Health Benefits Direct to Partner With eHealth, Inc.
Health Benefits Direct Will Transfer Existing Customers and Refer New Prospects to eHealth
MOUNTAIN VIEW, CA and RADNOR, PA -- (Marketwire) -- 02/26/09 -- eHealth, Inc. (NASDAQ: EHTH), the parent company of eHealthInsurance, and Health BenefitsDirect Corporation (OTCBB: HBDT), a leading technology innovator in themarketing, sales and administration of insurance, today announced that theyhave entered into customer transition and marketing agreements. Under theseagreements, Health Benefits Direct will transfer the majority of itsexisting health insurance members and refer all of its ongoing healthinsurance prospects to eHealth. The existing members transferred toeHealth are all individual and family major medical and ancillary membersholding plans issued by Aetna, Assurant Health, Golden Rule InsuranceCompany, Humana and PacifiCare. This membership transfer has been madewith the approval and cooperation of these five leading health insurancecompanies.
Anthony Verdi, Acting Principal Executive Officer of Health BenefitsDirect, commented, "We are very pleased to be partnering with eHealth, theleading source of health insurance in the United States. eHealth's onlineplatform and scalable customer service will ensure the highest qualitytransition and service for our health insurance customers, as we exit theagency segment of our business. We have strategically restructured ourbusiness model over the last year by focusing on our InsPro software andInsurint(TM) web-portal technology, and today's announcement is a verypositive step forward for us." Mr. Verdi concluded by saying, "We willrecognize a gain on the membership transfer and will share in futurerevenues generated by the customer transition and marketing agreements witheHealth."
Bruce Telkamp, Executive Vice President of Business and CorporateDevelopment of eHealth, said, "This partnership with Health Benefits Directallows us to extend the reach and benefits of our online health insuranceplatform to a large number of new customers, and we expect it will beaccretive to earnings and generate additional revenue in 2009 andsubsequent years. We are working closely with Health Benefits Direct, aswell as Aetna, Assurant, Golden Rule, Humana and PacifiCare, to ensure thehighest quality customer experience for all existing and new membersreferred to us." Mr. Telkamp continued, "We are also supportive of HealthBenefits Direct's technology businesses and look forward to working withthem cooperatively as these businesses continue to grow."
About eHealth, Inc.:
eHealth, Inc. (NASDAQ: EHTH) is the parent company of eHealthInsurance, thenation's leading online source of health insurance for individuals,families and small businesses. Through the company's website,http://www.ehealthinsurance.com, consumers can get quotes from leadinghealth insurance carriers, compare plans side by side, and apply for andpurchase health insurance. eHealthInsurance offers thousands of healthplans underwritten by more than 180 of the nation's health insurancecompanies. eHealthInsurance is licensed to sell health insurance in all 50states and the District of Columbia. eHealthInsurance and eHealth areregistered trademarks of eHealthInsurance Services, Inc.
About Health Benefits Direct Corporation
Through its subsidiary, Atiam Technologies, Health Benefits Direct offersInsPro software, an internet-based marketing and administration system usedby Insurance carriers and Third Party Administrators. Through itssubsidiary, Insurint Corporation, Health Benefits Direct provides aproprietary, professional-grade, web-based agent quote engine portal thataggregates accurate real-time quotes from multiple highly-rated healthinsurance carriers, life insurance carriers and carriers of relatedinsurance products. www.healthbenefitsdirect.com
This press release contains statements that are forward-looking statementsas defined within the Private Securities Litigation Reform Act of 1995.These include statements regarding the referral of prospects and members;Health Benefits Direct's recognition of gain and sharing in futurerevenues; the expectation that the partnership will be accretive toeHealth's earnings and generate additional revenue for eHealth in 2009 andsubsequent years; the quality of transition and service; and continuedcooperation between eHealth and Health Benefits Direct. Theseforward-looking statements are inherently subject to various risks anduncertainties that could cause actual results to differ materially from thestatements made, including risks described in eHealth's and Health BenefitDirect's most recent Quarterly Reports on Form 10-Q or Annual Reports onForm 10-K filed with the Securities and Exchange Commission and availableon the investor relations page of eHealth's website atwww.ehealthinsurance.com and Health Benefits Direct's website atwww.healthbenefitsdirect.com. These documents are also available on theSecurities and Exchange Commission's website at www.sec.gov. NeithereHealth nor Health Benefits Direct undertakes any obligation to update anyforward-looking statement to conform the statement to actual results orchanges in expectations.
For more information, please contact:
Director of Investor Relations
Director of Public Relations
The Piacente Group for Health Benefits Direct Corporation