Terms and Conditions for Performance Guarantees
Subject to the terms of the Agreement, including, but not limited to, the terms contained herein, Personify Health hereby offers the Annual Performance Guarantees (“PGs”) as described in this Appendix. The PGs will be evaluated on a twelve (12) month period beginning with the Effective Date (“Initial Performance Period”) and each subsequent twelve (12) month period (each a “Subsequent Performance Period”) until the termination of the Agreement. PGs are contingent on Plan Sponsor providing all necessary information, confirmations (contracts signed and all decisions made) and approvals for TPA to perform the work necessary.
Reporting. Upon Sponsor’s written request, TPA will report on the PGs as noted in the table below. Notwithstanding anything stated to the contrary in this Agreement, including, but not limited to, this Appendix, such reporting (i) will not occur more frequently than quarterly on a calendar basis (or annually in the case of annual surveys, changes in health risks, and ROI), and (ii) may not be requested more than 90 days following the end of the reporting period.
Evaluation. Upon Sponsor’s written request for a PG evaluation, TPA will evaluate its performance against the applicable PGs noted below at the end of the applicable Performance Period. Notwithstanding anything stated to the contrary in this Agreement, including, but not limited to, this Appendix, such evaluation shall not be requested more than 90 days following the end of the Initial Performance Period or the current Subsequent Performance Period. Any evaluation based on sampling shall follow TPA’s standard statistical sample size. All applicable credits due in connection with evaluation of the PGs will be issued in the form of an invoice credit.
Performance Guarantees. During the Term of this Agreement, TPA shall provide, operate and maintain at its premises or at facilities under its control and supervision, and at its own expense, all personnel, servers, operating system software, network security, connectivity, support and maintenance services and other items necessary for the provision of the Services in accordance with the PGs set forth herein.
Performance Guarantee Credits. In the event that TPA fails to perform the Services in accordance with the applicable PGs, TPA will promptly take corrective action to ensure that the problem is remedied within ninety (90) days (the “Cure Period”) and take preventative measures so that the failure does not recur. If TPA is unable to or fails to remedy the problem within the Cure Period, Sponsor shall, as its sole and exclusive remedy, be entitled to recover the applicable amount of PG credits specified in the applicable Statement of Work (“PG Credits”). PG Credits will be applied as a credit to Plan Sponsor’s next invoice. Upon Sponsor’s reasonable request, TPA shall provide Sponsor with all reasonable information, documentation and access to the measurement and monitoring tools necessary to verify compliance by TPA with the PGs including, without limitation, providing Sponsor with access to or copies of all records and documentation relating to any problem giving rise to an PGs failure and related credits.
A failure to achieve any and all PG obligations and/or the issuance of resulting credits in connection with these PGs shall not constitute a breach of TPA’s obligations of this Agreement. The Sponsor credits, or any other remedy described in this Appendix, shall be the sole and exclusive remedy available to Sponsor for any failure by TPA to meet the PGs described herein. PGs shall not be measured for the later of the first ninety (90) days following the Effective Date of the Agreement or the date the Agreement is fully executed, except that the Implementation PGs shall apply immediately following the Effective Date, if applicable. PGs will not apply to any run-out claims.