Spring 2014 CO N T E N T S PAGE 3 – A Letter from Terry Horan, President & CEO PAGES 4 & 5 – The Benefits of an Employer-Sponsored Health Plan PAGE 6 – Wellness Works: Empower MediaMarketing HORAN Hires Health Management Director to Lead Health Management Way
PAGE 7 – Financial Wellness 101: Back to the Basics PAGES 8 & 9 – A Financial Roadmap for Life: Your Financial Planning
Questions — Answered
PAGE 10 – Life Insurance Can Be Re-Purposed to Meet Your Needs During All of Life’s Stages
SIGN UP FOR YO U R S P R I N G TRAINING May 8 Health Care Exchanges Seminar — Northern Kentucky May 13 Health Care Exchanges Seminar — Cincinnati May 21 Health Care Exchanges Seminar — Dayton & Piqua
PAGE 11 – HORAN Volunteers at Brighton Center to Assist with VITA Tax Program HORAN Named Runner-Up for City of Blue Ash Business Awards HORAN Employees in the Community
PAGE 12 – HORAN’s 2014 Advisor Education Series Andy Friedman Educates Clients and Partners on Washington Political Landscape HORAN Discusses New Rules for Wellness Plans at Healthy Ohio Seminars
PAGE 13 – HORAN Announces Creation of Scholarship Fund PAGES 14 & 15 – Client Spotlight: ProScan Imaging
May 29 Advisor Seminar — Business Succession Planning June 3 Compliance Update — Cincinnati & Northern Kentucky
Please join us in welcoming our new corporate clients! - Miramar Services, Inc. - Interact for Health - Finney Law Firm, LLC - Aurora Casket Company, LLC - Smith Broadcasting
- Health Care Access Now - Miami University - Sims-Lohman - Envision
Cover: According to “The MetLife Study of Financial Wellness Across the Globe”, “Carried out correctly, financial education can have a beneficial effect on employee wellness. Financial education programs have the potential to lower financial stress, reduce absenteeism, increase productivity and lead to a more loyal workforce.” HORAN was founded on a commitment to education. HORAN employees are advocates for ongoing education for employers and employees. We are dedicated to educating on best practice strategies to support individual and business objectives across health, wealth and life. Our employees strive to find innovative ways to link financial and physical wellness to achieve overall success for our clients and their employees.
health. wealth. life.
Look for us online! Go to horanassoc.com and click on Education to find out more about upcoming educational opportunities as more seminars will be scheduled throughout the year. Also, visit our Newsroom to view the online version of health.wealth.life.
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HORAN is an advocate for ongoing education for both employers and their employees. We believe that education yields better outcomes and success for our clients. We work not only to provide educational opportunities to our clients but also to diversify these opportunities as we understand not all of our clients learn the same way. Newsletters, compliance alerts, webinars and seminars and the health.wealth.life. magazine are delivered to give further guidance to clients as a part of HORAN’s commitment to educate on best practice strategies to support individual and business objectives across health, wealth and life. HORAN also understands the importance of applying the knowledge gained during the training we provide. During one-on-one sessions with our clients, we help them apply the solutions we teach to meet their goals. Our commitment to education will be seen throughout this issue of health.wealth.life. as we discuss the value of an employersponsored health plan and compare it side-by-side to a health plan on the public exchange. An illustration we have developed will give you a visual understanding of what affects the cost of a health plan on the public exchange and educate you on the advantages and disadvantages of the public exchange. There are two articles in this issue that discuss the importance of financial education. The first article details the philosophy behind the HORAN Corporate Retirement Plan Consulting organization’s financial wellness education strategy and highlights the importance of understanding the basics of financial planning for long-term success. In the second wealth article, the HORAN Wealth organization took time to answer common financial planning questions individuals might have through different stages of their life. The article in the life section draws attention to the value of keeping your life insurance policy even if you no longer need it for the policy’s original purpose. Re-purposing a life insurance policy allows you to continue to meet your needs as they change throughout your life. Our commitment to education is also demonstrated in the seminars we hold for our clients, partners and friends of the firm. You will find information on our advisor seminar series, a recap of our March health care reform seminars in Dayton and Piqua and a special event featuring guest speaker Andy Friedman, political analyst and author of The Washington Update. We have also included an article about the HORAN scholarship fund that provides our clients’ employees and employees’ children with funding for higher-education at four regional universities. In this issue we introduce a new recurring section of the magazine, Wellness Works, to educate you on what other employers are doing related to wellness that has led to successful outcomes within their organizations. Each quarter we will feature a new client and their wellness success story. In this issue we have highlighted Empower MediaMarketing’s wellness achievements. The HORAN client spotlight showcases our client ProScan Imaging and its enormous success. Its dedication to education can be seen in many ways, including the ProScan Imaging Education Foundation™ (PIEF) founded by Dr. Stephen Pomeranz over 22 years ago. PIEF is one of the world’s premier educators of health care specialists in MRI and advanced imaging modalities. The articles in the community section this quarter highlight the great work HORAN employees are doing in the regional community, including their participation in Brighton Center’s VITA tax program, individual accomplishments in the community and HORAN’s recognition as runner-up in the 2014 City of Blue Ash Business Awards. The Spring 2014 health.wealth.life. magazine is dedicated to our commitment to education. Sincerely,
Terence L. Horan, CLU, ChFC President & CEO of HORAN TerryH@horanassoc.com
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A letter from Terry Horan
In Pursuit of What Matters Most.
