Blue Cross and Blue Shield of Kansas City and Bon Secours Health System Use Video as a Service to Empower Healthcare Consumers and Improve Satisfaction

CHARLESTON, S.C. – July 2, 2008 – Benefitfocus Media today announced Video as a Service (VaaS), a new healthcare communication service that educates and empowers consumers while making communication clear and consistent. Blue Cross and Blue Shield of Kansas City and Bon Secours Health System, Inc. are among the early adopters of this new service.

Offered to the healthcare market including doctors, medical institutions, insurance carriers, employers and brokers, VaaS is an end-to-end solution that provides video production, post production, delivery, hosting and distribution of contextual content online. Gartner, Inc., states that Benefitfocus is the pioneer of VaaS for health insurers in its report, Hype Cycle for Healthcare Payers, 2008, June 27, 2008.

Gartner defines VaaS as delivered via an application (for example, enrollment, billing, etc.) that utilizes Software as a Service and must have the following characteristics: hosted by the video content creator, delivered contextually depending on the client or application, and videos which can be updated in the application without customer intervention.

"Blue Cross and Blue Shield of Kansas City rates member satisfaction as number one, and Benefitfocus Media's Video as a Service provides our members with education and empowerment," said Roger Foreman, Blue Cross and Blue Shield of Kansas City EVP of Sales and Chief Marketing Officer. "We are integrating this new communication tool into our electronic enrollment, billing and wellness initiatives. It is extremely simple – Benefitfocus Media does all the creation, hosting and delivery of the content we need for our customers. We've already begun to experience the strategic advantage this solution provides through member satisfaction which will increase retention."

Video communication is skyrocketing, making VaaS an intelligent choice for employers and insurance carriers to communicate healthcare benefits information. According to measurement research firm comScore, Inc., U.S. Internet users viewed 11 billion online videos during the month of April 2008, a gain of more than 50 percent compared to April 2007. That is 71 percent of the total U.S. Internet audience watching videos online.

"Benefitfocus Media created the VaaS model in healthcare, and we are proud to be working with such leading organizations as Blue Cross and Blue Shield of Kansas City and Bon Secours Health System, Inc. to maximize the power of video communication," said Shawn Jenkins, President and CEO of Benefitfocus. "As the largest healthcare benefits software provider in the country, Benefitfocus is leading the industry into benefits management 2.0. Combining our new VaaS offering with our well established Software as a Service platform we are rapidly changing the healthcare ecosystem. These innovations are allowing carriers and employers to control cost, enhance healthcare and maintain a competitive edge."

VaaS Solutions for the healthcare industry

The Benefitfocus Media team works directly with customers to create customized video content driven by their unique business objectives which can be combined with our vast and growing healthcare video library. VaaS packages are tailored for the healthcare industry, including hospitals, physicians, insurance carriers, employers and brokers. As a turn-key solution, Benefitfocus Media VaaS makes clear communication easy and effective through videos that deliver messages in the right context. With this full-featured service offering, users are provided a complete video solution without requiring them to know anything about media production. Each tailored bundle includes:

• An Executive Producer to ensure clear messaging
• Script Support to create content that is teleprompter ready
• Healthcare, Human Resources and Product Experts to keep messages consistent with benefit offerings and online experience
• Producers who provide project management support, talent acquisition and travel assistance
• Talent Coaching to help speakers look great regardless of their level of experience
• Custom Graphics and Set Designs to best express messaging and branding and
• Special Effects including green screen technology

Benefitfocus Media leverages the healthcare benefits management expertise of Benefitfocus, which serves more than 117,000 employers, 410 insurance carriers, and 42 million consumers. Benefitfocus Media content can be licensed with Benefitfocus enterprise applications or directly to the healthcare industry including medical institutions, doctors, insurance carriers, employers and brokers for distribution via their Web site or portal. For more information on Benefitfocus Media Video as a Service, please visit www.benefitfocus.com/media.

About Benefitfocus Media
Benefitfocus Media created Video as a Service for healthcare benefits communication to enhance consumer empowerment. With VaaS, you get production, delivery, hosting and distribution of contextual content when and where you need it. Benefitfocus is the largest healthcare benefits software provider serving 117,044 employers, 410 insurance carriers, and 42 million consumers. Our technology solutions reduce costs, expand market share, manage risk and improve consumer satisfaction. Benefitfocus gives a competitive edge to carriers, employers and brokers as they help consumers manage complex decisions in an ever-changing healthcare environment. Benefitfocus can be reached at 843-849-7476 or at www.benefitfocus.com.