Conseco To Implement Systems And Operational Solution From Long Term Care Group

Carmel, IN - Conseco, Inc. said recntly that it has agreed to implement a systems and operational solution provided by Long Term Care Group, Inc. (LTCG) for certain back-office functions of the long term care business in its Other Business in Run-off segment. Conseco announced earlier this year that it was considering this solution. Under the agreement:

-- LTCG will assume responsibility for the customer call center and the processing of continuing claims and other transactions for the 170,000 long term care policies in the Other Business in Run-off segment. The parties expect that LTCG will migrate all claims to its systems by early 2009, and all policy administration to its systems by 2010. Conseco employees currently performing these functions will become employees of LTCG. -- For these policies, Conseco will retain responsibility for initial claim decisions, claim appeals, and financial reporting, and the Conseco employees currently performing these functions will remain with the company. -- Conseco will retain all the affected policies on its books, and will also retain responsibility for all processing functions related to the long term care policies issued by its Bankers Life and Casualty subsidiary.

Conseco CEO Jim Prieur said, "This is an important step in improving the performance of the long term care business in the Other Business in Run-off segment. By expanding our relationship with LTCG to further leverage LTCG's systems and service expertise, we will better manage this business and better serve our customers."

"Conseco's management team is totally committed to providing excellent service and proper claims handling to their valued policyholders," said Peter Goldstein, LTCG President. "We are proud to have been chosen to help achieve that goal and look forward to a long term relationship."

LTCG CEO Bruce Baude said, "Our company will benefit from the addition of the Conseco Carmel staff. They are a group of highly motivated and dedicated individuals who are passionate about their jobs. We are pleased to welcome them into our organization."

Long Term Care Group, Inc. is the country's largest long term care administrator, providing services to over 30 long term care insurers including eight of the top 10. The company offers comprehensive policy administration including application processing, premium billing, customer service and claims and care management. In addition, LTCG has a robust consulting practice specializing in product development, risk management, compliance and actuarial services. Under its Nation's CareLink brand, LTCG provides a full range of both telephonic and face-to-face assessments utilizing its nationwide network of nurses. With almost 1,000 employees and over 1 million policies under management, LTCG is headquartered in Eden Prairie, Minnesota, and has operational centers in the Twin Cities, Nashville and Orlando.

Conseco, Inc.'s insurance companies help protect working American families and seniors from financial adversity: Medicare supplement, long-term care, cancer, heart/stroke and accident policies protect people against major unplanned expenses; annuities and life insurance products help people plan for their financial futures. For more information, visit Conseco's web site at www.conseco.com.

SOURCE: Conseco, Inc.