health
The Benefits of an EmployerSponsored Health Plan
N
ow that the federal and state marketplaces, also known as exchanges, are up and running and the individual mandate took effect on January 1, 2014, you may find yourself questioning, “Which type of coverage is better?” While the answer truly depends on how old you are, where you live, how many children you have and whether or not you use tobacco, employer-sponsored health plans are generally better than the public exchange. Employer-sponsored plans provide cost stability, better benefits, tax advantages and more choices of doctors and hospitals. Let’s look at a sample scenario with Joe and Sam. Joe is 27 and Sam is 50. Currently, Joe and Sam live in Hamilton County, Ohio, and want to buy coverage through the federal marketplace. They buy the same gold-level plan — a plan that on average covers 80% of the services provided. Available public exchange plans are tiered based on the level of benefits they provide. A platinum plan on average covers 90% of the services, a gold plan covers 80%, a silver plan covers 70% and a bronze plan covers 60%. The cost of the least-expensive gold plan for Joe is $209.19 and the cost of the same plan for Sam is $344.57 — a difference of $142.38 per month. Now, let’s say Sam moves to Montgomery County, Ohio. Again, Joe and Sam buy the same gold-level plan. The cost of the plan for Joe remains at $209.19 and the cost of the plan for Sam is $373.20. Just by moving a few counties, the cost of the plan for Sam increased by 8.5%. Sam also has a wife and two children. Each of his family members also add his or her own unique cost to his insurance plan: his wife (age 50) adds $373.20, his 17-yearold son adds $133.05 and his 15-yearold daughter adds $133.05. If Sam is a smoker, his cost increases by 50%. Sam’s total cost for family health insurance is approximately $1,200 a month compared to Joe, who is single and whose cost is $209.19.
health. wealth. life.
The average total premium of an employer-sponsored health insurance plan in the Greater Cincinnati area is $430 for single coverage and $1,030 for a family (total premium not reduced by employer contributions), according to the 2013 Health Plan Survey conducted by HORAN’s national partner, United Benefit Advisors (UBA), the nation’s largest independent benefits advisory organization. While a young employee may be able to purchase a less-expensive plan through the federal or state marketplace, the employer plan cost is more stable and cost-effective for more employees. Also consider that marketplace coverage must be purchased with aftertax dollars. Most employees can purchase employer-sponsored plans with pretax dollars, which means that employersponsored plans can be purchased at an approximate 25% discount for most employees.
hospitals an individual is able to visit. Many of the insurance carriers participating in the federal or state marketplaces offer plans that access a small network of doctors and hospitals. About two-thirds of hospital networks on the exchanges are narrow or ultra-narrow according to research conducted by the consulting firm McKinsey & Co. The insurers do this in an attempt to manage costs, but this ultimately leads to less choice. Only 10% of the plans in the Greater Cincinnati area offer a national network of doctors and hospitals. While we are using Hamilton County, Ohio, as the representative example, the same pricing and benefit design logic holds true whether an individual resides in Ohio, Indiana or Kentucky. The difference between states is that Kentucky operates its own exchange rather than participating in the federal marketplace and each state has its own rating areas unique to its residents.
Cost is not the only reason the employer The overall conclusion is the same plan is the better choice for more regardless of geography. Employeremployees. Employer-sponsored plans, on sponsored benefits are generally better average, provide better benefits than the for your overall workforce. While some public exchange. The average employeremployees may be able to purchase a sponsored plan in the Greater Cincinnati lower-cost plan through the marketplace, area is equivalent to a gold-level plan. the average cost for your entire workforce For example, the average plan is a high is less when you consider employer deductible health plan with a deductible contributions and pretax benefits. of $2,388, an out-of-pocket maximum of $4,920 and 100% coinsurance. In Hamilton County, Ohio, the median federal exchange plan • Approximately 70% of exchange plans have either narrow* or deductible is $2,750; ultra-narrow+ network plans, which means that there is less the median out of pocket maximum choice of doctors and hospitals. (Source: McKinsey and Co.) is $6,350 and the • The cost for a premium plan on the public exchange for a 62median coinsurance year-old vs. a 27-year-old can increase by as much as 300%. is 80%. • Available plans are based on the county in which you reside. Not only do In some counties, individuals will have as few as 2 insurance employer-sponsored plans available to choose from on the public exchange. plans provide better
Did you know?
benefits, they also provide more choice in the doctors and
* Narrow network plans include 7 to 14 large participating hospitals. + Ultra-narrow network plans include 6 or fewer large participating hospitals.
