each person by exploring and resolving any barriers to making those lifestyle changes. This highly personalized approach enables Amerigroup to engage members at the highest level and support them in staying motivated to continue participation and achieve their health care goals. Prevalence of Key Chronic Diseases in the United States 2011 High Blood Pressure 30% High Cholesterol 26.2% Depression 17.2% Asthma 11.7% Diabetes 10.9% Cancer Heart Aack 7.1% 4.2% Obesity* 26.1% Source: Gallup-Healthways Well-being Index *Percentage obese is based on self-reported height and weight 1. Robert Wood Johnson Foundation, Partnership for Solutions Chronic Conditions: Making the Case for Ongoing Care, 2004, http://www.rwjf.org/programareas/ resources/product.jsp?id=14685&pid=1142&gsa=pa1142 (accessed April 13, 2012). Recently, the Amerigroup Foundation partnered with the National Kidney Foundation – an organization for which Amerigroup Chairman and CEO Jim Carlson volunteers as a member of the board of directors. Amerigroup provided a two-year commitment of $125,000 to help increase the awareness, prevention and treatment of chronic kidney disease, and is leading the effort to raise millions more by asking other managed care organizations to join the effort. Amerigroup associates have organized an annual charity golf tournament to raise an additional $70,000 in support of the National Kidney Foundation. Amerigroup hopes that by investing in and partnering with the National Kidney Foundation, we can help identify high-risk patients early and prevent the disease from progressing to a stage where dialysis or organ transplant are the only options for survival. Respect for People — Our Membership On behalf of our members and associates, we create and maintain an inclusive, respectful and equitable environment through effective leadership, policies and practices. Our Company statement of diversity states that managing diversity is the key to our competitive edge. Did You Know? pass an exam at the end of the course, as well as complete annual refresher training that touches on cultural sensitivity. These training efforts help ensure our employees understand that delivering services to people of all cultures, races, We are committed to enhancing our workforce ethnic backgrounds, abilities and religions diversity by focusing on hiring people with must occur in a manner that respects and disabilities and encouraging competitive preserves the dignity of each member. Our employment for all people. In committing training curriculum includes definitions, Diversity Associates Employed competency, at Amerigroup to these practices, we advance our under- Minority benefits of cultural government National Average standing of our members’ needs, ensure regulations, values, language resources and our workforce represents and reflects our variations in social comfort factors. membership, and retain high-performing Equipped with a workforce that understands professionals who bring innovative products our members’ needs, we employ practices and services to the marketplace. % % 30members 55.7they that meet our where are – All employees must complete cultural focusing on individual choice and engagement competency training when hired and must throughout the care coordination practice. Diversity Minority Associates Employed at Amerigroup Minority Managers Employed at Amerigroup National Average National Average 30 % 55.7 % Minority Managers Employed at Amerigroup National Average 15% 35.8% 15% 35.8% 40 percent Percent of the U.S. labor force that are women 34.1 percent Percent the U.S. labor force that are minorities 78 percent Percent of Amerigroup associates are women 56 percent Percent of all associates are minorities Sources: United States Department of Labor, “Women in the Labor Force in 2010”; Amerigroup Internal Data, as of Sept. 30, 2012. “The National Advisory Board has helped us better understand the possibilities of living independently and how that impacts our members and their families.” — John Littel, executive vice president of External Relations and Amerigroup Foundation chair National Advisory Board on Improving Health Care Services for Seniors and People with Disabilities In 2007, Amerigroup developed a first for the health care industry: a National Advisory Board (NAB) focused solely on meeting the needs of seniors and people with disabilities – a significant population within our membership. Convened by Lex Frieden, who was instrumental in conceiving and drafting the landmark Americans with Disabilities Act of 1990, the NAB is comprised of culturally diverse community advocates, health care experts and academics. They represent millions of Americans with disabilities and seniors and their family members, who have struggled with the complexities of our fragmented health care system. Individually and collectively, they have worked to overcome the many hurdles to obtain the services needed to live successfully in our communities – hurdles such as the lack of coordination between acute and long-term services and supports, antiquated systems and policies, and lack of infrastructure development for long-term services. 