16 17nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

2013

2 3nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

YOUR INDUSTRY VOICE advocacy programs 4-7 exchanges 4

consumerfinancialassistance 4

equitabletreatment 4

tools,education&outreach 5

industrycollaboration 6-7

mediaoutreach 8 YOUR INDUSTRY RESOURCE

research programs 9

educationprograms 10-11

financialreports 12-13

brokerinitiative 14

volunteer excellence 15

gabrylaward 15

donmayesaward 15

starawards 15

Contents

LEADERSHIPBoard of Directors

Executive Committee

ChrisSwanker,FSA,MAAA,ChairGuardian Life Insurance

TheresaMcConeghey,ViceChairPrincipal Financial Group

Dr.GeneSherman,SecretaryStarmount Life

KirkAndrews,TreasurerUnitedHealthcare

Board Members

Charles BrodyBlue Cross Blue Shield of SC

Dr. Dan CroleyDelta Dental of CA, NY, PA & Affiliates

MarkCoynePPO USA, a Division of GEHA

RobinMuckPremier Access Dental and Vision

Dr.FredSharpeAvesis

EvelynF.Ireland,CAE,ExecutiveDirectorNADP

2

2 3nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

ContentsTheyear2013beganwithanimpassionedvideopresentationduringtheJanuaryLeadershipConferencefromSenatorStabenow,reaffirminghercommitmenttotheequitabletreatmentissue.ThankstoherpushandthecontinuedadvocacyeffortsofNADP,thefinalregulationsonessentialhealthbenefitsofferedsomemethod of maintaining the sale of separate dental coverage outside theExchangesinthesmallgroupandindividualmarket.

Throughout the year, NADP continued to serve as the representative andrecognizedresourceof thedentalbenefits industry.Withthesuccessofyourcompanyalwaysonourmind,NADPachievedthefollowingonyourbehalf:

• WhileourmembersidentifiedEquitableTreatmentastheirtophealthcarereformpriority,NADPalsoadvancedallyourHCRpriorities,including:

oensuringtheofferofdentalinExchangesismeaningfuland oprovidingoptionsforanaffordablechild’sbenefitstructure, osupportingfundingofvariousprovisionstoimproveoralhealth

• NADP produced several members’ only comprehensive Advocacy Resources spreadsheetstrackingnumerousissuesandaspectsofhealthcarereform.

• Servingasyour industry voice,NADPenhanced itscollaborative relationshipwith theAmericanDental Association and maintained its leadership positions on a multitude of critical industryorganizations including the Dental Quality Alliance, ADA Code Maintenance Committee, X12,WorkgroupforElectronicDataInterchangeandmore.

• NADPcreatedtheStandardsandTransactionsInitiative(STI)toenrichourindustry’srepresentationinthisarenaandbuildonthestrongfoundationformedoverthepastdecade.

• Weexpandedoutreachtothebrokercommunitytoincreasetheirknowledgeofourindustryandassociation by exhibitors at the NAHU conference and getting their agreement to run articles,promoteabrokerspecificcutofourresearch,broadcastwebinarsandcompliancebriefings.TheCommunicationsCommittee,EducationCommission,ResearchCommissionandHCRTaskForcearepartoftheseprojects.

• CONVERGE registrations, sponsorships, and exhibitors were highest ever, which helped us tofund several more important initiatives to support our HCR efforts and exceeded our financialexpectationsforbudgetsandreserves.

• Weproducedthefirstwaveofamulti-yearresearchproject,NADP ACA Implementation Tracking Study,whichprovidedvaluableinsightonemployers’behaviorsandperceptionsregardingdentalbenefitsundertheSHOPExchangeenvironment.

AlloftheseaccomplishmentswerepossiblebecauseofthededicatedteamofNADPvolunteers.Lastyear,NADPsetarecordformemberengagement:228individualsservingin395volunteerpositionson14differentgroups.Weappreciatetheirworkandcommitmenttoourassociationandindustry.

ThesearebutafewofthemanywaysNADPservedasyourrepresentativeandresource.Weareheretoserveourmembers,andweremaincommittedtotheadvancementofourindustry.

ChrisSwanker,FSA,MAAA,NADPChairGuardianLifeInsurance

NEW MEMBERS

DENTAL PLANSDelta Dental of ArizonaRisk Solutions Resources

ASSOCIATEWest Coast Dental

SUPPORTING ORGANIZATIONSBenecareBrighter.com Colonial LifeDental EliteDirect Benefits Santech SolutionsSecure EDISpencer StuartQualbeWest Monroe Partners

INDIVIDUAL MEMBERSDanny BentleyDr. Manny ChopraTeresa DuncanDr. Kenneth HammerDr. Joel KnutsonDr. Henry LotsofChuck StewartChristine TaxinDr. Doyle Williams

3

4 5nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Government RelationsServingasyourindustryrepresentative,NADPpresentedtheuniqueneedsofthedentalbenefitsindustrytoawideaudienceofindustrystakeholdersandthemedia.

