Centerstone Insurance and Financial Services Announces Venture Capital Funding from Austin Ventures.

DALLAS--(BUSINESS WIRE)--July 6, 1999--

Investment to Fund Launch of 'benefitmall.com'

Internet Site for Insurance Brokers

Dallas-based Centerstone Insurance and Financial Services, an employee benefits general agency specializing in small group insurance, announced today that the company has received $7 million in venture capital funding from Austin Ventures, a private equity capital firm in Austin, Texas. The investment will enable the former subsidiary of Humana Inc. (NYSE:HUM) to launch an aggressive expansion of its products and services for insurance brokers, which will be marketed through Centerstone's reengineered Internet Web site at www.benefitmall.com.

According to Bernard DiFiore, chief executive officer of Centerstone Insurance and Financial Services, Centerstone was the first general insurance agency to utilize the Internet as a sales and distribution channel for small business insurance. He said the investment from Austin Ventures will be used to foster the company's growth through expansion into new markets and the development of enhanced online products and services for the broker community.

"Our benefitmall.com Web site makes it easier for brokers to work with their small business clients, enabling them to obtain competitive quotes and proposals at any time, selecting from more than 2,600 group insurance plans," DiFiore said. "During the next several months, we will increase the functionality of our Web site even further by increasing the number of carriers and plans offered through our online channel, as well as expanding nationally through acquisitions and by entering new markets."

Joe Aragona, general partner of Austin Ventures, said his firm identified Centerstone Insurance as an investment target based on its position at the forefront of electronic delivery within the group insurance market. "Benefitmall.com is already the largest site of its type on the Internet, and currently serves more than 7,000 broker customers," Aragona said. Added Brian Goffman, principal at Austin Ventures, "We believe that with aggressive expansion plans and product enhancements under way, this company will become a clear winner in the very exciting market for small group insurance."

Centerstone Insurance operated as a wholly owned subsidiary of Humana Inc. from 1995 until June 1999, when the business unit was spun off as a separate company. Humana will continue to own a significant investment position in Centerstone. The company's recently appointed board of directors includes: -0-

--   Bernard DiFiore, president and chief executive officer,
     Centerstone Insurance and Financial Services
--   Gregory H. Wolf, president and chief executive officer, Humana
     Inc.
--   George Emont, director, venture capital, Humana Inc.
--   Joseph C. Aragona, general partner, Austin Ventures
--   Brian Goffman, principal, Austin Ventures

Austin Ventures is the largest venture capital firm in Texas and among the largest in the U.S., with more than $775 million of capital under management. The Centerstone investment is the most recent company to be funded by Austin Ventures through their Business-to- Business Services initiative, a core focus of the firm's investment strategy. As technology becomes increasingly strategic and the Internet continues to reshape business, Austin Ventures leverages its substantial experience in both Internet and business services to assist management teams in building sustainable value. Other portfolio companies in Austin Ventures Business-to-Business Services initiative include: Human Code (Austin), TexSYS RD (Dallas), Monitronics (Dallas), IntelliQuest (Austin) and Service Resources (Atlanta), among others.

Dallas-based Centerstone Insurance and Financial Services is the only multi-state, multi-carrier group employee benefit resource on the World Wide Web, providing brokers with instant quotes and proposals from more than 2,648 group insurance plans and 41 carriers, free of charge. The company provides the broadest array of employee-benefit content available on the Internet, backed by quality sales service and support from its team of broker sales representatives in 11 sales offices. Centerstone has operated as an employee benefits agency specializing in group insurance since 1985, providing group health, dental, vision, disability, worker's compensation, life, individual and voluntary insurance products on behalf of state, regional and national insurance companies.