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Life Circumstances Affect Plan Cost on the Exchange Joe AGE
LOCATION
- 27 years old - Hamilton County - Premium Rate: $209.19
- 50 years old - Hamilton County - Premium Rate: $344.57
Joe stays in Hamilton County -Premium Rate: $209.19
Sam moves to Montgomery County, cost increases 8.5% - Premium Rate: $373.20
Joe is still on the single plan
FAMILY SIZE
TOBACCO USAGE
CONCLUSION
Sam
- Premium Rate: $209.19
Joe is still on the single plan with no changes - Premium Rate: $209.19
Sam’s family joins his plan: - Wife (50): $373.20 - Daughter (15): $133.05 - Son (17): $133.05 Premium Rate: $1,012.50
Sam begins smoking and his, cost increases 50% - Premium Rate: $1,200.00
Sam pays $997.81 more than Joe on the exchange based on life circumstances. Joe might save more money at the exchange compared to employer coverage. Sam would likely save money through an employer plan. Average Cost of an Employer Plan in Cincinnati: $430 Single, $1,030 Family |5|
health
Wellness Works Wellness Works is a new feature in health.wealth.life. It will be a recurring section in the magazine to share what employers across the region are doing related to wellness that has led to postive outcomes within their organization. You will see how HORAN works closely with carriers and wellness partners who offer programs that help engage our clients’ employees through their wellness journeys, and the postive outcomes that have led to successful results.
Empower MediaMarketing: Creating Results through Wellness Empower MediaMarketing, an independent media agency headquartered in Cincinnati, is dedicated to proving the power of media and to attracting and retaining talented invidividuals. In order to do both, they work to create and provide a great benefits package at an affordable cost to their employees. The organization was an early adoptor of wellness, making it a part of their culture, and benefits strategy, since the early 1990s. “It has always been a part of our culture—one of our earliest guiding principles of our company was ‘balance your life,’” said Nancy T. Luehrmann, SPHR, Manager, Human Resources at Empower MediaMarketing. “Providing Employee Assistance Program (EAP) resources and services also fits in with our wellness strategy because the EAP focuses on the total wellness of employees and their families and supports major life events and challenges. I believe benefits are a part of our overall wellness strategy (supporting the well-being of employees), not the other way around.” Over the past several years, Empower MediaMarketing began to make strategic benefit plan decisions that linked plan premiums to wellness engagement outcomes. Empower MediaMarketing organizes many on-site wellness initiatives including visits from a mobile mammography van,
blood drives twice a year, flu shots, biometrics screenings, nicotine testing and nutrition classes and demonstrations. Empower MediaMarketing has worked to get its wellness tools geared toward employees in order to get people more proactive and encourage higher participation rates in its onsite wellness initiative activities. “Mike Lakin, our HORAN Account Manager, was instrumental in designing a premium incentive program for our employees to help motivate them to engage in the Humana Vitality Program this year,” said Luehrmann. “It was a simple concept. If you participate and achieve Silver Status, your rates will not increase next year. If you do not participate and achieve Silver Status, your rates will increase.” Empower MediaMarketing has seen direct results and outcomes of its partipation-based wellness program, yielding a win-win for the company and its employees. “Why wouldn’t you participate in order to save 40% on your premiums next year?” said Luehrmann. “We are ecstatic to announce that we were able to get 93% participation and achievement of Silver Status for our Humana participants! That’s a rate freeze for most employees and an 8% reduction on any rate increase for our plan in the coming year.”
HORAN Hires Brandon Christin as Health Management Director to Lead HORAN’s Health Management Way Brandon Christin, Health Management Director, works directly with clients to create customized wellness plans built around their specific organizational and employee needs. Brandon utilizes the HORAN Health Management Way to provide a focused, strategic approach to help clients manage and improve their employees’ health to positively control the cost of health care.
Brandon Christin Health Management Director
Brandon has 12 years of experience in the health and fitness industry. He previously held the role of Fitness Director at Beechmont Racquet and Fitness, where he was responsible for all personal training and fitness programs at the club, client retention, client relationship management and operations management. Before working at Beechmont Racquet and Fitness, Brandon created and ran his own personal training studio where he operated all business procedures. He has also served as a Master Trainer at Mercy HealthPlex. Brandon holds a Personal Training Certification from the American Council on Exercise. He is a graduate of Northern Kentucky University.
health. wealth. life.