ThankstothededicatedworkofNADPvolunteersandstaff,thedentalbenefitsindustrysawmanysuccessesthisyear inHealthCareReformandGovernmentRelationsandsteeredseveralkey issuesanddeliverablesincluding:

ExchangesInitsfifthyear,theHealthCareReformTaskForce(HCRTF)continuedtoadvancekeyindustrypositionswithintheAffordableCareAct(ACA)throughongoingoutreachandcommunicationwithstaffoftheU.S.DepartmentofHealthandHumanServices(HHS)aswellasCongressionalleaders.TheHCRTFshapeddentalparticipationonExchangesandpositively impactedseveralareas includingsecurityandprivacy requirements,enrollmentprocesses,templates,feecalculations,administrationofcostsharingprovisionsandplandesign.

Similarlyon thestate level, theStateExchangeTaskForce (SETF)advocated for the industry ineachof theState-BasedMarketplaces(SBMs)andprovidedvitalcommentstoseveralstatesonparticipationstandards,administrationoffees,navigatorstandardsandplandesign.

CaliforniapresentedtheindustrywithseverallegislativeandpolicychallengesthroughouttheyearincludingSB639,AB18andanExchangedentalpolicyreboot.NADPplayedanactiveroleinsupportingmemberplansandtheCaliforniaAssociationofDentalPlans(CADP)indiscussionswiththeCoveredCalifornia(Exchange)board,providingcommentsandtestimonyonseveralkeyissues,aswellasassistanceinfundingaMillimanpaperonlossratios.

ConsumerFinancialAssistanceAcriticalissuefortheindustrycontinuedtobetheapplicationofconsumerassistanceprovisionstoseparatelyoffereddentalplans.Early in theyear,NADP joinedwithmore than40organizations including theAmericanDentalAssociation(ADA),DeltaDentalPlansAssociation(DDPA),andconsumergroupsinaletterurgingtheU.S.Treasurytoincludethecostofstand-alonedentalbenefitsinthecalculationoftheACApremiumtaxcredits.Throughouttheyear,theHCRTForganizedeffortstogainsupportfrom14SenatorstourgetheIRStoclarifythispolicy.NADP is hopeful that theparallel efforts from lawmakers, thedental benefits industry, consumeradvocatesandtheprovidercommunitywillmove IRStoclarify thepolicy in further rulemaking in2014andensurepremiumtaxcreditsaredistributedonanequitablebasistofamiliesacrossallthestates.

EquitableTreatmentEarlyintheyear,NADPandplanrepresentativesmetwiththeWhiteHouseandHHSGeneralCounseltodiscussEquitableTreatmentandanypossiblelegalpathsorclarification.WithinitsFinalRuleonEssentialHealthBenefits(EHB),HealthandHumanServices(HHS)includedalongawaited“fix”onthisissuethatwouldallowmedicalplanstobeconsideredcompliantsolongastheissueris“reasonablyassured”thatanindividualhasobtainedpediatricdental services throughan “exchange-certified” standalonedentalplan.NADPsoughtclarificationandcontinuestomeetwithCenterforConsumerInformationandInsuranceOversight(CCIIO)onReasonableAssuranceandiscommittedtocontinuedadvocacyatthefederalandinthestatesonthepolicy.

Advocacy Programs

4 5nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Advocacy ProgramsTools,EducationandOutreachToprovidehelpful resources formembersandadvance thedentalbenefits industry,NADPdevelopedseveralkeyIssueBriefsforthepublicandworkedwithstakeholdergroupsincludingNationalAssociationofInsuranceCommissioners,AmericanDentalAssociationandNationalAcademyforStateHealthPolicytoeducateconsumersonthechangingdynamicsofdentalbenefitsofferings.AvailableontheHealthCareReformpageofthe“Advocacy”sectionofnadp.org,thenewestbrief“DentalintheMarketplaces:ConsumerTipsonShoppingforDental”helpsconsumersunderstandthevariousselectionsandcomplexitiesregardingpediatricdentalcoverageoptionsofferedonthenewMarketplaces.

The Association is committed to providingmemberswith the critical, quality resources necessary to activelyparticipatein legislativesessionsandhealthcarereformdiscussionsatstateandfederal levels.Tokeeptheseresources easy-to-use and easy-to-find,NADPcollected all “member-only” advocacy resources and trackinggridsintoone,comprehensivewebpage,AdvocacyResources,thatisupdatedfrequently.ResourcesupdatedonlineincludeadvocacybriefingsandpresentationsaswellastrackingGridsonExchanges,ACARegulations,EssentialHealthBenefitsandGovernmentRelations.

