Reducing Family Health Care CostsThis Presentation belongs to Ekohealth

All usage needs to be cited and attributed to Ekohealth

• 119 million Indians have a monthly income > Rs5000/mth and:– Have surgery or experience extensive treatment each year in a private hospital– Have chronic ailments requiring regular medications and periodic treatment

• Of these 119 million Indians– Less than 10% currently have some form of health insurance– 35% of insurance applications are rejected in this target population– 35% of insurance claims are rejected in this target population– Almost all are caring for or will soon be caring for their parents or elderly relatives– High concentration in metropolitan centres

• This target population– Heavy users of Internet and social media (influencers – approx 65 million Indian Face book users)– Senior Citizens ( 100 million Population) , Chronic ailment Patients like diabetics (150 million population) with routine spends on

medicines and lab tests– Young (60% of population) executives for preventive health-check, and maternity cover, infertility treatment etc not covered by

insurance

• Increase in bed capacity and corporatisation of healthcare– Leading to increase in competition due to vacant bed capacity– No cost effective way to reach out to target patients.– Restrictive regulatory environment limiting commercial marketing of health services– Huge dependence on family physicians due to these limitation leading to unethical and expensive referral fee split practices– Huge need to know how to reach out to the target patient group in an organised and structure and cost effective manner

Target Market Need

• A group-purchasing organization to lower health care costs for Ekohealth members

• Each Member is issued an Ekohealth card that provides for reduction in medication expenses of 10 – 50% at a variety of health service providers that belong to the Ekohealth network:

• Each member is given access to an SMS-based system which provides precise specification of authorized generic substitution drugs

• Each member has access to a Call Centre which direct patients to the lowest-cost providers for specific products or services

Ekohealth - Core business concept

• Provide a healthcare cost safety net for its members– Patients without insurance– Patients with insurance to fill current coverage gaps and to extend to everyday drug and pharmacy purchases– Patients with chronic disease states– Patients facing surgery or extensive treatment

• Reduce overall healthcare costs by increasing prescribing of generics and eliminating referral fees currently paid to physicians from healthcare providers

– Guide patients to lowest-cost, equal-quality providers for diagnostics, surgery or treatment– Lower patient drug costs by facilitating prescriptions for equal-quality, substitute generic drugs– Provide corporate-level discounts of 10-50% to members, on an unlimited usage basis, at a network of 2,000+

service providers covering all aspects of healthcare and medication

• Achieve 10 million members within 6 years• Achieve critical mass of membership: In time, any new health care provider that aims to

enter the Indian health care market or any existing provider that intends to remain as a significant player will have little option but to join “the club”

• Discourage unethical referral fee based practices

Mission

• Patients: Annual family savings between Rs 8,000 and Rs 22,000:– Low-end scenario: Rs 8,000/yr net savings

• Only one hospital or diagnostic visit in the year• No family member with a chronic ailment or prescription• Not caring for elderly family members• Follow normal regime of check-ups, average sickness frequency and average drug consumption

– High-end scenario: Rs 22,000/yr net savings• Four hospital or diagnostic visits in the year• Two family members with chronic ailments • Caring for two parents or elderly relatives• Otherwise normal regime of check-ups, sickness frequency and drug consumption

• Care providers: Increase in patient volumes cost effectively and ethically• Insurance providers: Low reimbursements and higher profitability and addressing unmet

needs of the population (OPD cover, medicines etc)• Health scenario on whole:

– Encouragement to quality and institution system based practice, encouragement to visit care providers to prevent disease aggravating and becoming costly to treat

– Provides opportunity to ethical low cost generic manufacturers to now reach out to patients cost effectively and ethically

Value Proposition

Gaps & Opportunity Snapshot

+60 age population is 8.3% of 1.3 bn

and growing at 10% Very low insurance penetration(0.8% of

population)

35% of insurance applications and

claims get rejected

Growing awareness for healthcare and need to give cost

comparisons

Total healthcare market size is $40 bn

No other ethical venture on similar

lines.

Increase in prevalence of

chronic diseases (50 million diabetics is just one disease)

Restrictive marketing environment for care

providers.

Highly unorganised healthcare market.

