Small Business Resources, Business Advice and Forms from AllBusiness.com

NevadaCare Receives Approval to Acquire the HMO Membership of UnitedHealthcare of Nevada;...

Business Editors/High-Tech, Health & Medical Writers

LAS VEGAS--(BW HealthWire)--May 4, 2001

NevadaCare, Inc. ("NevadaCare") officials announced today that it has received regulatory approval from the Nevada Division of Insurance to acquire the membership of UnitedHealthcare's

Nevada Health Maintenance Organization.

This transaction will increase NevadaCare's HMO enrollment membership base to 77,000 members, thus making NevadaCare the state's second largest HMO. The transaction will close effective July 1, 2001.

UnitedHealth Group will continue serving employees and dependents of large, multi-site companies through its Uniprise business. The transfer does not affect AARP members who have Medicare supplement or hospital indemnity coverage through UnitedHealth Group's Ovations unit. UnitedHealthcare will also maintain its Nevada insurance license and continue to offer PPO and indemnity insurance products in the state of Nevada.

J.D. Dyer, Chairman and Chief Executive Officer of i/mx information management solutions, inc., ("i/mx"), the parent company of NevadaCare, sees the UnitedHealthcare transaction as a wonderful opportunity for NevadaCare to expand its rapidly growing presence in the Nevada marketplace. Dyer said, "We are proud of our network of providers and professional staff in Nevada. Their record for quality has been consistently recognized throughout the state. We are certain that UnitedHealthcare's members will be pleased with the rich integration of our network, products and services."

According to Todd Meek, CEO and President of NevadaCare, "Most of UnitedHealthcare's physician and hospital providers are already aligned with NevadaCare's extensive delivery network. We will work diligently to use the consistency between networks to avoid any disruption of care to UnitedHealthcare members, expediting their seamless transition to NevadaCare. We have notified all affected UnitedHealthcare policyholders that their premium rates will remain the same and that NevadaCare will take all current members without medical underwriting.

This agreement focuses on both companies' strengths and is consistent with UnitedHealthcare's commitment to developing flexible strategies to improve consumers' health and well-being, customized to local conditions," Meek continued.

About NevadaCare

NevadaCare is a leading multi-state HMO based in Nevada with operations in Nevada, Iowa and Illinois. NevadaCare is part of the privately held i/mx family of integrated managed care and information management companies. i/mx, headquartered in Phoenix, provides managed health care services to over 750,000 covered lives, 35,000 health care providers and 50,000 pharmacies. i/mx companies offer a variety of health plans including HMOs, PPOs, point of service (POS) plans, administrative services only (ASO) plans and pharmacy benefit management (PBM) plans, to employers, government programs and individuals.

About UnitedHealthcare

UnitedHealthcare (www.unitedhealthcare.com) coordinates network-based health and well-being services on behalf of local employers and consumers in six regional markets. UnitedHealthcare is one of six businesses of UnitedHealth Group, Inc. (NYSE:UNH), which provides a broad spectrum of resources and services to help people achieve improved health and well-being through all stages of life.

This press release contains forward-looking information. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

In addition, make sure to read these articles: