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Fallon Community Health Plan: KEY DRIVERS FOR THE PROPOSED RATE CHANGE The 9.9% rate change is driven by the following key components: 9.8% rate increase due to the risk adjustment transfer -3.0% reduction due to base period cost and trend restatement 3.5% attributed to claim cost increases due to enhanced subsidy expiration and Connector Care expiration -0.4% reduction due to administrative costs Harvard Pilgrim Health Care: KEY DRIVERS FOR THE PROPOSED RATE CHANGE Medical Trend : A key driver of health insurance premium increases year-over-year is medical trend, which is comprised of inpatient, outpatient, and physician services

Primary prevention efforts (e.g., intensive glycemic control, comorbidity management) may reduce long-term pain

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