Aetna Enables Employers to Waive Deductible for Preventive Drugs in High-Deductible Health Plans; Program Provides Added Coverage for HSA Consumers, While Encouraging Compliance with Preventive Drug Regimens and Potentially Reducing Overall Costs.

HARTFORD, Conn. -- In an industry-leading approach to preventive coverage, Aetna (NYSE:AET) announced today that middle market and larger employers who purchase its High-Deductible Health Plans and related Health Savings Accounts (HSAs) will have the option of providing first-dollar benefits for preventive medications for employees with increased health risks due to hypertension, high cholesterol, diabetes, asthma or osteoporosis. This means that, like other preventive benefits, members may receive coverage for these drugs before meeting their deductible.

"Aetna has long provided first-dollar coverage for preventive medical care in our Aetna HealthFund(R) consumer-directed plans," said Aetna President Ronald A. Williams. "This encourages our members to receive the preventive care appropriate for their health status, and provides physicians with the best opportunity to address medical issues before complications arise. Most of our customers currently offer preventive care coverage, and many have expressed interest in extending this approach to the preventive medications that can help to optimize employee health and reduce the overall costs of care."

The drug classes included for first-dollar coverage are: antihypertensives including beta-blockers, calcium channel blockers and ACE inhibitors; diuretics; antihyperlipidemics; antidiabetics; antiasthmatic agents; antiosteoporosis medications; anticoagulants; platelet aggregation inhibitors; pediatric vitamins with fluoride; and prenatal multivitamins with iron and folic acid. Aetna identified these drug classes specifically because drugs within them are substantially used for preventive purposes.

Leveraging the company's strengths in integrating medical and pharmacy plans, chronic condition management and data analysis, the first-dollar program allows employers to tailor their HSA-compatible plans to provide additional support for individuals with common chronic conditions. "We specifically identified conditions for which preventive medication is particularly effective in reducing the risk of acute episodes of illness," said Andrew Baskin, M.D., Aetna senior medical director. "In addition to reducing overall health care costs for these individuals, use of these drugs - particularly in concert with a condition management program - also helps these individuals to maximize their quality of life and sense of well-being."

The program reflects guidance provided by the U.S. Department of Treasury indicating that certain drugs could be covered as preventive for selected conditions under a High-Deductible Health Plan. Aetna is applying that guidance to some of the most prevalent chronic conditions among Aetna's membership and the population at large. This coverage option will be effective January 1, 2006. The company will consider future updates to this program consistent with Treasury and IRS guidance in response to customer needs and appropriate clinical protocols.

Aetna offers an integrated Aetna HealthFund HSA product - combining the High-Deductible Health Plan and the HSA - to employers of all sizes. The company also sells HSA-compatible High-Deductible Health Plans on a stand-alone basis. More than 50,000 Americans are currently members of Aetna's HSA-compatible High-Deductible Health Plans.

As one of the nation's leading providers of health care, dental, pharmacy, group life, disability and long-term care benefits, Aetna puts information and helpful resources to work for its approximately 14.4 million medical members, 12.8 million dental members, 9.0 million pharmacy members and 14.0 million group insurance members to help them make better informed decisions about their health care and protect their finances against health-related risks. Aetna provides easy access to cost-effective health care through a nationwide network of more than 672,000 health care professionals, including approximately 400,000 primary care and specialist doctors and 4,084 hospitals. For more information, please visit www.Aetna.com. (Figures as of March 31, 2005)