Health Dialog Supports Massachusetts General Hospital in CMS Initiative for High Cost Medicare Beneficiaries.

Demonstration Brings Care Management to Individuals with Complex Medical Needs

BOSTON -- Health Dialog Services Corporation today announced it is supporting Massachusetts General Hospital (MGH) in its participation in the Centers for Medicare and Medicaid Services' (CMS) care management demonstration project for high cost Medicare beneficiaries (CMHCB). The three-year demonstration is intended to test the ability of direct-care provider models to coordinate care for high-cost/high-risk beneficiaries by providing them with clinical support beyond traditional resources.

As one of six national participants in CMHCB, MGH launched the initiative in August 2006, providing approximately 2,600 fee-for-service Medicare beneficiaries with access to expanded care management services, including MGH case managers trained in Health Dialog's whole person collaborative care approach. In addition, Health Dialog is assisting MGH with data analysis and reporting. These 2,600 individuals represent the top 10%, in terms of cost, of Medicare fee-for-service patients seen at MGH, with conditions such as congestive heart failure, pneumonia, obstructive bronchitis, lung cancer, osteoarthritis, and renal failure.

"The focus of this program is to improve care for our patients by addressing their broad spectrum of healthcare needs, while controlling the cost of care," said Dr. Timothy Ferris, a physician at Massachusetts General Hospital, who is one of the leaders of the effort. "This approach is especially critical when dealing with Medicare beneficiaries facing multiple, complex medical issues. We hope to make great progress with these patients through regular communication with nurse case managers to ensure that their many needs are being met. The ability to collect, organize, analyze, and report the information will be essential to determine the impact of this effort."

"We are honored to be playing a role in several of the CMS Medicare demonstration projects," said George Bennett, Chairman and CEO of Health Dialog. "As participants in Medicare Health Support as well as the Medicare Physician Group Practice Demonstration, we have seen first-hand what an impact care management can have on a high-need population. We are proud to be working with Mass General in this latest initiative by CMS to demonstrate the value of care management support."

About Health Dialog

Health Dialog is a leading provider of care management services, including disease management, and is one of the fastest growing privately held firms in the U.S. The firm helps physician groups, health plans, and self-insured employers improve healthcare quality while reducing overall costs. The firm's services include analytic services and telephonic, online, and other care management support for individuals, payors, and physicians. Health Dialog helps individuals become more actively engaged in the management of their health and healthcare and have more effective relationships with their physicians. For more information about Health Dialog, please visit their website www.healthdialog.com.

About Massachusetts General Hospital

Founded in 1811, the Massachusetts General Hospital (MGH) is the third oldest general hospital in the United States and the oldest and largest in New England. The 900-bed world-renowned medical center offers sophisticated diagnostic and therapeutic care in virtually every specialty and subspecialty of medicine and surgery. In March 1994, the MGH joined with Brigham and Women's Hospital to form Partners HealthCare System, Inc., an affiliation established to create an integrated health care delivery system providing excellent, cost-effective care while maintaining the hospital's historic dedication to teaching and research. The MGH is consistently listed as one of the country's top few hospitals in U.S. News and World Report.