If The Image Is Primarily Light, Use The Black Aon Logo.Never Use The Red Logo Over A Photo.Subtitle, Arial, 20pt., .75 Line Spacing, .5 Before ParagraphAon OrientationFebruary 25, 2014The Affordable Care ActAn Opportunity for Response

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AgendaAon/Aon Hewitt OverviewACA Overview and Heath Care Reform Whats changing and when?What is an Exchange?Aon Hewitt Corporate Exchange overviewQ&A

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AON OVERVIEW

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About AonAon Vision: Aon is universally recognized as the premier global professional services firm focused on risk advice and human capital managementAon plcAon Risk SolutionsAon BenfieldAon HewittRetail Brokerage Captive ManagementAffinity ProgramsSelect Personal LinesPremium FinanceClaims advocacy & Claims AdministrationRisk Assessment & AdvisoryTreaty ReinsuranceFacultative ReinsuranceInvestment BankingAnalyticsClient ServicesHealth & Benefits ConsultingRetirement and Actuarial ConsultingInvestment ConsultingM&A SolutionsTalent and RewardsBenefits Administration HR Business Process OutsourcingGlobal BenefitsAon ServiceCorp.FinanceMarketingHuman ResourcesTechnology

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Aon plcAon plcThe leading global provider of risk management services, insurance and re-insurance brokerage, and human resource solutionsFY12 Revenue $11.5 billionAon RevenueAon Risk SolutionsAon BenfieldAon HewittEmpowering results for clients on two of the most important issues in todays global economy; risk and people 65,000 colleagues

120 countries

500 global officesHR Solutions34%Greg CasePresident & CEORisk Solutions66%Aon Risk SolutionsAon Benfield (Reinsurance)Aon Hewitt

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Aon Overview | History in the Making

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Aon Overview | Serving Many of the Worlds Best Organizations of top Fortune 500 firmsof top P&C insurance firmsof top Technology firmsof top Healthcare firmsof top Consumer firmsof top Financial firmsof top Energy firmsof top Telecom firmsare Aon Clients

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AON HEWITT OVERVIEW

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The Expansive Reach of Aon Hewitt30,000 colleagues around the world330offices in 90 countriesMore than 20,000clients globallyServe 80% of the Fortune 500

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An Established, Industry-Leading Focus on HR SolutionsMost named Top Consultants on Human Resource Executive and Risk and Insurance magazines annual list of Top Employee Benefit Consultants for the past five yearsHonored with an Outsourcing Excellence Award by the Outsourcing Center in 2012 and 2013Named one of 20 Institutional Leaders of the Past 20 Years by PLANSPONSOR magazine

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Solutions With Scale, Depth and Breadth

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Retirement HealthTalentThree Focused Solution LinesConsultingHealth and Benefits Brokerage and ConsultingAbsence and Productivity Elective BenefitsGlobal BenefitsConsultingRetirement Consulting and AdministrationInvestment Consulting and Delegated Investment Mgmt.Executive BenefitsConsultingBroad-Based CompensationExecutive CompensationSales Force EffectivenessLeadership & AssessmentEmployee EngagementHR EffectivenessOutsourcingHealth and Welfare AdministrationAbsence ManagementDependent VerificationAdvocacy ServicesReimbursement Account AdminCompliance ServicesActive Health Care ExchangeRetiree Health Care ExchangeOutsourcingDefined Benefit AdministrationDefined Contribution AdministrationFinancial ServicesAH as AdvisorSelf-Directed Brokerage and Personal Financial CenterCompliance Services

OutsourcingTalent Acquisition & Recruitment OutsourcingHR BPOGlobal Workforce & PayrollTalent Administration SupportTotal Rewards + Online Communications*

Communication, Merger & Acquisition Solutions, Customer Experience

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Macroeconomic TrendsCompanies facing huge pension liabilities and need to de-riskMove to fixed incomeFocus on volatility vs. short term returnsSettle pension liability through the insurance markets and lump sumsPressure on defined contribution systems to do moreFocus on financial wellness and adequacyFiduciary rigor and governanceShift to institutional from retail approachesThe Industry Leadership to Deliver: RetirementNavigate retirement risk while providing new levels of financial security*Market-leading Capabilities#1 DB and #2 DC administrator$2 billion in DC payments monthly; $25 billion in pension payments for 2.7M retirees monthly; $667 million in lump-sum pension checks monthlyInvestment advice for $4.2 trillion in assets globally; delegated investment management for ~$37 billion in assets for >130 clientsExperienced leader in all major de-risking trends and consultant on largest pension de-risking actionOnly firm with integrated and comprehensive solutions across actuarial (~$1 trillion in global pension liabilities), plan administration, investments and insurance