TheACAchanged the landscapeofmedicine, dental, and health policy, andwhile the impact on the dentalbenefitsindustryisstillunknown,NADPcontinuestorollupitsleevesandgetintotheweeds,takingoncriticalissuesforthebettermentofalldentalplansandtheconsumerstheyserve.

NADP Health Care Reform Task Force Chair Jon Seltenheim, United Concordia Companies, Inc., and Executive Director Evelyn Ireland, CAE, have made numerous trips to Washington, D.C. to press NADP’s view with policy makers – from Congress to the White House.

6 7nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Industry CollaborationBasedondirectandvocalfeedbackfromNADPmembers,theProfessionalRelationsCouncil(PRC)examinedthe needs anddesiresof thedental benefits industry in the coming years and reconstituted the volunteergroupsunderanewidentity;theStandardsandTransactionsInitiative(STI).TheSTIwillfocusonthefutureofthedentalbenefitsindustryaswemovetoenhancedusageofelectronicdatainterchange(EDI)inresponsetosweepingchangesinthewaydentalbenefitsareprovided.In2014,theSTIwillconsistsoffourworkgroups(WGs)includingtheCodesWG(formerlyCDTWG),Clinical,andOperations(formerlyProfessionalRelationsWG). A newWG for EDIwas formed to giveNADPa clearer and louder voice on issues relating to EDIimplementationissuesunderACA.

CDTWGTheCDTWGbeganwork in 2013 by commenting on draft guidelines for the revisedCodeMaintenanceCommittee(CMC)andmanyoftheCDTWG’ssuggestionswereadoptedbythefullCMC.

TheCDTWGcompletedreviewofproposedchangestoCDT-2014andsubmittednine(9)proposalstotheCMCandprevailedoneight(8)withnearunanimoussupport.Drs.CharlesStewart,Aetna,andFredHorowitz,NevadaDentalBenefit,representedNADPattheFeb.28-Mar.2,2013CMCmeetingwithTimothyL.Brown,NADPDeputyExecutiveDirector,andBrianFlynn,NADPDentalInformaticsManager,providingstaffsupport.OneapprovedNADPsubmission,D9985salestax,isthefirsteveradministrativecodeadoptedintheCDTandwaspassedwithwidesupportoftheCMCmemberswheninitialresponsestothesubmissionswerenegative.Testimonyandinformation,regardingthecollaborativeworkspearheadedbyNADPwithADA,DDPA,NDEDIC,WEDIandX12,providedtoCMCmembersduringthemeetingsignificantlyswayedopinionsinfavorofthesales tax code.

NADPwasaskedbytheCMCtoprooftheinitialCDT-2014filesandwasonceagainthefirstorganizationtoreceivetheCDT-2014filesfordistributiontoNADPCDTLicenseesfiveweeksinadvanceofthescheduledrelease,givingNADPmembersadditionaltimeforanalysisandimplementation.

TheCDTWGclosedouttheyearreviewingchangesforCDT-2015includingseveralsubstantiveandeditorialsubmissionsfromNADP.

ClinicalWGTheClinicalWGonceagaingathereddatafortheonlysurveyofthedentalbenefitsindustryrelatedtodiagnosticcodeusageandpresentedtheresultsduringasessionatCONVERGE2013andrefinedquestionsforthe2013implementation. WGmembers continued tomonitor the actions of the Dental Quality Alliance (DQA) formed in 2010 andWGmember,Dr.CraigAmundson,HealthPartners,andNADPDeputyExecutiveDirectorTimothyL.BrownparticipatedasvotingmembersintheDQAmeetingheldinJuly2013andDr.AmundsonattheDecember2013meeting.SeveralWGmembersattendedtheDQAEducationalConferenceheldinJune2013.WGmembersparticipateontheExecutive,ResearchandDevelopmentandpediatricmeasuresdevelopmentcommittees.TheClinicalWGalso tookonoversight and reviewof theactivitiesof the InternationalHealthTerminology

Advocacy Programs

6 7nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

StandardsDevelopmentOrganization(IHTSDO),withDr.HorowitzandTimothyL.BrownrepresentingNADPontheDentalSpecialInterestGroup(SIG),inreviewingproposedchangestoSNOMED/SNODENTinconjunctionwiththeNationalLibraryofMedicine(NLM).TheyalsoattendedthefirstfacetofacemeetingoftheDentalSIGinCopenhagen,DenmarkinApril2013andthenMr.BrownattendedthefullIHTSDOmeetinginOctoberinWashington,DC.

