California State Fund Selects Fair Isaac SmartAdvisor For Medical Bill

    Business Editors/High-Tech Editors

    MINNEAPOLIS--(BUSINESS WIRE)--March 16, 2005--Fair Isaac Corporation (NYSE:FIC), the leading provider of analytics and decision technology, today announced that the California State Compensation Insurance Fund has licensed the Fair Isaac SmartAdvisor(TM) medical bill review system.
    SmartAdvisor, the latest evolution of Fair Isaac's proven bill review technology, will help the State Fund further develop its workers' compensation claims management infrastructure, generate additional cost savings, and provide increased consistency and flexibility in the processing of millions of medical bills each year. The software substantially automates the labor-intensive task of reviewing and repricing medical bills to state fee schedules, and enables further savings through automated PPO discounts.
    "SmartAdvisor provides intelligent cost containment and automation tools that help the insurance industry build decision power," said Paul Perleberg, general manager of Insurance and Healthcare at Fair Isaac. "We look forward to working with California's State Fund to optimize their workers' compensation claims management infrastructure."
    Fair Isaac software products and services process more than $4.4 billion annually in property and casualty claims. They are in use in the operations of nine of the top 10 property/casualty carriers and 65 percent of the nation's state workers' compensation funds.
    SmartAdvisor is Fair Isaac's next-generation medical bill review and repricing software solution for workers' compensation and automobile liability medical injury insurance payers. It is available in licensed client/server and ASP configurations, as well as an outsourced bill review service through the Fair Isaac Insurance Service Bureau.

    About California State Compensation Insurance Fund

    Created by the California Legislature in 1914, State Fund is a nonprofit, self-supporting, fairly competitive public enterprise that guarantees a permanent workers' compensation insurance marketplace at cost for California employers. State Fund has acted as both a moderating and stabilizing influence on the workers' compensation market. For further information, please visit http://www.scif.com.

    About Fair Isaac

    Fair Isaac Corporation (NYSE:FIC) is the preeminent provider of creative analytics that unlock value for people, businesses and industries. The company's predictive modeling, decision analysis, intelligence management, decision management systems and consulting services power billions of mission-critical customer decisions a year. Founded in 1956, Fair Isaac helps thousands of companies in over 60 countries acquire customers more efficiently, increase customer value, reduce fraud and credit losses, lower operating expenses and enter new markets more profitably. Most leading banks and credit card issuers rely on Fair Isaac solutions, as do insurers, retailers, telecommunications providers, healthcare organizations and government agencies. Through the www.myFICO.com Web site, consumers use the company's FICO(R) scores, the standard measure of credit risk, to manage their financial health. For more information, visit www.fairisaac.com.

    Statement Concerning Forward-Looking Information

    Except for historical information contained herein, the statements contained in this press release that relate to Fair Isaac, including statements regarding its SmartAdvisor medical bill review product offering and the benefits to be derived from this offering, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including any unforeseen technical difficulties related to the implementation, use and functionality of the offering, the risks that customers will not perceive material benefits from the offering, failure of the product to deliver the expected results, the possibility of errors or defects in the offering, regulatory changes applicable to the use of consumer credit and other data, and other risks described from time to time in Fair Isaac's SEC reports, including its Annual Report on Form 10-K for the year ended September 30, 2004, and quarterly report on Form 10-Q for the period ended December 31, 2004. Forward-looking statements should be considered with caution. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, Fair Isaac's results could differ materially from Fair Isaac's expectations in these statements. Fair Isaac disclaims any intent or obligation to update these forward-looking statements.

    Fair Isaac, SmartAdvisor and FICO are trademarks or registered trademarks of Fair Isaac Corporation, in the United States and/or in other countries. Other product and company names herein may be the trademarks of their respective owners.

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CONTACT: Fair Isaac Corporation John Emerick, 800-213-5542 (Investors/Analysts) investor@fairisaac.com Angela Carlson, 415-492-5373 (Media) acarlson@fairisaac.com or State Compensation Insurance Fund Vicente Hernandez, 415-565-1683 vhernandez@scif.com or Zelinski Public Relations (for State Fund) Jim Zelinski, 415-882-7787 or 415-420-6050 (cell) zelinskipr@aol.com

KEYWORD: CALIFORNIA MINNESOTA INDUSTRY KEYWORD: HARDWARE SOFTWARE MEDICAL INSURANCE BANKING PRODUCT MARKETING AGREEMENTS SOURCE: Fair Isaac Corporation

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