Humana Expanding Portfolio of Medicare Advantage Plans for 2010

Humana Inc. (NYSE: HUM) will offer many new Medicare plans across the U.S. in 2010, providing consumers a wide variety of choices, including Medicare Advantage (MA) plans that feature affordable monthly premiums while offering health-and-wellness benefits and cost savings compared to what’s available through Original Medicare.

The Medicare enrollment period began Sunday, November 15, 2009, for plans that take effect as soon as January 1, 2010.

Humana, the nation’s second largest administrator of MA medical plans and Medicare prescription-drug plans (PDPs), will continue to offer MA plans that feature benefits not available to people enrolled in Original Medicare – at a cost that, in many cases, is lower than Original Medicare. Humana will also offer more than 100 PDP plans in 2010, including a new cost-saving "Value PDP” – which will be available in nearly half of Medicare’s 34 regions in 2010, replacing one of the 2009 plans in those areas.

"Some people are most concerned with getting the lowest premium possible, while others want the richest benefits available in a Medicare plan. At Humana, we have products across this spectrum – which is an important reason why Humana plans have proven so popular with seniors,” said Tom Liston, senior vice president of senior products at Humana. "Although the cost of health care services has continued to outpace the overall inflation rate in 2009, Humana has worked to keep our premiums and other plan-related costs affordable for 2010. Once again, seniors will have access to comprehensive benefits, including many features they can’t get through Original Medicare.”

With drug coverage, health-and-wellness offerings and disease-management programs, Humana MA plans remain an excellent value in 2010. Payments, plans and premiums vary by state and county. Plans include local and regional PPO plans, as well as HMO and private fee-for-service plans.

Humana reaching out to current members

Humana is proactively reaching out to its members to inform them of the lowest-cost options that are available to them for 2010. Most Humana MA plans have annual out-of-pocket maximums in 2010, protecting beneficiaries against catastrophic costs. Additionally, the vast majority of MA members continue to have access to programs such as gym memberships through SilverSneakers or Silver & Fit, and the WellDine Food Program, which delivers meals following a hospitalization.

These programs have shown positive clinical results. SilverSneakers members reported fewer problems with most activities of daily living compared to seniors not participating in the program. WellDine Food Program participants benefited from an eight percent reduction in readmissions after discharge from a hospital or skilled nursing facility over a 90-day period.

Other benefits with most Humana MA plans include:

Humana will continue to offer no-cost Tier 1 (preferred generic) prescription drugs through the company’s mail-order pharmacy, RightSourceRx^SM, for most plans. Humana members saved more than $28.6 million with this program in 2008. Additionally, Humana has conducted more than 46,000 pharmacy consultations so far in 2009, which include discussions about a drug’s side effects, dosage requirements and potential interactions, as well as possible lower-cost alternatives.

New Markets

Humana will continue to transition to more network-based Medicare products in 2010, entering nearly 20 new markets with Health Maintenance Organization (HMO) products and nearly 50 new markets with Local Preferred Provider Organization (LPPO) products. In addition to new markets, Humana is expanding to eight new counties in six existing HMO markets and more than 200 new counties in approximately 40 existing LPPO markets.

HMO Markets

New Medicare HMOs will be established in the following areas:

HMOs will be expanding into additional counties in a number of existing markets, including Tucson, Ariz.; Chicago and East Tennessee as well as CarePlus counties in Orlando, Fla.; Tampa, Fla.; and Treasure Coast, Fla.

Local PPO (LPPO) Markets

New LPPOs will be established in 24 states, as existing LPPOs will expand into additional counties in multiple markets across 21 states.

Humana company-employed agents are committed to helping Medicare beneficiaries select the best plan for their needs. The agents do this in consultations over the phone, through community presentations and meetings, scheduled in-home presentations, meetings in Humana offices and at Humana Guidance Centers across the country.

In a year when federal government reimbursements to MA plans will decline, "Humana has worked to preserve what its members want most in a health plan: affordable premiums, the lowest possible out-of-pocket costs, and plan features that focus on helping people live healthy lives,” Liston said.

For more information about Humana’s 2010 Medicare offerings, visit www.humana-medicare.com or call toll free 1-800-611-1481. TTY users call 1-877-833-4486.

About Humana

Humana Inc., headquartered in Louisville, Kentucky, is one of the nation’s largest publicly traded health and supplemental benefits companies, with approximately 10.3 million medical members and approximately 7.3 million specialty-benefit members. Humana is a full-service benefits solutions company, offering a wide array of health and supplemental benefit plans for employer groups, government programs and individuals.

Over its 48-year history, Humana has consistently seized opportunities to meet changing customer needs. Today, the company is a leader in consumer engagement, providing guidance that leads to lower costs and a better health plan experience throughout its diversified customer portfolio.

More information regarding Humana is available to investors via the Investor Relations page of the company’s web site at http://www.humana.com, including copies of:

• Annual reports to stockholders
• Securities and Exchange Commission filings
• Most recent investor conference presentations
• Quarterly earnings news releases
• Replays of most recent earnings release conference calls
• Calendar of events (includes upcoming earnings conference call dates and times, as well as planned interaction with research analysts and institutional investors)
• Corporate Governance Information