AsaresultoftheDentalSIGinteractions,Dr.HorowitzandMr.BrownhavebeenworkingwithasubcommitteeofSIGmemberstodevelopadentalreferencesetforuseintheUS.Thisdentalreferencesetofapproximately300codesreducesthenumberofcodesmostprovidersandplanswouldneedtoinitiallyintegrateintoEDIandEHRsystemsandshouldenhanceimplementationintheUS.

TheClinicalWGalsoreviewedpotentialdentalaccreditationoptionsandcoordinatedareviewoftheNADPDentalPlanAccreditationStandards(DPAS)developedin1999.NADPhasbeenincontactwithatleastthreeoutsideaccreditationorganizationstoinsureanyorganizationsmarketingdentalaccreditationhasstandardsthatarebothapplicableandappropriatefordental.NADPhasalsoprovidedtheseorganizationswithDPASandplanstobeengagedinthereviewofaccreditationstandardsappropriatetodentalwithintheaccreditationorganization’supdateandreviewprocesses.

ProfessionalRelationsWGThePRWGbegantheyearbyreviewingprioritiesanddevelopedanewworkplanfor2013thatincludesfocusonenhancedrelationshipswithDentalServiceOrganizations(DSOs)andusageofEDIinclaimsandelectronichealthrecordsincludingclaimsandremarkcodes.

ThePRWGworkedintandemwiththeClinicalWGinreviewingtheNADPDentalPlanAccreditationStandards(DPAS)developedbyNADPin1999priortoreleaseofDPAStooutsideaccreditationorganizations.ThePRWGalsoreviewedinitialinformationfromtwooutsidedentalplanaccreditationorganizationsforappropriatenessandapplicabilitytoNADPmembers.ConversationscontinuetoallowPRandClinicalWGmemberstoreviewdraftproposals fromAccreditationAssociation forAmbulatoryHealthCare (AAAHC)andUtilizationReviewAccreditationCommission(URAC)relatingtodentalplansaccreditation.URACofferedNADPanunprecedented“firstlook”andopportunitytocommentpriortopublicationonandstandardstheydevelopfordentalplans.URACisusingNADP’sDPASasastartingpointfordentalspecificaccreditationstandards.

WGmemberswerebriefedonadvancesonprovidercredentialingandseveralneworganizationsandnewproductsunderdevelopment.InterestinthesedevelopmentspromptedasessionatCONVERGE2013.Aswell,WGmembersdirectedstaffto interactwiththeCredentialingsubgroupof theDentalGroupPracticesAssociation(DGPA)ontheireffortsrelatingtocredentialing.NADPisawaitinginformationfromDGPAandtheirworktocoordinatewiththeWG’sefforts.

Advocacy Programs

8 9nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Mediainterestindentalbenefitswasstrongin2013.Highlightsofkeyinterviewsandpressreleasesinclude: KaiserHealthNewsReporterMaryAgnesCareyinterviewedNADPExecutiveDirectorEvelynIrelandregardingthepediatricdentalbenefit.

CNNMoney.comReporterJosePaglieryinterviewedEvelynF.Ireland,NADPExecutiveDirector,regardinghowmedicalpoliciesoutsidetheexchangesmustincludedentalforchildrennowthatpediatricoralcareasanEssentialHealthBenefit.

InsuranceQuote.comNADPprovidedreporterLeahCarlsonbackgroundmaterialsonwhatconsumersshouldexpectundertheAffordableCareAct.

LATimesReporterLisaZamoskyinterviewedNADPExecutiveDirectorEvelynF.Ireland,CAE,regardingtheimpactsofhealthcarereformondentalbenefits.

NewYorkTimesACAtaxissuesandthepediatricdentalbenefit(ReporterCatherineSt.Louis)

MedscapeMedicalNewsNADPExecutiveDirectorEvelynF.Ireland,CAE,wasquotedinLairdHarrison’sarticle,Advocates Protest Affordable Care Act Dental Regulations.ThearticleexploredestimatesaboutthenumberofpeoplewhowillbecoveredunderACA.

MoneyMagazineBackgroundregardingannualandorthodontialifetimemaximums.

PoliticoNADPExecutiveDirectorEvelynF.IrelandwasquotedinanarticlebyKyleCheneyregardingtheimpactoftheAffordableCareActondentalbenefitplans.

WallStreetJournal• An article by Jennifer Corbett Dooren focused on equitable consumer access to dental coverage on and off the

ExchangesundertheACAandfeaturedquotesfromNADPExecutiveDirectorEvelynF.Ireland.• ReporterJenWiecznerinterviewedandfeaturedNADPExecutiveDirectorEvelynF.Ireland,CAE,inherarticleabout

theimpactofAffordableCareAct(ACA)rulesondentalcoverageintheUS.• TipsforConsumersPurchasingPediatricDentalOnExchange,reporter:KristenGerencher

WashingtonPost/KaiserHealthNewsReporterMichelleAndrewsquotedNADPExecutiveDirectorEvelynIrelandinthearticle,Health-carelawrequiresadditionaldentalbenefitsforchildren.