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The Industry Leadership to Deliver: TalentCultivate talent to drive organizational and personal performance and growth*Market-leading Capabilities12 global HR BPO centers; support in 11 languagesLarge scale transaction capability: 15M payroll transactions, assess 8M candidates and hire 59,000 client positions annually5,000 talent clients with 17M employees in 40 countries50 unique comp & performance surveys17M+ responses in our engagement databaseSupported ~30% of PE transactions over last 3 years and 25% of corporate M&A deals over $15B in 2011Macroeconomic Trends4 out of 10 employees worldwide are not engagedFocus required on culture and engagement to attract next-gen talentEmerging economies are growing faster than available leadership talentIncreasing need to build global talent poolsNew pay philosophies need to align to long-term resultsGrowing interest in SaaS

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The Industry Leadership to Deliver: HealthMacroeconomic TrendsHealth care costs have risen 52% in past 6 years similar trend expected to continueHealth Care Reform actions driving major change and new optionsCompanies searching for global benefit solutionsNew strategies needed to improve population health

Redefine health & benefits solutions for greater choice, affordability, and wellness*Market-leading CapabilitiesLargest provider of health & welfare admin10k unique health plan designsServe more than 9.5 million health and welfare participantsDirect $8B in health premiums annuallyPioneer in health care exchanges100,000 employees and their families in our corporate exchange200,000 retirees in our retiree exchangeProvide Health & Benefits consulting covering the health benefits management spectrum90 locations worldwide5,000 large and mid-market clients in both public and private sectorsHelp 108,000 employees return to work annually

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Affordable Care Act

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Health Care$2.5 trillionFood$0.9 trillionNational Defense$0.8 trillionClothing$0.3 trillionTotal Pre-tax Corporate Profits$1.3 trillion

Spending by Category (2009)Sources: CMS, Bureau of Economic Analysis, 2009Why Are We Talking About This?

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About Health Care ReformOn March 23, 2010, the Patient Protection and Affordable Care Act (PPACA) was signed into law. The law puts in place comprehensive health insurance reforms that will roll out over four years and beyond.

On March 30, 2010, the Health Care and Education Reconciliation Act of 2010 (HCERA) was signed into law. This act contains significant modifications to PPACA.

The combined laws are referred to as the Affordable Care Act or more commonly as Health Care Reform. These two laws together make sweeping changes to existing laws governing employer-sponsored group health plans, individual health coverage, and governmental health programs.

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Health Reform: Keeping it in the ForefrontThe Headlines2012 saw the Supreme Court confirmation of the Health Care Reform MandateCongressional repeal remains unlikelyMajor implications for State GovernmentsFederal GovernmentEmployersEmployeesProvidersWhats Ahead for Health Reform?

2014State exchanges openIndividual mandateEmployer free rider penaltyEmployer Responsibility to provide Minimum Essential CoverageLimit of 90 Day Waiting Period for CoverageWellness incentives move to 30% differential2018Excise Tax on High Cost Employer Sponsored Coverage (*health insurance issuers and sponsors of self-funded group health plans will be assessed an excise tax on any benefits provided to employees that exceed a pre-determined threshold. aka The Cadillac tax)

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Health Care Reform TimelineLifetime limits prohibitedOnly restricted annual limits permittedConsumer protections>Preexistingcondition exclusionsprohibited for childrenunder 19>Rescission ofCoverage>Other protectionsCoverage for preventive health servicesExtension of dependent coverage up to age 26Effective appeals processEarly Retiree Reimbursement ProgramExpansion of adoption assistance program creditAdditional reporting to State & Federal governments and PublicOver-the-counter medication not reimbursable through Flexible Spending AccountHealth Savings Account excise tax increasedMedicare Part D discounts for certain drugs in the doughnut holeMedicare Annual Enrollment period changesEmployer distribution of summary of benefits and coverage to participantsEmployer quality of care reportEmployer reporting of health coverage on W-2Comparative effectiveness fee*Notice to inform employees of coverage options in exchangeLimit of Health Care Flexible Spending Account contributionsMedicare Part D subsidy to employer no longer tax-free Tax on high-income individualsComparative effectiveness fee*Individual mandate to purchase insurance or pay penaltyState/Federal insurance exchangesEmployer to provide minimum health coveragePreexisting condition exclusions prohibitedAnnual limits prohibitedAutomatic enrollment (delayed) Limit of 90 days on waiting periods for coverageEmployer reporting of health insurance information to participants & GovernmentIncreased cap on rewards for wellness programsTransition Reinsurance ProgramExcise tax on high-cost coverage

201020112012201320142018

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Business Opportunity & DriversNote:Aon Hewitts 2013 Health Care Trends survey of more than 800 employersAon Hewitts 2013 Retiree Health Care Trends survey of more than 500 employersThe Facts:122 million+ active employees with employer-sponsored group coverage94% of employers plan to continue offering health benefits to active employeesRetiree market poised to grow at 4.5 million per year Around 48 million people qualify for Medicare today. 26% of those have employer-sponsored coverage28% of employers plan to move to a corporate exchange model in the future. 66% of employers use or plan to move to an individual market strategy for retiree health care

