Bright Health Group, Inc.

presentation, you may do so by pressing star followed by one on your telephone keypad. I would now like to hand over to our host, Stephen Hagen, Director of Investor Relations. Please go ahead.

Good morning, and welcome to Bright Health Group's fourth quarter 2021 earnings conference call. A question and answer session will follow Bright Health Group's prepared remarks. As a reminder, this call is being recorded. Leading the call today are Bright Health Group's President and CEO, Mike Mikan, and CFO and Chief Administrative Officer, Kathy Smith. Before we begin, we want to remind you that this call may contain forward-looking statements under U.S. federal securities laws. These statements are subject to risks and uncertainties that could cause actual results to differ materially from historical experience or present expectations. A description of some of the risks and uncertainties can be found in the reports that we file with the Securities and Exchange Commission, including the risk factors in our current and periodic reports we file with the SEC. Except as required by law, we undertake no obligation to revise or update any forward-looking statements or information. This call will also reference non-GAAP amounts and measures. The reconciliation of the non-GAAP to GAAP measures is available in the company's fourth quarter press release, available on the company's investor relations page at investors.brighthealthgroup.com. Information presented on this call is contained in the earnings release we issued this morning and in our Form 8K dated March 2, 2022, which may be accessed from the investor relations page of the company's website. Before we start the call, I'd like to note that Bright Health Group will be participating in two upcoming investor conferences. Management will be presenting at the Cowan Healthcare Conference on Monday, March 7th, and hosting investor meetings at the Barclays Healthcare Conference the following week. With that, I'll now turn the conference over to Bright Health Group Chief Executive Officer, Mike Mikan.

Thank you, Stephen. Good morning, everyone, and thank you for joining Bright Health Group's fourth quarter earnings call. I'll provide some brief introductory comments and then turn the call over to Kathy Smith to discuss our fourth quarter and full year 2021 results. I'll then conclude our prepared remarks by going over the specific actions we are taking to improve near-term performance and best position Bright Health Group to drive sustainable profitability and long-term success. We always start with our mission, which is central to what we do at Bright Health Group. Making healthcare right together is built on the belief that by connecting and aligning the best local resources in healthcare delivery with the financing of care, we can deliver better outcomes at a lower cost for all consumers. Bright Health Group is building a truly unique model that we believe will transform how healthcare is delivered. We believe when healthcare is delivered in a fully aligned and integrated care model, we can bend the cost curve and, most importantly, enhance value for both consumers and providers. Bright Health Group achieved substantial growth in 2021, reaching over $4 billion in revenue, and we are enthusiastic about our positioning for 2022. Having reached the milestone of over 1 million health plan members, we now expect enterprise revenue for 2022 of $6.8 to $7.1 billion due to the strength of our member growth in OEP and AEP, as well as external payer growth at New Health. We have always expected some variability in our results. As we executed on our strategy to quickly gain scale in the business, and as we closed out 2021, we saw that play out. The meaningful growth we delivered in 2021, which was a combination of higher than anticipated growth to start the year and additional growth from the special enrollment period outpaced our operational and system capabilities. In addition, unique factors in 2021 that we have previously highlighted, including a once in a century pandemic and our large group of new members without risk scores, combined with scaling up our organizational capabilities and emerging technologies, impacted our results into the fourth quarter more significantly than anticipated. As Kathy will discuss in more detail, these factors impacted our ability to engage with our members in order to accurately capture their underlying health conditions and impacted prior period medical costs as we caught up on claims processing. Despite a challenging 2021, our larger base of business, along with continued growth in 2022, affords us a tremendous platform to continue executing on our strategy and driving long-term shareholder value. We have conviction on the differentiated results that we can drive through a fully aligned care model and are taking specific actions to focus the company, improve our systems and processes, and drive profitable growth. We are continuing to invest in building out our new health business and have successfully expanded new health-owned clinics outside of the Florida market, while also continuing to build our affiliated care partner network across the country. All of the challenges we encountered this past year can be attributed to specific areas that were already on our list for improvement, but the growth we experienced exasperated the gaps in performance. We made significant progress correcting these issues in our operational capabilities in 2021, which will help drive improved 2022 performance. And we see opportunities for substantial further improvement over the course of 2022. Bright Health Group's differentiated model continues to attract members and drive strong growth. We remain on the path we outlined at our investor day in December. And our core strategy hasn't changed as we look to serve consumers with a fully aligned care model that drives better care and lower medical costs. Within this strategy, we are refining our model and we are taking actions to drive better performance in 2022 and beyond as we continue to target breakeven adjusted EBITDA in 2024. Our 2022 guidance reflects the pricing actions and medical cost initiatives we took and the improvements that we've made to our business, balanced with the work that is still outstanding for this year. While we appreciate the team that got us here, as we move to the next phase in our growth and strategy, we need different talent and skills and have taken action accordingly. Consistent with this evolution, We were pleased to announce yesterday that Matt Manders joined our board as an independent director. Matt recently retired from Cigna as the president of their government and solutions segment and is an experienced healthcare operator. We expect Bright Health will benefit from his experience in the consumer-directed healthcare space and in healthcare solutions, given his deep expertise in both areas. And now Kathy Smith, our CFO, and Chief Administrative Officer will take us through our results, and then I'll provide some additional comments on the actions we have taken to drive improved results in 2022 and position us for long-term success. Kathy.