32% Percent of adults with Percent of adults with atat least least basic acons oneone basic actions difficulty or or complex difficulty complex acvity limitaon activity limitation (2009) (2009) Source: Summary Health Statistics for U.S. Adults: National Health Interview Survey, 2010. Amerigroup Hosts First Annual Advocacy Meeting In a first for the managed care industry – Amerigroup hosted a meeting in Virginia Beach, Va., for advocates from around the country. During this meeting – planned by Senior Vice President of Government Relations Meredith Delk and Vice President of Advocacy Merrill Friedman – Amerigroup CEO Jim Carlson and key Amerigroup leaders had the opportunity to meet with our partners and leaders in the disability community, along with several members of the NAB. For two days, attendees engaged in dialogue about priority issues relating to long-term services and supports, including how to develop a road map for managed care implementation, the NAB’s priorities for 2012, standards and quality outcomes, and the next steps we – as a Company – and advocates must take to further ensure that Medicaid works for people with disabilities. Prevalence of physical disabilities in adults 16.2% 15.6% 9.4% 7.3% Hearing Disability Vision Disability Walking Disability Any Physical Funconing Disability John Littel speaks during the Amerigroup Disability Mentoring Day. Source: Summary Health Statistics for U.S. Adults: National Health Interview Survey, 2010. Jim Carlson volunteers at the Remote Area Medical clinic in Wise, Va. Good Citizenship When Amerigroup met with health care advocates and providers in southwest Virginia and learned about thousands of people without regular access to preventive health care, we knew we could help. We learned the annual, free care event in the region, known as the Remote Area Medical (RAM) expedition, held for 12 years, was in jeopardy in 2011 because of funding challenges. CEO Jim Carlson committed us to help, not only with contributions of funds and equipment, but with people on the ground. An estimated 2,488 people attended the event for the opportunity to get medical, dental and vision treatment. More than RAM by the Numbers 1,400 volunteers, including 28 associates from Amerigroup, provided hands-on assistance. For many participants, this was their only chance all year to see a doctor, and some waited in line as long as 30 hours for their chance to receive care. This annual event and our ongoing partnerships in southwest Virginia will improve health care outcomes for the population served, stimulate further public awareness of the need to reorganize health care, and further establish Amerigroup as an organization ready and able to partner with local organizations to meet the health care needs of their populations. $1.9 million The value of free care provided $140,000 Provided in financial assistance to four community organizations in rural southwest Virginia 4,000 The number of tote bags Amerigroup provided filled with day-of supplies, including sunscreen and bottled water 2,700 Patients seen 1,633 Over-the-counter medications collected and donated by associates “We talk a lot about the mission of the Company and how important it is for us to identify with the people we serve. Hearing some of these stories firsthand allows us to better connect our hearts with our minds.” — Jim Carlson, Amerigroup chairman, president and CEO Amerigroup Community Efforts This past year, the Amerigroup Community Volunteers program donated 20,494 hours of volunteer service to various volunteer initiatives across the country. Examples of Company initiatives included support for: Moms and Babies March of Dimes Each year, Amerigroup associates join the March of Dimes March for Babies walk in an effort to prevent birth defects, premature birth and infant mortality and improve the health of moms and babies everywhere. Thousands of corporate and family-based teams rallied at more than 900 walk sites around the country to celebrate their efforts on behalf of moms and babies. In 2011, the Amerigroup team raised a total of more than $119,000. CenteringPregnancy The Amerigroup Foundation recently provided a grant of $125,000 to the Centering Healthcare Institute to implement three CenteringPregnancy group care model pilot programs. The research will produce a study publication highlighting the model’s effectiveness in reducing preterm birth rates. The CenteringPregnancy model changes routine prenatal care, bringing women out of the examination room and into a group care setting. The model incorporates the three design elements of prenatal care – risk assessment, education and support – into one