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wealth Financial Wellness 101: Karl Diebold, CFP®, Vice President, Investment & Retirement Plan Consulting at HORAN
Forty-one percent of employees stated they are uncertain about whether they’ll be able to meet future financial objectives, according to a 2013 study conducted by Financial Finesse, a provider of financial wellness programs. This number is up from 34% during the same quarter in 2012 and 33% during the same quarter in 2011. MetLife’s 2014 Study of Employee Benefit Trends entitled “Going Generational” demonstrates that the concern over financial wellness is spread across all generations. Generation X (1965–1980) and Generation Y (1981–1994) are the most anxious about being able to meet monthly living expenses, having enough money to pay bills in the event of a job loss and having enough money for children’s college education. The results show that close to 50% of Americans have concerns about each potential financial issue posed in the survey. A Fidelity Investments survey released in December 2013 found that typical baby boomers (1946–1964) are on track to reach 81% of their retirement income needs, according to the survey. Generation X are expected to reach only 71% and Generation Y have the largest projected income gap at 62%. All three surveys above draw the same conclusion across the board. Americans just aren’t saving enough. HORAN continually educates our clients’ employees on the importance of financial wellness. We meet with approximately 1,000 employees throughout the year both in seminars and one-on-one settings. We have seen an enormous amount of cases where employees want to save and they want to form a retirement savings strategy, but, simply put, they aren’t sure where to start. We believe in starting with the basics. The concepts on the right are six key strategies we emphasize in meetings with our clients’ employees.
Back to the Basics
1.
CREATE A BUDGET
2.
DOWNSIZE YOUR SPENDING
3.
CONSOLIDATE DEBT
4. 5. 6.
Know your net income, make your plan and track your spending.
Decide what’s important to you and reduce unnecessary spending.
Try to pay off your smallest debt first; paying the smaller debts will give you quick results and you will be more likely to stick to it.
SAVE FOR AN EMERGENCY Try saving six months of living expenses. This will give you security when an unexpected expense occurs.
KEEP GOOD FINANCIAL RECORDS Utilize online tools and save receipts, pay stubs, banking information, taxes, insurance and other important financial documents.
SEEK PROFESSIONAL HELP If you believe you need assistance with your financial wellness, seek help from a trusted advisor.
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wealth
A Financial Roadmap Your Financial Planning Questions — Answered AGE 20-35 Q. Many of us have student debt when completing college. How is this affecting life after graduation? A. Be careful with your spending after graduating college — put off the large purchases until a budget is created. Design a plan to pay down your higher-interest, non-government-subsidized loans first. Then work on the lower-interest-rate loans next. — Michael Napier, CFP®, Director of Financial Planning at HORAN
AGE 35-50 Q. What is the difference between a 401(k) plan and a Roth 401(k)? Which one should I elect? A. A traditional 401(k) allows you to make pretax contributions, earnings grow tax-deferred and your distributions will be fully taxable. A Roth 401(k) is funded with after-tax contributions, earnings grow tax-free and any “qualified” distributions are tax-free. The following individuals benefit from Roth 401(k)s: individuals who expect to be in a higher tax bracket when they retire, younger employees with more time until retirement, highly compensated individuals who are not eligible for a Roth IRA and employees who may want to leave tax-free money to beneficiaries. — Karl Diebold, CFP®, Vice President at HORAN
Q. What affects my credit score? A. Having a high credit score is extremely important. It not only allows you to borrow at a lower rate, but also affects keeping other payments low such as your auto insurance premiums. How to keep a high score? Keep your financial behavior in check such as paying your bills on time and not owing a large amount on credit. — Michael Napier, CFP®, Director of Financial Planning at HORAN
Q. How do I know if my portfolio includes investments in complementary strategies? A. The way to determine if your portfolio includes investments in complementary strategies and not competing or overlapping strategies is to work with a financial planning professional and create an overall investment strategy. That strategy should encompass all of your investments. Work to consolidate your investments into a few accounts. In addition to this, it is essential to review your investment strategy and savings goals regularly with your advisor. — Tim Powell, AIF®, CFP®, Vice President at HORAN
Q. What are your thoughts on first time home purchasing? A. You don’t want to overpurchase on your house. It’s no fun to be “house poor.” The rule of thumb is not to spend over 25% of your net income on housing (which would include your mortgage payment, home taxes and insurance).
Q. I want to start a 529 plan to save for my child’s education; does it matter which state plan I use? A. Each state has its own 529 plan(s) it supports. It wouldn’t matter which state you use, but not all 529 plans are created equal. Some plans have better investment options than others, some have lower fees than others and some (like Ohio) have certain tax credits available if you use the plan for the state in which you reside.
— Michael Napier, CFP®, Director of Financial Planning at HORAN
— Michael Napier, CFP®, Director of Financial Planning at HORAN
health. wealth. life.
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LIFE
p for
AGE 50-65
AGE 65+
Q. What makes up a well-designed estate plan? A. Estate planning is an essential part of the total financial planning process; it is not only for the wealthy. Everyone should have an estate plan to dictate your final wishes and allow you to decide how your assets are distributed during your lifetime and at death. The goal of any estate plan is to achieve your personal objectives, maximize the transfer of your wealth to heirs/charities and minimize taxes/other expenses.
