eHealth and NFIB Unveil New Small Business HSA Platform

BusinessHSA Delivers Simple Cost-Effective Options for Small Businesses; Choice, Flexibility for Employees

WASHINGTON, DC, Jun 09, 2008 (MARKET WIRE via COMTEX News Network) -- eHealth, Inc. (NASDAQ: EHTH), parent company of eHealthInsurance, and the National Federation of Independent Business today announced the release of eHealth's BusinessHSA, an innovative and affordable online health insurance platform for small businesses. The announcement was made at NFIB's National Small Business Summit in Washington, D.C.

Designed primarily for small businesses that cannot afford group health insurance, BusinessHSA is a simple online platform that allows employers to co-fund and administer their contributions to employee individual health savings accounts (HSA). It combines eHealth's powerful online health insurance platform with the tax-advantaged savings of HSAs to provide a comprehensive healthcare expense management tool.

The BusinessHSA platform gives employers the ability to contribute to employee HSAs at defined levels and provides online payroll administration to manage both employer and employee HSA contributions over time. The platform gives employees the ability to open an HSA and research and apply for an affordable HSA-eligible health insurance plan. Employees will be able to easily manage their HSA bank accounts online and utilize an eHealth-branded debit card. Employers benefit from improved cost management, while employees enjoy affordable health insurance options and potential tax savings.

Of the estimated 47 million Americans without health insurance(1), almost 28 million are workers, the majority either employed by small businesses or self-employed.(2) eHealth has partnered with NFIB for many years to work to pursue options that address this issue. The company worked closely with NFIB to develop BusinessHSA, seeking input from its members on how to best create a product that can address small businesses' needs today. eHealth is making BusinessHSA available to NFIB members through its member website at www.NFIB.com/BHSA and to all small businesses at www.ehealth.com/BusinessHSA.

"After ten years of working with employers, we know that most of them want to provide healthcare assistance for their employees, but fewer and fewer can afford a traditional group health insurance plan," said Gary Lauer, president and CEO of eHealth. "We designed BusinessHSA to open up possibilities -- to give these employers an innovative, easy and cost-effective alternative to group health insurance."

"We are especially pleased to release BusinessHSA in conjunction with NFIB, a long-time partner," said Lauer. "NFIB has a respected history of effectively advocating for the concerns of small business owners, with a special interest in new, affordable healthcare solutions."

"Since 1986, the National Federation of Independent Business' members have said that healthcare costs are their number one concern," said Todd Stottlemyer, president and CEO of NFIB. "BusinessHSA is one type of innovation that can help small businesses deal with the burden of increasing healthcare costs and stay competitive in hiring and retaining valued employees."

NFIB members who wish to learn more about BusinessHSA should visit www.NFIB.com/BHSA. Others who wish to learn more about BusinessHSA and the other products and services offered by eHealth should visit www.ehealth.com/BusinessHSA. Business HSA is currently available in 35 states plus the District of Columbia, with additional availability planned for the future.

About eHealth, Inc.:

eHealth, Inc. (NASDAQ: EHTH) is the parent company of eHealthInsurance, the nation's leading online source of health insurance for individuals, families and small businesses. Through the company's website, www.ehealthinsurance.com, consumers can get quotes from leading health insurance carriers, compare plans side by side, and apply for and purchase health insurance. eHealthInsurance offers thousands of health plans underwritten by more than 175 of the nation's leading health insurance companies. eHealthInsurance is licensed to sell health insurance in all 50 states and the District of Columbia. eHealthInsurance and eHealth are registered trademarks of eHealthInsurance Services, Inc.

About NFIB:

NFIB is the nation's leading small business association, with offices in Washington, D.C., and all 50 state capitals. Founded in 1943 as a nonprofit, nonpartisan organization, NFIB gives small and independent business owners a voice in shaping the public policy issues that affect their business. NFIB's powerful network of grassroots activists send their views directly to state and federal lawmakers through our unique member-only ballot, thus playing a critical role in supporting America's free enterprise system. NFIB's mission is to promote and protect the right of our members to own, operate and grow their businesses. More information about NFIB is available online at www.NFIB.com/newsroom.

Forward-Looking Statements:

This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995. These include statements regarding employers' ability to define and manage HSA contributions; employees' ability to open HSAs, research and apply for affordable insurance, easily manage their HSA bank accounts online and utilize an eHealth-branded debit card; the benefits of the platform; the platform as an innovative, easy and cost-effective alternative to group health insurance; and the ability of the platform to help with healthcare costs and staying competitive in hiring and retaining employees. These forward-looking statements are inherently subject to various risks and uncertainties that could cause actual results to differ materially from the statements made, including risks associated with adoption and implementation of the platform; eHealth's dependence upon third parties with respect to the HSA component of the platform and its ability to maintain effective relationships with those parties; eHealth's and third-party implementation of an e-Health-branded debit card; third-party allocation of resources; eHealth's dependence upon a single bank to act as HSA custodian; the attractiveness of the platform; system performance, failures, malfunctions, bugs or capacity constraints; eHealth's success in training its customer care center with respect to HSAs; ecommerce security risks; insurance carrier system failure or process breakdown; compliance with insurance, banking and other laws and regulations, including those relating to the sale of insurance to small businesses; exposure under privacy and security laws; and exposure to adverse legal and regulatory actions and changes in laws and regulations.

Other factors that could cause results to differ are described in eHealth's most recent periodic report as filed with the Securities and Exchange Commission and available on the investor relations page of eHealth's website at www.ehealthinsurance.com and on the Securities and Exchange Commission's website at www.sec.gov. eHealth does not undertake any obligation to update any forward-looking statement to conform the statement to actual results or changes in expectations.

Sources:

(1) http://www.census.gov/prod/2007pubs/p60-233.pdf

(2) The Henry J. Kaiser Family Foundation, Health Insurance Coverage in America, 2006, Health Insurance Coverage of Workers, Figure 4.1, 4.14

http://facts.kff.org/chart.aspx?cb=50&sctn=139

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For more information about eHealth, please contact:
Brian Mast
Director of Public Relations
eHealth, Inc.
Email Contact
office: (650) 210-3149
cell: (415) 609-8494

For more information about NFIB, please contact:
Mike Diegel
National Media Director
National Federation of Independent Business
Email Contact
(202) 314-2004

SOURCE: eHealth, Inc.

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