entity. From Devastation, Hope Is Born A couple whose home was badly damaged in a flood provides just one example of the lives touched by Amerigroup Disaster Response Team efforts in Livingston, Ky. In addition to damage to their home, the family was dealing with many health issues – from the husband’s battle with bone cancer and emphysema to a granddaughter’s difficult pregnancy. The couple turned to everyone they could think of for help and was repeatedly turned away. Disheartened and defeated, they were ready to walk away from their family home, convinced it was damaged beyond repair. The Amerigroup team was determined to help. They quickly went to work cleaning up debris and later reassured the family their home could be saved. The couple was grateful they would soon return home to share new memories with their great grandson, who was born that day. “The steadfast commitment and compassion from our employees to help our neighbors in need is truly remarkable,” said John Littel, Amerigroup executive vice president of External Relations. “We strongly believe in our core value, to offer real solutions to people and communities that need it the most.” Good Citizenship Fostering Independent Living Our approach to independent living provides a system of assessment, care planning and service coordination that aims to restore or retain an individual’s level of function by empowering individuals to choose where and how they receive services. Recently, the Amerigroup Foundation provided Habitat for Humanity a two-year grant of $175,000 to help improve housing, employment and recreation for people. The grant will assist in the construction of homes built to universal design standards. Universal design exceeds minimum specifications for accessible design and results in homes that are usable by and marketable to almost everyone. Universal homes avoid use of special assistive technology devices and, instead, incorporate design features that are easily usable and commonly available, including lever door handles, extra-wide doorways and halls, and no-step entrances. Such design features make housing accessible for people with disabilities and for individuals wishing to age at home. Health and Wellness At the heart of the Amerigroup care coordination strategy is a focus on preventive education. As part of our commitment to health and wellness, Amerigroup initiated a partnership with a Virginia Beach, Va., elementary school. Amerigroup Community Volunteers rolled up their shirtsleeves and worked with students to plant a vegetable garden at the school. Throughout the year, Amerigroup associates will work with Bettie F. Williams Elementary School students to provide integrated, holistic garden-related classroom lessons and activities for teaching nutrition, math, science and language arts. The project is made possible through guidance from the American Heart Association. Last year, the Amerigroup Foundation, the philanthropic arm of Amerigroup Corporation, helped provide access to health care, encouraged safe and healthy children and families, and promoted community improvement and healthy neighborhoods through 450 gifts totaling more than $2.1 million to more than 668 local nonprofit community organizations across the country. In 2011, the Amerigroup Foundation invested nearly $750,000 in grants to improve health outcomes and access to quality care for underserved communities, including a $20,000 grant to the Georgia Partnership for TeleHealth. 2.1M 2.1M Access to Care Amerigroup is committed to supporting health services for the uninsured and underinsured. In 2011, the Amerigroup Foundation invested nearly $750,000 in grants to improve health outcomes and access to quality care for underserved communities, including a $20,000 grant to the Georgia Partnership for TeleHealth (GPT). The Georgia Partnership for TeleHealth is working to ensure that all rural Georgians are able to access specialty care within 30 miles of their homes. Telemedicine progressively closes gaps and improves member care quality by providing better access to health care specialists and providers, especially for those living in rural areas. An innovative solution, telemedicine enables members to receive the care they need in a timely fashion, regardless of their geographic barriers to access. 