Q. What happens if I defer collecting Social Security when I become eligible? A. For every year you defer taking your Social Security from age 66 to age 70, you will increase your monthly check by 8%, nearly $100/month for the average senior citizen. For every year you take it before age 66, you reduce your monthly payment by nearly 7%/year.
— Greg Hoernschemeyer, CLU, Vice President at HORAN
Q. How do I determine how much sustainable income I will need to last me through retirement? A. As the great Yogi Berra once said, “You got to be careful if you don’t know where you are going, because you might not get there.” If you don’t know your sustainable income in retirement, it will be difficult to save enough during your working years to accumulate the necessary funds to reach your goal. Individuals must do some planning so they know how much they need to contribute to their 401(k). If the goal is to replace 70 to 85% of your pre-retirement income (including Social Security benefits), you should be saving in the 10 to15% range each year.
Q. What are a few strategies to lower my tax liabilities? A. For most of us, the easiest way to lower your tax bill is to participate as much as you can in your employer’s 401(k). You’re not only saving for retirement but lowering your tax liability. Other strategies may include investing in rental property, charitable giving and tax-efficient investing. — Michael Napier, CFP®, Director of Financial Planning at HORAN Q. I know I’m supposed to decrease my market volatility risk when I get older—but what exactly does that mean? A. When you near or reach retirement, market volatility risk is a situation where you need to withdraw funds from retirement accounts when the equity and/or bond market is down. The risk is individuals could place themselves in a situation where they risk outliving their available investments due to withdrawing funds when their investment assets have declined. — David Templeton, CFA, Portfolio Manager and Principal at HORAN Capital Advisors
— Michael Napier, CFP®, Director of Financial Planning at HORAN
— Karl Diebold, CFP®, Vice President at HORAN Q. When should I enroll in Medicare? A. When you should enroll in Medicare depends on your personal situation. Many individuals do not realize they don’t have to enroll in Medicare Part A and/or Part B when they turn 65. As a result, they may enroll sooner than they should. If you are working or your spouse is working and you have coverage through an employer, you should evaluate if Medicare or your employer coverage is the better option for you. This analysis can be complicated, so it is always good to consult with your health insurance advisor. — John Kirk, Individual Health & Medicare at HORAN
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life Life Insurance Can Be Re-Purposed to Meet Your Needs During All of Life’s Stages
D
o you remember why you purchased your life insurance 20 years ago? Pull your policy out of the drawer and think to yourself—“Why did I buy this policy, and do I still need it for the same reason?” If the answer is no, it may be time to “re-purpose” your life insurance. Many people plan ahead for their future needs by purchasing a life insurance policy. However, life changes and economic conditions may have drastically impacted financial circumstances. The specific financial goal once satisfied by a life insurance policy may no longer hold true. As with any valuable financial asset, a life insurance policy needs to be reviewed periodically. The following two examples will outline the importance of reviewing your policy to ensure it still aligns with your needs as you move through the stages of life. Case Study 1 Twenty years ago Laura purchased a life insurance policy to use for cash accumulation so that she could
supplement her income at retirement with tax-free distributions using the cash value that had been growing on a tax-deferred basis in her policy. The death benefit at the time of purchase was of secondary importance.
policy that has a cash value component that offers flexibility for the future in terms of premium payments and cash accumulation.
Fortunately for Laura and her family, she has accumulated enough resources for retirement income outside of the life insurance policy. She no longer needs to use the policy for the original intent.
Now that Tom’s family is grown, he no longer needs as much of a benefit to replace income at his death. His concern at this stage of his life is having sufficient income to cover his living expenses and any unforeseen health care expenses over, hopefully, a long retirement.
Now that Laura has a sizable estate, her priorities and objectives have changed. As a result, she can now re-purpose her current life insurance policy by maximizing the death benefit to provide tax-free benefits at death for 1. Potential estate taxes. 2. Charitable bequests. 3. A legacy for her family.
With the flexibility created by the cash value in his life insurance policy, Tom can concentrate on maximizing the tax-deferred growth inside of his life insurance policy to use for supplemental retirement income or possibly exchanging his policy for a new contract that allows for flexible premiums and more potential for growth.
Case Study 2 When Tom purchased his life insurance policy 20 years ago, the objective was to provide income replacement for his wife and children in the event of his premature death. He had the foresight to purchase a permanent life insurance
Don’t Give Up If you feel your life insurance policy is no longer useful to you—consider repurposing the policy instead of discarding it. Depending on the type of product you own, you may need to consider exchanging your policy in order to meet your re-purposing needs. Your life insurance advisor can help you review the options available to you in today’s marketplace since insurance products have changed considerably over the past few decades. Of course, exchanging one policy for another is subject to insurability, so an existing policy should never be canceled until a replacement has been issued and is in force. If insurability is an issue, selling a policy through a life settlement arrangement may also be an option to consider.