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Four Paths for Employers

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House Money, House RulesRising Cost and Worsening Health RiskSource: 2010 World Economic ForumChronic illness accounts for 60% - 65% of all health care spending

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Changing Health BehaviorSource: Aon Hewitt 2012 Health Care Survey, available at aon.com/betterhealthresults

Top ChallengesDesired OutcomesTop Tactics Motivating participants to promote behavior change65%Increase utilization of wellness and prevention70%Offer incentives or disincentives to motivate sustained behavior change61%

Government compliance and regulations35%Increasing participant decision making related to health issues62%Promote a culture of health in the workplace48%Managing the health of an aging workforce30%Lower health risk of population58%Move to rewarding improved health results or outcomes44%

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Play on a New Field

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Play on a New Field

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Aon Hewitt Corporate Exchange Survey ResultsSource: Aon Hewitt, 2011 (n=562)44% of companies believe they will adopt a Corporate Exchange form of health benefits delivery over the next 3-5 years

Employer Responsibility for Health Care Coverage

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It Is About Managing Through ReformThe Situation:Employers with modest impact will see costs rise 2% to 5% in 2014Employers with low-paid workers, long waiting periods, 30+ hour employees with no coverage or low value coverage could see costs increase 20% to 60% in 2014Some employers will continue to make incremental changes to health care programs and will offer more traditional decision-making tools and resources to employeesFor other employers, 2014 will mean radically redefining their health care offerings and helping employees optimize their coverage and cost through: Employer plan, Exchanges, MedicaidThese choices will be heavily influenced by federal subsidies and state Medicaid entitlement rules as well as the influx of fully insured lives into state and federal exchangesEmployers need to continue to monitor legislative and regulatory changes

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What is an Exchange?An exchange is a competitive marketplace that consists of suppliers and buyers

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Exchange Benefits to Employers, Enrollees, and CarriersEmployersTrend mitigation through competition, efficiency and best-in-market contractingCost predictabilityRisk transferFocus on health and productivityEnrolleesGreater choice of plans and carriersFlexibility to tailor benefit/contribution trade-offsSuperior customer experienceCarriersMarket share opportunity Earnings potential (full premiums vs. administrative fees)Product innovation and controlAttractive risk pool

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Corporate/Private Exchange GoalsCreate a competitive market in health care benefits at a retail/consumer levelWill drive efficiency and mitigate trend through competitive forcesFacilitate the movement to a defined contribution model for those employers who are aligned with this philosophyJump off the health care trend curve to a compensation-like rate of increaseTreat health benefits as an element of total rewardsExpand choice, drive efficiency and simplicity, but allow consumer selections that could not be driven unilaterally at the employer levelFor example, narrow networks, select formulariesProvide an alternative to state exchanges for large employers before 2017, and transition to an individual model when the market is readyConsolidate purchasing power in the private sector to drive systemic reforms of the health care delivery system

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Aon Hewitt Health Care ExchangesPrivate ExchangePublic Exchange

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Aon Hewitt Health Care Exchange InitiativesIndividual ExchangePost-65 Retirees Aon Hewitt NavigatorsPre-65 Retirees Aon Hewitt NavigatorsActives Aon Hewitt NavigatorsGroup ExchangeActive + / or Pre-65 Retirees Aon Hewitt Corporate ExchangeState/Federal ExchangeActive + / or Pre-65 Retirees H&B ConsultingAon Hewitt Health Care Exchange Portfolio

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Navigators We Make it EasyEDUCATIONENROLLMENTCHOICEADVOCACYOver 240,000 retirees served with over 92% satisfactionWith Aon Hewitt Navigators, employers can realize significant cost savings by seamlessly transitioning retirees to the individual market while still providing the support they need to navigate the complex Medicare market.

EMPLOYERSSignificant Cost SavingsFinancial PredictabilityTurn-key ImplementationProven network, all major carriersIntegrated HRA

RETIREESFree access to personalized healthcare advisorsMedicare expertise80 Carriers and 3300 productsAdvocate to navigate issues

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Corporate Exchange: How It Works

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Value PropositionMaking This Work for All StakeholdersEmployees Greater choice of plans and carriers Superior customer experience Flexibility to tailor benefit/contribution trade-offsClients Risk transfer and predictability Trend mitigation through competition, efficiency, and best-in-market contracting Focus on health and productivityCarriers Market share opportunity Earnings potential Product innovation and control Attractive risk pool

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Corporate Exchange Shopping Experience

