June 22, 2007 -- Connecticut-based Independence Holding Company (NYSE: IHC) and Chicago-based Destiny Health today announced a binding letter agreement to form a partnership to deliver innovative health insurance solutions for individuals and families beginning in the third quarter of 2007, pending execution of the final definitive documents. The Destiny Health Empowerment Plan(TM) will combine Destiny Health's proprietary wellness solutions with a high deductible health plan underwritten by Madison National Life and administered by Insurers Administrative Corporation, both members of the Independence Holding group. The plan will be available through agents and brokers contracted with Destiny Health, as well as through a nationwide chain of health clubs.
Destiny Health's innovative wellness-based healthcare plan is designed to make people healthier and enhance and protect their lives, by balancing health insurance coverage with incentives that motivate active participation in healthcare and reward healthy behaviors with vacation packages, airline miles and name-brand products such as iPod, Cuisinart, Sony and many others. Destiny Health's wellness-based strategy is modeled after that of Destiny Health's parent company, Discovery Holdings Ltd., an international life and health insurance company that has successfully enrolled over two million members in its health plan since 1992. Combined, Destiny Health and Discovery are the largest providers of wellness-based healthcare plans in the world.
IHC was an early adoptor of high-deductible health plans coupled with health savings accounts, and is becoming a significant player in the fast-growing consumer-directed healthcare market. IHC also has a great deal of experience underwriting and administering major medical and short-term medical health plans for individuals and families.
Scott Wood, IHC's Co-Chief Operating Officer, stated, "The pairing of Destiny Health's Vitality wellness program and our high-deductible health plans will empower and encourage individuals to participate in maintaining their wellness and provide them with cost-effective insurance, should the need arise. We are very excited to partner with Destiny Health to deliver a product to the market that is on the cutting edge of consumer-directed plans that reward healthy choices with lower rates and other benefits."
Arthur Carlos, Destiny Health's CEO said, "The Destiny Health Empowerment Plan is designed to empower the individual to make smart healthcare choices that enable them to lead healthier lives. At the core of this Plan is Vitality, our unique approach to wellness that encourages members to leverage the power of health by providing rewards to our members for healthy behaviors that can outweigh their insurance costs. The incentives and services of Vitality, combined with comprehensive insurance and the track record of IHC's risk management and administration, are a powerful combination for individuals seeking an affordable health insurance plan and increased wellness."
About Independence Holding Company (IHC)
IHC is a holding company principally engaged in the life and health insurance business and the acquisition of blocks of policies through its insurance company subsidiaries (Standard Security Life Insurance Company of New York and Madison National Life Insurance Company, Inc.), its affiliate (American Independence Corp. (NASDAQ: AMIC)), and its managing general underwriters, third-party administrators, and marketing affiliates. Standard Security Life markets medical stop-loss, small group major medical, short-term medical, major medical for individuals and families, limited medical, group long and short-term disability and life, dental, vision and managed health care products. Madison Life sells group life and disability, employer medical stop-loss, small group major medical, major medical for individuals and families, short-term medical, dental, vision, credit life and disability and individual life insurance. AMIC is a holding company principally engaged in the insurance and reinsurance business through Independence American Insurance Company and its managing general underwriter division.
About Destiny Health
Destiny Health's innovative wellness-based healthcare plan is designed to make people healthier and enhance and protect their lives, by balancing health insurance coverage with incentives that motivate active participation in health care and reward healthy behaviors. Destiny Health's wellness-based strategy is modeled after the strategy of Destiny Health's parent company, Discovery Holdings Ltd., an international life and health insurance company that has successfully enrolled over two million members in its health plan since 1992. Combined, Destiny Health and Discovery are the largest providers of wellness-based healthcare plans in the world. Destiny Health has forged partnerships with some of the most respected and recognized names in the health and wellness field to help extend the reach of its wellness-based health plan. Members of The Destiny Health Empowerment Plan enjoy robust perks through partnerships with Life Time Fitness, Curves and other regional and local fitness facilities. To learn more, visit
www.destinyhealth.com.
Forward-Looking Statements
Certain statements and materials contained in this news release may be considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to IHC's and Destiny's views with respect to future events and financial performance. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, economic conditions in the markets in which IHC and Destiny operate, new federal or state governmental regulation, and other factors which can be found in IHC's news releases and filings with the Securities and Exchange Commission.
SOURCE: Independence Holding Company