Life insurance has the flexibility to provide solutions for many different needs throughout your life. Consult with a trusted financial advisor to determine how you might be able to re-purpose your current policy to best address your financial needs.
health. wealth. life.
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community
HORAN Volunteers at Brighton Center to Assist with VITA Tax Program HORAN employees have been volunteering at the Volunteer Income Tax Assistance (VITA) program to prepare income tax returns for hardworking individuals in Northern Kentucky. The group volunteers at the Brighton Center, one of four sites hosting the tax assistance program for lowincome earners. Michael Napier, CFP®, Director of Financial Planning at HORAN and Brighton Center Board Member, informed HORAN about the Brighton Center’s need to complete 800 tax returns between January and April of 2014. Napier along with Karl Diebold, Patricia Chapman, Luis Garfias, Mary Ann Weber, John May and Yingmei Cai committed to one day of training and at least two days of tax preparation, which takes place on Saturdays from 9:30 a.m. to 3:00 p.m. “Many of the individuals are living paycheck to paycheck, so however we can help get them what is due is great,” said Karl Diebold, CFP®, Vice President, Investment & Retirement Consulting at HORAN. “It’s very meaningful to them; a little time goes a long way.” In 2013, VITA resulted in a combined refund of $1.25 million and a total earned income of $400,000, and strives to meet the same goal in 2014. HORAN is committed to serving the Northern Kentucky region and proud to have participated in VITA.
HORAN NAMED RUNNER-UP FOR CITY OF BLUE ASH BUSINESS AWARDS
HORAN Employees in the Community Mary Ann Weber 2014 Leaders and Legends Award for Developing Resources — United Way of Greater Cincinnati
Karen Mueller, CBC 2014 Dorothy & Art Roth Citizen of the Year Award — West ChesterLiberty Chamber Alliance
Terry Horan receives award from Brian Carley, President and CEO of Cincinnati USA Regional Chamber.
HORAN was named runner-up for the third annual Blue Ash Business Awards in the category of Corporate Community Service. Finalists were selected because of the critical role they hold in the City of Blue Ash. Awards are given to companies that are aspiring others, achieving success and advancing in the community. The 2014 Blue Ash Business Awards featured a presentation by keynote speaker Austin Allison, CEO of HORAN client DotLoop. The ceremony took place at Cooper Creek on March 13. Several HORAN employees attended the awards ceremony.
Dominic Franchini, CBC Sojourner Recovery Services — Chairman of the Board of Directors
Julie Tople, CBC Montgomery Citizens’ Leadership Academy (MCLA)
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education HORAN’S 2014 ADVISOR EDUCATION SERIES HORAN is committed to education for our clients, our partners and our advisors. As a part of that commitment, HORAN hosts a series of advisor seminars throughout the year as well as distributes electronic advisor alerts on a bimonthly basis.
Andy Friedman Educates HORAN Clients and Partners on the Washington Political Landscape Andy Friedman, political analyst and author of The Washington Update, joined HORAN on Thursday, March 6, 2014, for a seminar held for clients and partners. The seminar was Andy’s third time speaking at an event hosted by HORAN, having presented at two HORAN events in January 2013. HORAN hosted the seminar as a part of our ongoing commitment to provide our clients, partners and advisors with educational opportunities to give further guidance on areas of interest and educate on best practice strategies to support individual and business objectives across health, wealth and life. Andy spoke about the Fiscal Compromise, 2013 federal spending, health care reform and the Affordable Care Act and the upcoming 2014 elections. The members of the audience were able to engage with Andy before and after the event, as well as ask him questions during a round of Q&A following the presentation. Andy is known for predicting the outcomes of Washington tax and fiscal deliberations and providing investors and client advisors with strategies to consider in light of the changing political landscape. He has appeared on CNBC’s Squawk Box, the Larry Kudlow Show and the Fox Business Channel and is quoted extensively in publications ranging from The Wall Street Journal to USA Today.
health. wealth. life.
The first seminar of the 2014 Advisor Series was held on January 24, 2014 at the Queen City Club. The panel consisted of experts from HORAN as well as Rodger Hergenrader, Vice President of Underwriting at M Financial Group, an organization of independently owned financial services firms and one of HORAN’s national partners. Rodger has more than 25 years of experience in underwriting, a long history of success in case analysis and process management and a clear understanding of the direct and reinsurance markets. The presentation covered many topics including the evolution of products and services to meet client needs, the underwriting process and advocacy and an investment outlook from HORAN Capital Advisors. The next advisor seminar will take place on Thursday, May 29, and will cover business succession planning. This seminar will help advisors understand the importance of formal planning in order to secure the continuation of a closely held business at the death or disability of an owner or partner. In addition to the 2014 Advisor Series, HORAN is working with law and accounting firms across the region to offer onsite training on the basics of life insurance in order to provide our advisors with a greater depth of knowledge regarding insurance as it pertains to their clients. For more information about upcoming seminars or to join our list for advisor alert mailings, contact Greg Hoernschemeyer at 513.745.0707.