1.8M 1.2M Amerigroup and the Georgia Partnership for TeleHealth by the Numbers 1.1M 40,000 Number of clinical encounters within the GPT network in 2011 $20,000 Amount donated by the Amerigroup Foundation to the GPT to improve access to quality care for individuals in rural and underserved areas of Georgia 240+ The number of rural and specialty sites within the GPT network 175 Women and Children 578k Educaon and Scholarships Access to Health Care Seniors and People With Disabilies The number of GPT specialists providing care to those accessing the network Health Research and Educaon Sources: Amerigroup internal data and Georgia Partnership for TeleHealth presentation (provided April 2012). Diversity and Eliminaon of Health Care Disparies $13.9 Million in Charitable Contributions 2001–11 “Sustainability is not just the government’s responsibility. It’s not just big businesses’ responsibility. It’s everyone’s responsibility. We’re all in this together.” — Con Healy, senior vice president of Corporate Services Administration Accountability — Amerigroup Commitment to Sustainability Despite not being a large producer of material waste, Amerigroup is committed to taking steps to minimize our environmental burden. This past year, we ranked No. 46 on the U.S. Environmental Protection Agency’s (EPA’s) list of the largest Fortune 500 green power purchasers. By the Numbers o Percent of green power for the National Support Center purchased by Amerigroup, also registered with the Environmental Protection Agency as a green energy partner Important milestones achieved in 2011 include: o Recycling more than 50 percent of all materials that leave our National Call Center o Beginning a composting program that is scheduled to compost more than 4,000 pounds of food waste per year 4,000 P ounds of compost material processed annually at o our National Support Center in Virginia Beach, Va. o Retrofitting our National Support Center with energy efficient lighting, LED elevator lighting, LED accent lighting and occupancy sensors in offices. The projected energy reduction for the center is more than 5 percent, which is enough to power 30 homes for one year Amerigroup is an EPA Green Power Partner. We have purchased enough Renewable Energy Certificates (RECs) to offset 100 percent of our National Support Center electrical usage. The Green Power Partnership works with a wide variety of leading organizations – from Fortune 500 companies to local, state and federal governments, and a growing number of colleges and universities. Organizations can meet EPA purchase requirements using any combination of three different product options: RECs, on-site generation and utility green power products. Today, 1,128 of our associates work from home, saving more than 5 million miles driven per year, which is equivalent to taking 435 passenger cars off the road. Using our influence with others, we are continuing ongoing dialogue with key suppliers about sustainability issues. Additionally, each year, we host an internal Eco Fair, partnering with local, environmentally friendly vendors to provide associates with ways to reduce consumption at work and at home. 100 percent o 1,128 Number of Amerigroup associates currently participating in a telework program to reduce the carbon footprint associated with commuting Awards and Honors Voted Best Place to Work in Texas, New York, Nevada, New Jersey and Virginia Ranked No. 46 on the U.S. Environmental Protection Agency’s Fortune 500 list of the largest green power purchasers Rivel Research 5.0 award for Overall Effectiveness of Investor Relations and Management Access March of Dimes Top Fundraising Team in the commonwealth of Virginia Eggleston Gold Merit Award – for demonstrating unique and innovative ways to promote volunteer opportunities Disability Friendly Business certification by the National Certification and Training Center in nine of our health plans – Florida, Georgia, Maryland, New Jersey, New York, Ohio, Tennessee, Texas, Virginia – and our corporate offices Our Mission Provide Real Solutions for members who need a little help by making the health care system work better while keeping it more affordable for taxpayers Our Vision We will be a different kind of health insurance company – a company that does well by doing good. Our Values o Compassion – We understand the importance of acting with empathy and developing meaningful relationships that will positively influence our associates and members’ lives. o Quality – We provide outstanding products, quality and unsurpassed service that, together, deliver premium value to our stakeholders. o Integrity – We uphold the highest standards in all our actions. o Teamwork – We work together, across boundaries and in partnership, to meet the needs of our customers and to help the Company achieve its goals. o Respect for People – We value our associates and their diversity, encourage their development and reward their performance. o Good Citizenship – We seek to find ways in which to engage and support the communities in which we live and work, through volunteerism, political involvement and leading by example. o Personal Accountability – We keep our commitments to one another and to those we serve through accepting ownership for the quality of the work we produce. We have a strong desire to win in the marketplace and in every aspect of our business, and each associate accepts personal responsibility for achieving organizational success. www.amerigroup.com
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