PeopleSoft Solutions Help Customers Meet HIPAA Privacy Requirements; Delivers Transaction File for Electronic Benefits Enrollment.

Business Editors/High-Tech Writers

PLEASANTON, Calif.--(BUSINESS WIRE)--May 20, 2003

At its Healthcare Industry User Group conference, PeopleSoft Inc. (Nasdaq:PSFT) today announced delivery of the Health Insurance Portability and Accountability Act (HIPAA) 834 transaction file as part of PeopleSoft Benefits Solutions. PeopleSoft's 834 transaction file for electronic benefit enrollment transactions provides a standards-based solution to assist organizations in HIPAA compliance efforts. As a result, organizations can simplify their benefit enrollment processes.

Effective April 14, 2003, HIPAA requires that organizations take safeguards to manage the privacy of personal health information. PeopleSoft's HCM applications streamline compliance requirements by providing centralized user administration, role-based access, automatic log-off and unique identifiers. Beginning October 16, 2003, HIPAA will mandate that certain organizations establish standard data content, codes and formats for submitting electronic benefit enrollment transactions. The 834 transaction file is designed to help companies in their efforts to comply with the HIPAA electronic transaction standards.

"Most organizations today are using homegrown or custom approaches to meet HIPAA standards," said Wes Rishel, vice president and research area director, Gartner, Inc. "By using the appropriate tools and technology to meet HIPAA requirements, organizations can reduce the amount of work required for compliance, improving efficiencies, reducing regulatory exposure and helping them move towards a better-organized IT environment."

By leveraging the security framework within PeopleSoft's Pure Internet Architecture(TM), PeopleSoft HCM solutions support user security and authentication requirements of the HIPAA regulations. PeopleSoft technology also supports open standards to enable customers to apply the latest data encryption standards. These features, combined with an organization's internal policies and procedures, help maintain the privacy of sensitive personal health information.

A key component of PeopleSoft's industry-leading Human Capital Management (HCM) suite, Benefits Solutions provide comprehensive functionality for benefits administration, self-service and regulatory compliance for a wide variety of benefit plans, supplier integration for vital benefits service, and tight integration with PeopleSoft's global HRMS solution. With Benefits Solutions, organizations can automate the benefits administration process, resulting in reduced paperwork and significant cost savings.

"Organizations are constantly challenged by changing regulations, and non-compliance can be very costly and highly disruptive," said Jenni Lehman, vice president of global product strategy, PeopleSoft HCM. "PeopleSoft continues to distinguish itself in the market as the world's leader by providing solutions and tools that can help support compliance with regulations such as HIPAA."

For more information, please visit http://www.peoplesoft.com/goto/hipaa.

About PeopleSoft

PeopleSoft (Nasdaq:PSFT) is the world's leading provider of application software for the real-time enterprise. PeopleSoft pure Internet software enables organizations to reduce costs and increase productivity by directly connecting customers, suppliers, partners and employees to business processes on-line, in real time. PeopleSoft's integrated, best-in-class applications include Customer Relationship Management, Supply Chain Management, Human Capital Management, Financial Management and Application Integration. Today more than 5,100 organizations in 140 countries run on PeopleSoft software. For more information, visit us at www.peoplesoft.com.

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