HORAN Discusses New Rules for Wellness Plans at Healthy Ohio Seminars in Dayton & Piqua Experts at HORAN and Taft Law presented at two seminars hosted by the Healthy Ohio Business Council on March 12. The seminars explored the practical application of the new health care reform rules for wellness plans in 2014 and beyond. The presenters explained the new wellness rules, employment-related issues, implications for employers’ current wellness plan, employer cautions and concerns and best practices in designing future wellness plans. The seminars were held in both Dayton and Piqua.
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HORAN is committed to improving the quality of life in the communities where our employees live and work. To support our goal, HORAN is proud to announce the creation of the HORAN Scholarship Fund to offer scholarships to our client community. HORAN offers The Jack and Elaine Horan Scholarship at the University of Cincinnati and The Free Throw Scholarship at Xavier University to our clients’ employees and their family members. This year, HORAN added additional scholarship opportunities at the University of Dayton and Wright State University to the fund. In total, HORAN offers 12 scholarships, three at each institution.
HORAN Announces Creation of Scholarship Fund
“As our geographic presence continues to expand, so have our scholarship offerings. These scholarships were created to honor full-time students for their hard work, honesty and integrity. We are proud to be able to expand our support and create a scholarship fund for deserving students in our region,” said Terry Horan, President & CEO. Jack and Elaine Horan Scholarship: This scholarship was created in 1997 to honor the company’s founder and support deserving students at the University of Cincinnati. Jack Horan (1919–1996), who founded our company in 1948, was a great leader dedicated to hard work, honesty and integrity. Our company’s success has been built on the principles for which Jack stood. The Jack and Elaine Horan Scholarship is our way of honoring Jack’s legacy. HORAN Free Throw Scholarship: This scholarship was created in 2005 to honor the principles of both organizations — hard work, honesty and integrity — and to support deserving students at Xavier University. HORAN supports the Xavier University Men’s Basketball organization by providing scholarships for students. Miller/Kreber Scholarship: This scholarship was created in 1997 to honor the parents of Doug and Ann Miller and support deserving students at the University of Dayton. The scholarship has now been added to the HORAN Scholarship Fund. Doug Miller, Executive Vice President of HORAN, and his wife Ann are 1981 graduates of the University of Dayton. The Millers established the Miller/ Kreber Scholarship to honor their parents and their parents’ commitment to education. HORAN Wright State University Scholarship: This scholarship was created in 2013 to honor our partnership with the University and support deserving students at Wright State University. As we continue our expansion into the Dayton market, HORAN has partnered with Wright State University. This new scholarship honors the principles of both organizations as well, specifically those of hard work, honesty and integrity.
Since the first HORAN Scholarship was awarded in 1997: Over $110,000 in scholarship funding More than 55 student scholarships awarded Benefitting more than 25 client companies
All scholarships are chosen by the universities and are based on academic merit and financial need.
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clients
Client Spotlight: ProScan Imaging
Enhancing the Patient Experience through Compassion and Optimum Care
W
hen you are responsible for moving 250 million images a year, giving a one-to-two hour lecture every day to year-long fellowship students and maintaining 24 freestanding imaging centers throughout the United States, which collectively yield a 99.7% patient satisfaction rate, it’s hard to imagine finding the time to do anything else. ProScan Imaging leaders Dr. Stephen Pomeranz, CEO & Medical Director, and Michael O’Brien, President & COO, not only do all of that, they do it exceptionally well while always putting the interests of ProScan Imaging’s patients first. “Every picture is a human being—that’s the inspiration we want the trainees here
PROSCAN IMAGING INDUSTRY Medical Imaging HEADQUARTERS Cincinnati, Ohio KEY PERSONNEL Stephen Pomeranz, MD CEO & Medical Director Michael O’Brien President & COO NUMBER OF EMPLOYEES 100–499 YEAR FOUNDED 1996
health. wealth. life.
