Aetna U.S. Healthcare and WebMD Announce New Agreement
HARTFORD, Conn. and ELMWOOD PARK, N.J., Oct. 23 /PRNewswire/ -- Aetna U.S. Healthcare, Inc., the health care subsidiary of Aetna Inc. (NYSE: AET), and WebMD Corporation (Nasdaq: HLTH), through its wholly owned subsidiary Envoy, announced today that they have entered into a new five-year agreement that makes WebMD a preferred provider of electronic transaction services to Aetna.
Under the agreement, which replaces the transaction services agreement that Envoy and Aetna U.S. Healthcare entered into in 1997, WebMD will provide electronic services to Aetna for the submission of medical claims data and other related transactions. In addition, the companies are exploring other opportunities to work together in provider connectivity technology.
"This is an important next step in our relationship with WebMD," said John W. Rowe, M.D., President and Chief Executive Officer of Aetna U.S. Healthcare. "We are pleased that the interests of our two companies have now been aligned in this partnership.
"We are continuing our strategy to increase the volume of electronic transactions submitted by Aetna U.S. Healthcare participating physicians and medical service providers. Our overall goal is to identify opportunities that will help to reduce costs, streamline back office administrative functions and speed the payment of claims. This agreement is mutually beneficial in that it provides WebMD with specific objectives tied to helping us achieve our goals."
As part of this relationship, WebMD has agreed to support Aetna's HIPAA compliance needs.
"We are excited by this enhanced phase of our relationship with Aetna U.S. Healthcare," said Martin J. Wygod, Chief Executive Officer of WebMD. "The opportunity is enormous for both companies. WebMD is committed to helping Aetna U.S. Healthcare drive down its costs of doing business while improving service to its providers and members."
About WebMD
WebMD provides connectivity and a full suite of services to the healthcare industry that improve administrative inefficiencies and clinical effectiveness enabling high-quality patient care. The company's products and services facilitate information exchange, communication and transactions between the consumer, physician and healthcare institutions.
About Aetna U.S. Healthcare
Aetna U.S. Healthcare, the health benefits unit of Aetna Inc. (NYSE: AET), is the nation's leading health and related benefits organization, providing a full spectrum of products ranging from health maintenance organizations (HMOs) to indemnity health insurance, group life and disability products, and dental, vision, and pharmacy benefits. The company provides products and services to 19.4 million health, 11.5 million group insurance, and 14.6 million dental members nationwide.
All statements contained in this press release, other than statements of historical fact, are forward-looking statements, including those regarding the amount and timing of the benefits of WebMD's services and the ability of such services to reduce costs, increase electronic transaction volume and improve the quality of service to Aetna providers and members. These statements are based on the companies' current plans and expectations and involve risks and uncertainties that could cause actual future events or results to be different from those described in or implied by such forward looking statements. These risks and uncertainties include those relating to: market acceptance of WebMD's services; operational difficulties relating to implementation of those services; economic conditions and regulatory matters affecting the Internet and healthcare industries; and the ability of WebMD to attract and retain qualified personnel. Further information about these matters can be found in the companies' Securities and Exchange Commission filings. WebMD and Aetna U.S. Healthcare expressly disclaim any intent or obligation to update these forward-looking statements.
SOURCE WebMD Corporation
CO: WebMD Corporation; Aetna U.S. Healthcare, Inc.
ST: Connecticut, New Jersey
IN: MLM HEA
SU: JVN
10/23/2000 08:28 EDT prnewswire.com |