WashingtonPostHealthpolicyreporterSandhyaSomashekharinterviewedNADPExecutiveDirectorEvelynIrelandabouttherecentdebateonpediatricdentalbenefitsandthehealthexchangesundertheAffordableCareAct.

Press ReleasesNADPreleased“Commercial Dental Benefits Enrollment Jumps Dramatically in 2012,”whichhighlightedthe3%increase(11million lives) indentalbenefitsattheendof2012.Thereleaseappearedonnumerouswebsites includingMarketWatchandYahooFinanceandseveraltop-20marketsincludingBoston,Cincinnati,Dallas,FortWorth,KansasCity,andOakland.

NADPreleased“NADP Publishes Consumer Shopping Tips for Dental Coverage in Marketplaces,” whichprovidedexamplesof thevariouspediatricdentalbenefitoptions in theexchanges.The releaseappearedonnumerousmediaoutlets includingAnchorageDailyNews,BaltimoreWJZ,HoustonChronicle,MinneapolisStarTribuneandWCCO-TV,SacramentoBeeandCBSstationsinChicago,Dallas-FortWorth,LosAngelesandSanFrancisco.

Media Outreach

“

8 9nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Research Programs

NADPResearchdelivereditsstandardreports:

MetricsReportIn conjunction with LIMRA, NADP published three metrics reports: 2012 NADP/LIMRA U.S. Group Dental ClaimsProcessingMetrics,and2012NADP/LIMRAAdministrativeMetricsReport.

SalesReportsAlsoinconjunctionwithLIMRA,NADPmadethequarterlysalesreportsavailabletoparticipatingmembers.

EnrollmentDDPApartneredwithNADPtodeliverthe2013NADP/DDPAJointDentalBenefitsReport:EnrollmenttodentalplanmembersinAugust2013.

NetworkStatisticsAlso incooperationwithDDPA, inDecember,NADPpublished the2013NADP/DDPAJointDentalBenefitsReport:NetworkStatistics.Forthefourthyear,thisreportrequestedtheactualproviderdatabasemanagedandmaintainedbyeachparticipatingcompany.Asaresultofthismethodology,alldentistsparticipatinginaprovidernetworkhavebeencountedindividually.Thus,theoutcomeisacensusofalldentistsparticipatingonanyprovidernetworkratherthananestimate.

FinancialOperationsAfterahiatusforseveralyears,NADPhaspublishedthisreportontheallocationofPremiumamongNADPmembers.

PremiumandBenefitUtilizationTrendsNADPimplementeddramaticchangestothePremiumTrendsReportin2011.Thisreportnolongerreportsnewpremiumtrends, but is limited instead to In-force premium trends forDHMO,DPPOandDental Indemnity products.Benefitutilizationtrendsarealsoincludedinthisreport.Weanticipatethepublicationofthisreportinthefirstfewweeksof2014.

SharedResearchNADP initiatedamulti-wavesurveyofemployers toassessemployerknowledgeofACAandhow itwill affect theirbusiness.ThesurveywilltrackemployeractionsrelatedtohealthanddentalinsuranceastheACA’sSHOPexchangesareimplemented.Theoriginalscheduleforthisstudywasmodifiedjustafterthefirstwaveofthetrackingstudywascompletedas theSHOPexchangedelayed implementationwasannounced.Thefinal threewavesof thestudywillresumeinJanuary/Februaryof2014,withsubsequentwavesinJuly2014andJanuary2015.

Servingasyourauthoritativeindustryresource,NADP increased knowledge of the dentalbenefitsmarketthroughanimpressivelibraryofresearchandtimelyeducationalprograms.

“ “

10 11nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

CONVERGE 2013Theyear2013wasone for the recordbooks.CONVERGE (annualconference)attendancewasnot just the largestofthepastfiveyearsbutthe largesteverwith441participating!This isonlythesecondtimeCONVERGEtopped400inattendance!

CONVERGE2013delivered thehighestcaliberprofessionaldevelopmentandnetworkingopportunitiesavailable to thedentalbenefitsindustryinjam-packededucationalsessionsandinformativeexhibits.

Fromstarttofinish,CONVERGE2013waspackedwithinformationandnetworkingopportunitiesthatattendeescraved.Forthesecondyearinarow,100%ofattendeesprovidingfeedbackwouldrecommendCONVERGEtotheircolleagues.And for theattendees that felt “Itwouldbegreat tohave recordingsof thepresentations to sharewithour respectivecoworkers….or“Itwouldnicejusttolistentothepresentationsagainandagain. CONVERGE2013recordattendancespurredanExhibitHallwhichwassoldoutwithvendorsreachingouttotherecordbreakingattendancefromourindustry.