to have,” said Pomeranz. “Every single picture belongs to a person—a child, a mother, a father. You take the next step, you investigate, you push, you prod and you research to get the answer. That’s what differentiates us from everyone else.” Education is a key component of ProScan Imaging’s foundation because of the organization’s distinct role as a leader in the outpatient patient sector of diagnostic imaging and having one of the most extensive bodies of case experience in the world. ProScan Imaging Education Foundation™ (PIEF) was founded by Pomeranz over 22 years ago and is one of the world’s premier educators of healthcare specialists in MRI and advanced imaging modalities. “I was very interested in educating young doctors—it was my passion and I knew it,” said Pomeranz. “Because of the uniqueness of our business, it became obvious that it was very hard to hire doctors who had the skills to work at ProScan. People here are exposed to a lot of unusual cases and for someone to handle the volume and the complexity of the cases we see, you have to train here.” PIEF is an ACCME-accredited CME provider and has trained over 31,500 physicians from 38 countries. O’Brien joined ProScan in 2003 and accelerated the organization’s growth by utilizing his skills in automation, business strategy and directing personnel. “Our growth tripled or quadrupled over the next decade (after O’Brien joined),” said Pomeranz. “He took over all the businessrelated parts and I focused on all the medical parts.” Around the same time, Pomeranz’s wife,
Penny, and family friend Holly Collinsworth, wife of former college and professional football player Cris Collinsworth, talked to Pomeranz and Cris Collinsworth about creating a women’s center. The Cris Collinsworth ProScan Fund was established to provide women with the preventive and diagnostic services they need. There are currently two ProScan Pink Ribbon Centers, one located in Red Bank and the other in Over the Rhine. “Our wives wanted us to make sure it was a spa-like atmosphere, the answers were immediate, the people were empathetic and they could get everything they need under one roof,” said Pomeranz. In 2002, the Cris Collinsworth ProScan Fund held the first Pink Ribbon Luncheon. The annual fund-raiser has raised over $2 million to provide breast cancer education and early breast cancer detection services for all Tri-State women, provided support services to women newly diagnosed with breast cancer and hosted numerous notable guest speakers and performers including Giuliana Rancic and Martina McBride. The Cris Collinsworth ProScan Fund also launched one of the largest scholastic chess tournaments in the Midwest—Queen City Classic Chess Tournament, which is held annually at Paul Brown Stadium. The tournament supports child development and growth through the game of chess. Numerous studies have shown that chess helps children develop critical-thinking skills and builds self-esteem. The inaugural Queen City Classic Chess Tournament was held in 2002 and has grown from 300 to 750 students. “One year I was walking with some chairs to help set up the tournament and I see this kid crying—he’s about 10 years old,” said Pomeranz. “I asked him what was the
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HORAN Client Testimonial
Dr. Stephen Pomeranz, CEO & Medical Director at ProScan Imaging
matter and he said, ‘I won.’ I said, ‘that’s fantastic—why are you crying?’ And he said, ‘I’m smart; I’m not stupid.’ That’s what chess does. Anyone can play. You can stare at the other person on the other side and you can win. It’s all about patience.” ProScan Imaging has approximately 400 employees and is a close-knit, family-like culture. O’Brien said the organization’s benefits are a very important part of their employees’ compensation package. In the health care reform environment he said it’s imperative that ProScan Imaging’s leadership have clear communication with their employees about their benefits. “In today’s world, with all of the turmoil and uncertainty in the health benefits environment, people are worried, confused and concerned about what will happen in the future,” said O’Brien. “We work with
the HORAN team to try to understand it and until there is more certainty we are going to do our best to deliver certainty to our employees. We try to keep our plans understandable for employees—HORAN has been a huge help in this area. They have done a very good job of helping us making it through and plan accordingly.” ProScan Imaging keeps the organization’s vision at the forefront of their business strategy—”We will be the world’s most trusted provider of medical imaging services, clinical research imaging services and advanced imaging education for physicians.” “We keep an eye on the basic principle that we will deliver the best quality and service in our little niche of the world, and we will continue to do it every single day,” said O’Brien.
Agape for Youth
We had been with the same provider for years previous to switching to HORAN in August of 2009. One of the primary reasons we chose them was due to their commitment to building a relationship with our organization, and the commitment they would make to provide their very best of professional services to meet our needs as a business. They not only delivered, they have “over-delivered” when it comes to advocating for us as a company, strategically seeking and negotiating the best rates with the best coverage. Erik Freudenberg and Shannon Schumacher have coordinated educating my staff and me, and further have provided forecasting for what we were and are to expect in the future of health care. Renewal negotiations and results have been and continue to be beyond expectations. There remains a professional level of understanding our budgets as a nonprofit, and we continue to receive the highest level of insurance.
It is important to point out that it is one thing to be “in” the community and another to be “about” the community. HORAN has taken great pride in being “about” the community in connecting businesses and organizations throughout the Miami Valley since coming into the Dayton area in 2009. From a relationship and customer service perspective, HORAN continues to follow through and value us as if it were day one of our relationship with them. Sincerely, Stephen M. Geib, LSW Executive Director/Founder, Agape for Youth
“Every picture is a human being—that’s the inspiration we want the trainees here to have,” said Pomeranz. “Every single picture belongs to a person—a child, a mother, a father. You take the next step, you investigate, you push, you prod and you research to get the answer. That’s what differentiates us from everyone else.” | 15 |
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Celebrating one year of
“health. wealth. life”.
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