| Wed 28 Apr 2004, 13:16 | | DESTINY HEALTH AND GUARDIAN PARTNERSHIP EXPAND INT |
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DISCOVERY HOLDINGS LIMITED - DESTINY HEALTH AND GUARDIAN PARTNERSHIP EXPAND INTO
US MID-ATLANTIC STATES
DISCOVERY HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1999/007789/06)
Share code: DSY
ISIN : ZAE000022331
("Discovery" or "Discovery Holdings")
DESTINY HEALTH AND GUARDIAN PARTNERSHIP EXPAND INTO US MID-ATLANTIC STATES
Johannesburg - April 28, 2004. Discovery Health subsidiary, Destiny Health and
Guardian Life Insurance Company of America announced yesterday that they will be
expanding their marketing alliance to employers in the Maryland, Virginia and
Washington D.C.
"The decision to expand into the Mid-Atlantic region reflects the success of the
initial venture as well as a groundswell of interest in consumer-driven
healthcare," says Adrian Gore, CEO of Discovery.
"Destiny Health set out to break even its core Illinois operation in early 2004,
establish product credibility in the US market and roll out our joint venture
with Guardian. Having achieved the first two and with the Guardian partnership
having taken root in Illinois, we believed it was an appropriate time to start
expanding into new markets," says Scott Spiker, president and CEO of Destiny
Health.
The opportunities in the mid-Atlantic were key to the decision to expand to this
region first. The area has a very large concentration of small to medium sized
companies. Employees of these companies are accustomed to product constructs
similar to The Destiny Health Plan but have also experienced large premium
increases due to soaring healthcare inflation.
In view of the fact that Destiny Health"s Comprehensive Consumer-driven
Healthcare model is proven to control rising healthcare costs through lower
premium increases, Guardian"s successful and established Mid-Atlantic sales
office is well-placed to replicate the success they have experienced in
Illinois. "Destiny Health has the most experience in balancing comprehensive
protection with personal health incentives and delivers on its promises by
encouraging policyholders themselves to get engaged in cutting healthcare
costs," says Richard A. Whyte, senior vice president of Guardian.
Spiker confirms the view that Destiny Health"s model is motivating employees to
change their behaviour in ways that lower costs and make possible premium
increases that are well below the industry average. He cited a survey showing
that 47% of new members report asking their pharmacist for lower-cost
prescriptions, 41% say that
they are taking better care of themselves and 37% cited improvements in their
preventative healthcare regimen.
These findings are supported by national studies showing that when employees
become members of a consumer-driven health plan, generic drug usage increases
and emergency room visits drop, Spiker said.
The content of this press release is unrelated to the cautionary announcement
published on SENS on 31 March 2004 and in the press on 1 April 2004. Full
details of the aforementioned cautionary announcement will be released by
Discovery on Friday 30 April 2004.
About Destiny Health
Destiny Health motivates active participation in healthcare and rewards the
member behaviour change necessary for a healthier lifestyle. The Destiny Health
Plan is a health insurance solution for those who seek greater value, superior
choice, outstanding service and comprehensive coverage. This consumer-focused
strategy is modelled after Destiny Health"s parent company, Discovery Health, an
international life and health insurance company that has successfully enrolled
over 1.5 million members in its medical plan since 1992. Combined Destiny and
Discovery Health are the largest providers of consumer-driven healthcare in the
world. For more information visit www.destinyhealth.com
About Guardian
The Guardian Life Insurance Company of America (Guardian) is the fourth largest
mutual life insurance company in the US. As of December 2002, Guardian and its
subsidiaries had $34.1 billion in assets. Founded in 1860, Guardian is listed
among Fortune magazines top 300 businesses - and in 2003 was ranked once again
as on of the top 10- most admired life and health companies in Fortune"s
"America"s Most Admired companies" list. With 5 500 employees, over 2 700
financial representatives and 100 agencies nationwide, Guardian and its
subsidiaries protect individuals, businesses and their employees with life,
disability, health and dental insurance products and offer 401 (k), mutual fund
and annuity investment products, and trust services. More information on
Guardian can be obtained on www.glic.com
For more information, please contact: Roz McComb (082 925 8806)/Rosemary Renton
(082 491 0364)
Corporate Communications Consultants
Tel: (011) 783 8926 Fax: (011) 783 7608
On behalf of:
Adrian Gore CEO, Discovery Holdings
Contact: (011) 529 2800
Sandton
28 April 2004
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
CORPORATE FINANCE
Date: 28/04/2004 12:57:42 PM Produced by the JSE SENS Department