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Gain Predictability and Risk Transfer without Cost IncreasesInsured PlansConsumerismCompetitionChoice and FlexibilityDefined Contribution SubsidyBest-in-Market EfficienciesReduce TrendRemove VolatilityEnsure Employee SustainabilityIn every consumer market, competition reduces costRegional rating bands allows market-specific insurer strengths to emergeConsumers will make economic choices if they can reap the full economic benefitFreedom of movement across insurers will keep costs low and service levels high generating more control and increased satisfaction Insurers will have accountability for managing care; price becomes critically importantWith competition mitigating trend, plan sponsors can move to a DC approach without long-term cost-shifting to associatesNo Silver Bullet: Six Key Levers Working in Concert

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Q&A

Aon and ACA: Trivia1) Who is the CEO of Aon?2) What does Aon mean?3) How many people do we administer benefits for? 4) How many colleagues do we have globally?5) What is an Exchange?6) Which company did Aon Hewitt contract for the Corporate Exchange for benefits in 2014?

Thank you for joining. Campus recruiting team introductions.

PLAY WHILE STUDENTS ARE COMING IN:GO HERE FOR KINGS OF LEON VIDEO: https://www.dropbox.com/s/tafsp4zfrgmh4uj/6_Someone_Like_You.wmv**Our path to this moment puts us in the strongest position in our history with recognition from the market and most important, recognition of our clients.Even more compelling than our progress to date, is the opportunity before us. It is important that we understand the opportunity for Aon overall and for individual team members around the world is unprecedented.We continued to strengthen our industry-leading position as the #1 intermediary of primary risk insurance, the #1 intermediary of reinsurance, and the #1 human resource consulting and outsourcing firm.While it is rewarding to be in this enviable position, size is not our objective; rather it is how we serve our clients and the value we deliver to them through our content and capabilities Most important, our talentyour talent is the best in the industryThis unique position puts us at a clear advantage to our competitors. We are better able to weather economic storms like those seen these past through years and much better positioned to make strategic investments in our firm Again, we are in an industry that is ready to be shaped and we are the perfectly poised to shape itHistory in the makingOur history, as a combined enterprise, extends back to the 1680s when the worlds first insurance commercial brokerage house was formed, Hudig-Langeveldt, to insure ships throughout the Netherlands. In 1991, Aon would acquire this company which was at the time the largest broker in continental Europe.Ted Hewitt formed Hewitt & Associates in 1940, originally focused on selling insurance and financial services.Aon and Hewitt both have strong traditions and successful track records of growth through acquisition as this history reflects. This latest chapter of bringing Aon and Hewitt together is in keeping with that proud history of our firms, and a key to the history of success that both firms have enjoyed as a result.This trend also shows the increasing importance of global presence which has been the trend within the Risk and People-based industries in which we operate and compete.*You Serve Many Of The Worlds Best OrganizationsThe global coverage and footprint of Aon is astoundingConsider that we serveThis is a true testament to each colleagues client leadershipThe extraordinary client service colleagues deliver every day is a true competitive advantage for our firmHave students split into teams of 3-5 split into teams of 2-3, hand out sheets of paper with trivia questions have

Q. Who is the CEO of Aon?Greg Case

Q. Aon What language is Aon and what does it mean?A. Gaelic. Oneness.

Q. Old Traffordis anall-seaterfootballstadiumin theTraffordborough ofGreater Manchester,England, and the home ofPremier Leagueclub, Manchester United. With space for 75,957spectators,[1]Old Trafford has the second-largest capacity of any English football stadium afterWembley Stadium, the third-largest of any stadium in theUnited Kingdom, and the eleventh-largest in Europe.Tell us, how might you figure out how many soccer balls would it take to fill Old Trafford stadium.A. No known answer.

**Before going to next slide..ask the room what they think of when they think HR.

Expectation.hiring/firingsteer the conversation to overall employment package. Focus on Benefits Administration and strategy.****Have students split into teams of 3-5 split into teams of 2-3, hand out sheets of paper with trivia questions have

Q. Who is the CEO of Aon?Greg Case

Q. Aon What language is Aon and what does it mean?A. Gaelic. Oneness.

Q. Old Traffordis anall-seaterfootballstadiumin theTraffordborough ofGreater Manchester,England, and the home ofPremier Leagueclub, Manchester United. With space for 75,957spectators,[1]Old Trafford has the second-largest capacity of any English football stadium afterWembley Stadium, the third-largest of any stadium in theUnited Kingdom, and the eleventh-largest in Europe.Tell us, how might you figure out how many soccer balls would it take to fill Old Trafford stadium.A. No known answer.

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***Divide information session attendees into teams of 3-5. Give students 5-10 minutes to complete answers, tell them that the judges will deliberate discuss quietly with Aon colleagues running the session and announce the winners. Award 1-3 groups with Aon gifts.