Threegeneralsessionssetthetonetoexplorationofcriticalissuesandpersonalskills:• CarolinePearsonopenedCONVERGE2013withsalientinsightsintoemployerreactiontodevelopmentofExchanges

andthedelayintheemployermandate.• GarrisonWynnprovidedinsighttowinninginanunfairfight.• RonWhitegaveusthetoolstobecomeabrainathlete—rememberingnamesofallofthoseweencounterinourwork

andpersonallife.

AllthreegeneralsessionsgainedperfectoverallratingsonevaluationswithCarolinePearsonofAvalerescoring100%forthethirdyearinarow.MarkoVujicic,ADAManagingVicePresident,HealthPolicyResourcesCenter,joinedthisgroupwithaperfectscoreforhisTuesdayluncheonpresentationof“DentistryataCrossroads.”

Themostpopularandhighlyratedsessionsfocusedmoretightlyonoperationalissuesfordentalplansandincluded:• PPONetworkTrendswithAaronGroffmanofNetMinder• SocialMediaStrategywithNicoleKelleyofSocialMediaExplorer• LossRatiosImpactonDentalwithJoanneFontanaofMilliman• QualityMeasuresforDentalwithKrishnaAravamudhanoftheADA• TheConsumerMindsetpostExchangeswithMarcPierceofStonegateAdvisors• E-commerce:HowtoMaximizeyourMarketPresencewithWilliamHindeandKristinIrving,WestMonroePartnersand

TedNovakofCliqueStudios• HCR—ThePathAheadwiththeHCRTaskForce

TheopennessofNADPattendeescontinuestobeahallmarkdifferenceinNADPandothertradeorganizationswithnewattendeesnoting,“Thereisanopennessandwillingnesstosharethatyoudon’tfindinmanymeetingsthatyouattend.”AndthecontinuedobservationthattheparticipationoftherepresentativesofFederallyFacilitatedExchangestaffindicatesNADPhasestablisheditselfasacrediblesourceofinformationonbehalfofthedentalbenefitsindustry.

Education Programs

NADPprovidedtimelyprofessionaldevelopmentopportunitiesaddressingmultipleindustrychallengesviaitsannualconference,CONVERGE2013andWebinarSeries.“ “

10 11nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Education ProgramsWebinarsThe2013Webinarseriescoveredthegamutfrompersonalskillslikebrainbasedpresenting toadult learners tocritical topics formarketinganddevelopmentofqualitymeasures for the future. Overall 2013webinars rated similarly to 2012but therewas lessattendanceasmembersstruggled toaddress thechanginglandscapeofstateandfederalExchanges.

AllNADPeducationalwebinarsarepresentedliveandareavailableviarecordings.Someofthemosthighlyrated2013Webinarsinclude:

1. UsingBrainSciencetoMakePresentationsStickwithSharonBowman:Discover4powerfulbrain-basedtoolsthatmakeANYcontentmorememorable,evencontentthatisdry,technical,orcomplex.Putthese4toolstoimmediateuseinyournextmeetingorpresentationandwatchyouraudiencescomealive!

2. Mommy Marketing with Kelly McDonald: Kelly McDonald of McDonaldMarketingsaysthe“mommyculture”isbig.Womenandmomsmake80%of thepurchasedecisions forU.S.households. Thissessionwillshowyouexactlyhowtoeffectivelytapintothislarge,lucrativeandloyalmarket

3. BuildingaMeasurableSocialMediaStrategywithNicholeKellyofSocialMediaExplorer:Nicolehelpsyouevaluateoptions for generating brand awareness, increasing revenue and improving customer retention against your corebusinessgoalssoyoucandeterminewhichsocialmediagoalisrightforyourorganization.Thenshedivesrightintohelpyoucreatestrategiesthataremeasurable.

4. ProductsforOutsideofExchangeswithKyleStern,DaveOlsonandBrianGoetschofHealthScapeAdvisors,discusshowrecentregulationschangethesmallgroupmarketcompetitivedynamic.Specifically,HealthScapewillevaluatethestrategicimplicationsof1)SHOPdecisiontopostponeemployeechoice2)Embeddedpediatricproductsand3)Operationalchallengesassociatedwithonandoffexchangeproductsandsales/distributionstrategies.

