Aetna Expanding Medicare Availability and Enhancing Offerings for 2007

Aetna (NYSE:AET) announced today that for 2007 it is expanding the availability of its Medicare Advantage medical products to three new states, adding new counties within states it already serves, and providing Medicare Part D prescription drug products to auto-enrolled beneficiaries in an additional 28 states and the District of Columbia. In addition, the company will enhance its Medicare plan coverage and expand the ways people with Medicare can purchase its products. For 2007 Aetna will: Offer Medicare Advantage products in a total of 16 states and the District of Columbia, including the addition of Connecticut, Oklahoma and Tennessee, and add individual and/or group Medicare Advantage HMO and PPO offerings in 39 new counties in states it already serves. Provide Medicare Part D prescription drug plans to individuals and employer groups in all 50 states. Aetna also will provide Part D prescription drug plans to auto-enrolled individuals in 36 states and the District of Columbia, including 28 new states for 2007. Introduce Medicare Advantage Private Fee-for-Service plans to employer groups for their retirees in all 50 states, and for individuals in certain markets. Expand distribution channels for its Medicare products through new relationships with Old Surety Life Insurance Company and Equitable Life and Casualty. Enhance its Part D coverage by adding a number of brand name drugs, such as Nexium®, Vytorin® and Crestor®, to its lists of preferred brand drugs on both its open and closed formularies, and offering a zero-dollar co-pay for generics in the majority of its individual plans. "Aetna is extremely pleased to make our Medicare Advantage products available to many more Medicare beneficiaries in 2007, including significantly more beneficiaries in Florida, Georgia, New York and Pennsylvania. We’re also pleased to continue our national commitment to Medicare Part D, and provide these plans to low-income beneficiaries in much of the United States,” said Frank McCauley, head of Aetna Retiree Markets. "Strong competitive bidding by plans, as well as broad beneficiary choice, means that the average cost of Medicare Part D prescription drug plans for individuals will remain stable or even decline in 2007 – proof that this program is an effective approach to providing low-cost coverage to Medicare beneficiaries.” For 2007 Aetna will maintain its auto-enrollees in all six regions (including eight states and the District of Columbia) where it achieved the price benchmark set by the Centers for Medicare and Medicare Services (CMS) for 2006. In addition, Aetna is below the price benchmark set by CMS in 17 additional regions, making it eligible to receive auto-enrollees in 28 new states. Low-income beneficiaries who are eligible for 100 percent subsidies also can choose an Aetna Part D prescription drug plan in 36 states and the District of Columbia without paying any premium. Aetna will continue to offer three Medicare Part D prescription drug plans nationwide in 2007 -- one offering benefits that are equivalent to standard Part D, and two enhanced options. These plans will be even more competitively priced for 2007, in many cases offering premiums that are lower than 2006 rates. Two of the plans will offer an open formulary and one will provide access to generic prescription drugs through the coverage gap. Premiums range from $24.80 to $73.60 a month, depending on the plan and the region. In addition, Aetna will offer Medicare Advantage plans combining Medicare medical and prescription drug coverage in select markets. Aetna also is focused on developing strategic alliances to help educate consumers about their Aetna Medicare plan options, and provide them with convenient local options to purchase the plans. Aetna will continue its relationships with retail pharmacies Rite Aid Corporation and CVS/pharmacy, distribute products via Medicare Supplement carriers Physicians Mutual and Standard Life and Accident Insurance Company, and continue its community-based relationships with regional organizations such as H-E-B retail stores in Texas. For 2007, Aetna has developed new relationships with Old Surety Life Insurance Company and Equitable Life and Casualty that will make Aetna Medicare products available through an additional 5,500 independent brokers throughout the country. Aetna has created additional regional alliances with retail brands such as Jewel-Osco in Chicago, Albertsons/Sav-on in Southern California and Sweetbay Supermarket and Kash n' Karry Food Stores in Florida. "We know that Medicare beneficiaries are very interested in receiving information and purchasing plans from trusted community resources,” said McCauley. "That’s why we will continue to enhance and expand national and local market partnerships that will provide us with the opportunity to reach consumers in ways that are most convenient for them.” More information about Aetna’s 2007 Medicare plans is available at www.aetnamedicare.com. The site also offers a user-friendly online decision support tool to assist beneficiaries and their caregivers in selecting the best benefit design to meet individual needs, as well as help optimize prescription drug spending throughout the plan year. Aetna is one of the nation's leading diversified health care benefits companies, serving approximately 29.9 million people with information and resources to help them make better informed decisions about their health care. Aetna offers a broad range of traditional and consumer-directed health insurance products and related services, including medical, pharmacy, dental, behavioral health, group life, long-term care and disability plans, and medical management capabilities. Our customers include employer groups, individuals, college students, part-time and hourly workers, health plans and government-sponsored plans. www.aetna.com