American Specialty Health Awarded First New Jersey License for Organized Delivery Systems

San Diego, CA (February 25, 2004) -- American Specialty Health, Incorporated (ASH), the nation’s leading complementary health care benefits organization, announced that it is the first health care organization to be awarded licensure by the Department of Banking and Insurance as an Organized Delivery System (ODS) in the State of New Jersey.

ASH, through its subsidiary American Specialty Health ODS of New Jersey, can now accept downstream risk for members' claims directly from health plans. Health plans may now contract with ASH to provide to their members benefit plans that include access to more than 22,000 complementary health care providers nationwide, including chiropractors, acupuncturists, massage therapists, registered dietitians, and naturopaths.

The application for the ODS license included a thorough review of ASH operations, including its contracts, financial records, and proof of compliance with New Jersey laws, including the Health Care Carrier Accountability Act and the Health Care Quality Act.

"Being the first health plan to be awarded an ODS license by the State of New Jersey is an example of American Specialty Health’s commitment to our clients, and to our providers and members," said George DeVries, chairman, president and chief executive officer of ASH. "ASH is proud to be able to provide the complementary health services to clients in New Jersey that are so popular across the rest of the country."

ASH and its subsidiaries are the nation’s leading specialty benefits organization for complementary health care, providing benefit, health education, and affinity network programs to health plans, insurance carriers, employer groups, and trust funds nationwide. Its subsidiary, American Specialty Health Plans of California, Inc., which operates in California, is the nation’s first and largest specialty health plan for chiropractic and acupuncture. Based in San Diego, ASH has over 500 employees and more than 9 million members in benefit programs nationwide. For more information about ASH, visit its Web site at www.ashcompanies.com.