12 13nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Financial ReportsFinancial Reports

NATIONALASSOCIATIONOFDENTALPLANS(Anonprofitorganization)

Statements of Financial PositionDecember31,2013and2012

2013 2012ASSETS CURRENT ASSETS Cash&cashequivalents $1,623,565 $1,497,383 Restrictedcash 16,356 12,180 Certificateofdeposit 50,627 50,501 Accountsreceivable 705,463 712,585 Prepaidexpenses 48,269 39,559 Deposits 4,312 4,312 Total current assets 2,448,592 2,316,520

PROPERTY & EQUIPMENT Furniture&equipment 279,376 272,308 Lessaccumulateddepreciation (229,799) (207,854) Property & equipment net 49,577 64,454

$ 2,498,169 $ 2,380,974

LIABILITIES & NET ASSETS CURRENT LIABILITIES AccountsPayable $5,989 $18,746 Accruedexpenses 109,114 120,884 Deferredrevenue 1,619,279 1,547,733 Total current liabilities 1,734,382 1,687,363

NEW ASSETS Unrestricted 748,157 681,431 Temporarilyrestricted 15,630 12,180 Total net assets 763,787 693,611

$ 2,498,169 $ 2,380,974

12 13nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Financial ReportsFinancial Reports

2013 2012UNRESTRICTED NET ASSETS REVENUES Membershipdues $1,185,447 $1,152,786 Education&meetings 621,285 508,695 Research&information 57,479 109,243 Otherincome 12,609 852 Total unrestricted revenues 1,876,820 1,771,576 Netreleasesfromrestrictions- satisfactionofprogramrestrictions 292,676 260,279 Total unrestricted revenue & reclassifications 2,169,496 2,031,855

EXPENSES MemberServices 277,901 240,347 Education&meetings 543,992 455,070 Research&information 287,047 283,405 Governmentrelations 640,601 562,930 General&administrative 353,229 305,175 Total expenses 2,102,770 1,846,927 Increase in unrestricted net assets 66,726 184,928

TEMPORARILY RESTRICTED NET ASSETS CONTRIBUTIONS PoliticalActionCommittee 13,450 5,000 GovernmentRelations 282,676 254,279Net Assets Released from Restrictions PoliticalActionCommittee (10,000) (6,000) GovernmentRelations (282,676) (254,279) Increase(decrease)intemporarilyrestricted 3,450 (1,000) net assets Increaseinnetassets 70,176 183,928NetAssetsatbeginningofyear 693,611 509,683Net Assets at end of year $ 763,787 $ 693,611

NATIONALASSOCIATIONOFDENTALPLANS(Anonprofitorganization)

Statements of Activitiesfortheyearsended-December31,2013and2012

14 15nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

InthesecondyearoftheBrokerInitiative,NADPgainedtremendousstridesinincreasingbrokers’knowledgeofdentalbenefitsandtheawarenessoftheassociationasaresourceaboutthedentalbenefitsindustry.

The Initiativebegan in2012whenmultiplevolunteergroupspinpointedoutreachto thebrokercommunityascriticaltothesuccessoftheindustryandtheassociation’sstrategicplan.Buildingontheknowledgegainedfrombrokerfocusgroupsconductedin2012,theEducationandResearchCommissionsplustheCommunicationsCommitteemadetremendousstridesintheirjointobjectivesto:

1. Improvebrokers’knowledgeofdentalbenefits2. ExpandthemarketforNADPResearchReports3. RaisetheawarenessofNADPastheauthoritativeresourceofthedentalbenefitsindustry;and4. IncreasesubscriptionstotheNADPSmartBriefweeklyeNewsletter

Tofulfillobjectivesoneandthree,theEducationCommissionprovideddirectionwithawebinarfortheNationalAssociationofHealthUnderwriters(NAHU)ComplianceCorner,whichpresentedkeypointsregardinghealthcarereformandits impactondentalbenefits.ThewebinarwaswellreceivedbyNAHUattendeeswhosubmittedquestionsduringthewebinarandinthemonthsthatfollowed.NADPExecutiveDirectorEvelynF.Irelandpresentedthewebinar,whichwassosuccessfulitpromptedaninvitationtopresenttotheLouisianaUnderwritersgroup.

TheEducationCommissionalsoprovidedoversightforthebrokerwebinarpresentedtoNADPmembers,whichfeaturedtheNAHUvicepresidentofgovernmentrelations.

TheResearchCommissioncontributedtothesuccessofobjectivesone,twoandthreebypublishingtheDentalCarrierBenchmarkReport,whichNADPdistributedinitsboothatthe2013NAHUConventionandTradeshow.NADPalsomarketedadditionalresearchproductstoNAHUmembers.

TheCommunicationsCommitteeworkedwithmembersfromtheHealthCareReformTaskForcetopublishathree-partseriesontheAffordableCareActandDentalBenefitsforNAHU’sHealthUnderwritermagazineandCDHCSolutions.TheCommitteealsopublishedarticlesondentalenrollment,theimportanceofdentalcoverageforadultsandthestateofthedentalbenefitsmarket.ThecontinuationoftheDentalIntelligenceseriescontributedtoobjectivesone,threeandfour.

