Aetna Introduces Two New PPO Plans for New Jersey's Small Employers.

CRANBURY, N.J. -- Aetna (NYSE:AET) announced today that it has developed two new preferred-provider organization (PPO) medical plans for small employers in New Jersey, expanding its portfolio of affordable health benefits solutions. The plans are available for April 1 effective dates.

In addition to Aetna's other product offerings, New Jersey businesses with two to 50 employees can now select a basic hospital PPO plan, or a first-dollar PPO plan design.

"Small employers face serious challenges as they try to offer their employees quality health care benefits at an affordable price," says James Reid, head of Aetna's small group business segment for Northern New Jersey. "Aetna designed these plans to provide those employers with new, more affordable solutions to those challenges." Aetna provides health benefits to more than 1.5 million New Jersey members.

The basic hospital PPO plan features a high-deductible insurance plan that provides inpatient hospital coverage, along with limited benefits for outpatient surgery, skilled nursing care or home health care charges, in lieu of hospitalization. It covers three office visits per member each calendar year for acute and preventive care, and a fixed benefit allowance for lab and X-ray services.

The PPO first-dollar option is a high-deductible insurance plan with a benefit feature that allows for a limited dollar amount of services before the deductible comes into play.

"These new plans are both innovative products that few, if any other carriers have," said Jim Foglio, president of Fotek Insurance Agency, Wall, N.J. "Aetna has listened to what the market is asking for, and has responded."

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 13.7 million medical members, 11.9 million dental members, 8.4 million pharmacy members and 13.5 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 655,000 health care professionals, including over 390,000 primary care and specialist doctors and 3,937 hospitals. For more information, please visit www.aetna.com. (Figures as of December 31, 2004)