Insurance co. friendly : augments

health insurance

• Currently over 2,000 participating service providers in 12 cities• Pharmacies: Apollo Pharmacy, Health ‘n Glow, etc.• Hospitals: Seven Hills Hospitals, Medanta MecCity, Birla Evolve Bandra Hospitals, etc.• Diagnostic Centres• Surgery Centres• Specialized Clinics• Pathology Labs• Health Check-ups and Wellness Centres• Home Care organizations

• Successfully validated model by acquiring 2500 individual patients• Recognition by NASA Singularity and the founder being awarded Ramanujan Bose Award for social

impact in field of healthcare• Featured on CNBC young turks, entrepreneur magazine, national television and a focused healthcare

startup invitation to chat with Dr Naresh Trehan on CNBC.• Rich team building with inclusion of ex-COO AOL Canada and other senior team members• Experienced board of senior advisors belonging to steams of Law, pharma, journalism, media, and others.

Ekohealth - Current Status

1. Corporate Bulk Purchase Programs• Corporations with >2,000 employees purchase memberships at a discounted price in bulk and distribute to their employees as a

bonus or employee benefit• Currently designing programs with four major corporations to demonstrate this channel

2. Reseller Program• Retail chains - pharmacies and wireless operators - resell Ekohealth memberships in their stores • Telehealth organizations resell Ekohealth memberships to patients calling into call centre• Currently designing programs for four reseller brands

3. Insurance Agent Reseller Network• Leverage existing Agent networks selling a variety of insurance types by adding Ekohealth to their sales portfolio• Will have 10,000 active Agents within one year

4. Affinity programs• Universities and Associations promote Ekohealth to their Faculty, Staff, Students, Alumni and members who then sign up on-site

or through in-bound Call Centre• Currently designing programs for 5 universities and associations to demonstrate this channel

5. Brand-driven acquisitions• Outbound Call Centre• Inbound Call Centre• Web site sign-up

Member Acquisition Strategy

Existing scenario

2500 Tieups across the countryApollo Pharmacy pan IndiaSRL Religare Pan IndiaSpecial rates from ThyrocareHigh priority acquisition of unsecured staff like drivers, maids, housekeeping at corporate cetresMembers concentration in Kalyan , Andheri and suburbsAffinity sale with TRRAIN, Future GroupRetail outlets for salesInterests by Satyam Mahindra, GHP, Schools and colleges1000 Insurance agents enrolled25 Sales managers enrolledTo launch free generic substitution smart phone appSMS substitution ready and talks with mobile operators onGold memberships with preventive check bundledRecognition from CNBC, Times, others

Members – New and renewals (Projected)

Membership Count YR 1 YR 2 YR 3 YR 4 YR 5

Bulk Purchases (Corporate) 24,000 49,792 77,500 88,125 66,094

Reseller Program 18,000 73,194 405,000 870,000 1,530,000

Insurance Agent Program 80,000 194,188 401,250 885,000 1,575,000

Affinity Program 20,000 59,750 93,750 85,000 30,000

Outbound Call Centre 0 0 0 0 0

In-bound Call Centre 32 1,418 10,550 28,125 61,750

Web Sign-up 500 4,357 28,000 68,750 137,500

Total Members at Year-end 142,532 382,698 1,016,050 2,025,000 3,400,344

The Ekohealth Executive Team

Dr. Akash Rajpal

Mahavir Bhattad

Steve Doswell

Ex-COO of AOL CanadaEx-GM of Ericsson CanadaCo-founder and Executive of 3 Canadian Start-up companies (all successfully sold to major N.A. corporations)

Experienced 2 IPOs and raised $170 million for start-ups

•More than a decade into public healthcare

•Well networked and respected within Healthcare industry

•Expert in quality healthcare services

•Qualified experienced Medical Doctor

•GM Channel Sales & Marketing•Over 10 years experience in running sales organizations in Health, Insurance and Pharma

•Developed field force of Agents and Brokers

•Oversaw new market entry

THANK YOU!

Feature on Times of India: http://youtu.be/T7PGLt8RN40

Feature on Young Turks-CNBC: http://t.co/hkzEzeDY

CNBC chat with Dr Naresh Trehan : http://bit.ly/PeyPbN

Feature in Entrepreneur Magazine: bit.ly/O3Y3x7

Feature on National TV (DD) : http://bit.ly/TsFJ0s

EKOHEALTH website & blogs: http://www.ekohealth.in