MVPH-128635622

RATE FILING SUMMARY

MVPHIC’s 1Q2013 and 2Q2013 Large Group PPO Rate Filing.

Company is proposing an overall average annual rate increase of 12.0% (over 1Q2012 rates) for policyholders renewing in 1Q2013.  For second quarter 2013 renewals, the overall average annual rate increase being proposed is also 12.0% (over 2Q2012 rates).

Q1 and Q2 2013 Large Group AR42 Rate Filing

MVP Health Insurance Co. is a health care payer operating in Vermont and New York. MVP’s mission is to
provide high quality and affordable health care with a focus on wellness to our members.

MVP must obtain approval from the Department of Financial Regulation and Green Mountain Care Board
for the health insurance premium rates charged. MVP files quarterly premium rates which are guaranteed for
12 months. This rate filing seeks approval of MVP's 1st and 2nd quarter 2013 premium rates (effective dates
of coverage beginning between January 1, 2013 and June 30, 2013).

The manual premium rates filed for approval each quarter reflect MVP's current estimate of the cost to
provide health insurance for that coverage period. The filed manual premium rates for the current
quarter may be higher or lower than the previously filed manual premium rates. However, premium rates
generally increase over time. Increases in premium rates are driven by many factors including increases in
use of medical services by the insured population, increases in hospital and physician required charges for
medical care, expanded covered services due to government mandates, and the exit of healthier individuals
from the insurance market place as the cost of insurance increases.

The manual premium rates included in this rate filing reflect a 12.0% increase over the prior manual rates.
Approximately 2.3% of the 12.0% proposed increase is due to new government mandates (at both the state
and federal level) which were not in effect the last time these groups renewed. The minimum proposed
manual rate change for members renewing is 9.3% while the maximum rate change is 14.7%. 7,601
members will be impacted by the proposed rate changes.

It’s worth noting this summary only reflects the change in the manual rates MVP is proposing for Q1 and Q2
2013. Group specific premium rates are calculated by blending the manual premium rate with the group’s
historical experience. As a result, group specific renewal rate modifications may fall outside of the minimum
and maximum range noted in the paragraph above.

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Once the actuarial opinion has been received by the Department and the Commissioner’s recommendation concerning this filing has been made, these documents will be found at the Green Mountain Care Board’s rate review website: http://gmcboard.vermont.gov/rate_review.    You can search the Board’s website using the SERFF tracking number at the top of this page.  Once the decision has been issued by the Board we will update the status of the filing on our website.  Please note there is a time lapse between when the filing is submitted to our Department and when the Board issues the decision