NAHU Convention ExhibitNADPexhibitedatthe2013NAHUConventionandTradeShowinAtlanta.Inthebooth,NADPstaffconductedinformalsurveystomeasureawarenessofNADP.Followingtheevent,NADPencouragedpurchaseofresearchreportsandsubscriptionstotheNADP SmartBriefweeklyeNewsletter.NADPadded100brokersubscriptionsfollowingtheevent–thelargest,singleincreaseinsubscribersin2013.

AsaresultoftheoftheBrokerInitiative,NADPcontinuedtogainvaluableinsightregardingbrokers’needswithregardtodentalbenefits.

Broker Initiative

14 15nadp.org nadp.org2013 nadp annual report 2013 nadp annual report

Jeanne Hensel, 2013 Gabryl Award RecipientLaying a foundation for increased communication between dental plans and organized dentistry throughpublicationofaseriesof industryarticlesplus long-termvolunteer leadershipearnedJeanneHensel,NationalDirectorSpecialtyBenefitswithHumana InsuranceCompany, theprestigiousGabrylAward, theassociation’shighesthonor.

Hensel’svolunteercontributionsincludeleadershipintheNADPprofessionalrelationsarea.In2003,shejoinedtheProviderPracticeCapacityInitiative,whichbecametheProfessionalRelationsCommission(PRC).In2004shewasoneofthethreeoriginalpresentersfortheNADPDentalBenefits101VirtualSeminar,thebasisforthefirstNADPon-linetrainingprogram.In2005and2006shewasthePRCVice-ChairandbecameChairofthePRCContentSubgroupin2006,whichshecontinuestochairstoday.ShereceivedthreeStarawardsandwas

nominatedfortheGabrylAwardin2006.From2007–2012,sheservedontheNADPBoardofDirectors.InherroleasPRCPRChair,shecontributedtothedevelopmentofastandardizedpresentationofthedentalbenefitsindustryforvariousaudiencesandredirectedthePRCPRWorkgrouptocollaboratewithDentalServiceOrganizations.ShealsoservedasVice-Chair(1997)andChair(1998)oftheEducationCommission’sExhibit/SponsorshipSubgroup.

Jon Seltenheim, 2013 Don Mayes Leadership Award RecipientJonSeltenheim,theSeniorVicePresident,BusinessandGovernmentStrategy,forUnitedConcordiaCompanies,Inc.,receivedtheNADPDonMayesLeadershipAwardforleadingthedentalbenefitsindustrywithinsightandwisdomduringthecriticaleraofhealthcarereform.

Since2008,SeltenheimhasrepresentedNADPmembersattheWhiteHouseandinnumerousvisitstoWashington,D.C.inhisroleasHealthCareReformTaskForceChair.Hehasguidedthetaskforceandassociationthroughthemanychallenges,changesandclarificationspertainingtotheAffordableCareAct.ThroughhisdedicatedservicetoNADP,Seltenheimformedmany influential relationshipswithmembersofCongressandtheAdministration,whichadvancedtheindustry’shealthcarereformconcernsandpositions.

2013 Star Award Recipients

Volunteer Excellence

Inrecognitionofvolunteerexcellencesupportingtheassociationmission,NADPhonored11 individualswiththeStarAwardattheCONVERGE2013OpeningGeneralSessionSept.10inLasVegas.Pictured(Left-right)Gail Garcia,AmeritasLifeInsuranceCorp.,forsteadfast,earlyanalysisofhealthcarereformissues;Roger Skinner,MaverestDental,forrecruitmentofmembersandexhibitors;Susan Huff, DentalOnePartners,forexpandingresearchreportmarketingtodentalserviceorganizations;Matthew Sinnott,WillametteDental,foradvocatingdentalissuesinWashingtonandOregonExchanges;Courtney Barnes Ransom, AccessDental/PremierAccess, for advocatingdental issues inmultipleExchanges;Jeff Album,DeltaDentalofCalifornia,NewYork,PennsylvaniaandAffiliates,histirelessadvocacyeffortsandrecruitmentofnewmembers;Suzanne Heckenlaible, DeltaDental of Iowa, for leadership in advocating top dental health care reformpriorities;Cathy Schmidtke, UnitedHealthcareDental,fortheleadershipinthebrokerarticleseries;Joshua Nace forhighlightingtheintersectionoflegislativeandregulatorypolicyasExchangeimplementationprogresses.Additionalrecipients:Allison Dubbs,MBA,forcontributionstotheNADPbrokerarticleseriesandDr. Steve Keller, StevenH.Keller,DDS&Assoc.,PA,forleadershipaswebinarseriesmoderator.