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                        [HEALTHEXTRAS, INC. LETTERHEAD]

FOR IMMEDIATE RELEASE                                Contact: Michael P. Donovan
- ---------------------                                  mdonovan@HealthExtras.com
                                                       -------------------------
                                                              HealthExtras, Inc.


                      HEALTHEXTRAS ANNOUNCES ACQUISITION OF
                       PHARMACY BENEFIT MANAGEMENT COMPANY
                                      - - -

ROCKVILLE, MD, DECEMBER 6, 2005 -- HEALTHEXTRAS, INC. (NASDAQ: HLEX), a pharmacy
benefit management company, today announced a transaction to acquire EBRx, Inc.
("EBRx"), a wholly-owned subsidiary of Managed Care of America Inc. ("MCOA") of
Pittsburgh, Pennsylvania. MCOA is a diversified health care services company
that owns EBRx, a provider of pharmacy benefit management services with a
strategic focus on the third party administrator market segment.

"This transaction meets our stated goal of complementing our organic growth
through selective acquisitions and strategic investments, and extending our
services and capabilities deeper into our targeted market segments. Third party
administrators represent a multi-billion dollar market opportunity for pharmacy
benefit management services, and the customized programs marketed by EBRx in
this segment have captured significant market share and a strong and growing
client base over the past few years," stated David T. Blair, Chief Executive
Officer.

"We believe this transaction will allow us to enhance our product offerings and
continue to expand the number of third party administrators that adopt EBRx
services. We look forward to continuing to progress on our current strategic
plan, and are enthusiastic about enhancing it through the additional resources
represented by Catalyst Rx's clinical programs and drug trend management
initiatives," said Charles Davidson, President of MCOA. Jay Ver Hulst, President
of EBRx added "EBRx's fully transparent pricing model has been well received by
TPAs and adding Catalyst Rx's data analysis and clinical programs will lead to
better, more cost-effective drug trend management programs for our clients."

Under the terms of the agreement, HealthExtras will pay a purchase price of $31
million. Key members of the EBRx management team will be minority investors in
the new acquisition subsidiary to ensure the ongoing continuity of the business
and to promote its further expansion. HealthExtras has the option of purchasing
these minority investments at various values in the future depending on the
performance of the business. The transaction is subject to customary closing
requirements.

The transaction should be modestly accretive in the second half of 2006 and when
fully integrated should contribute $0.06 - $0.08 per share on an annualized
basis. Additional information about the timing and extent of EBRx's
contributions to revenues and earnings will be provided in conjunction with the
Company's next quarterly press release and conference call.

ABOUT HEALTHEXTRAS (WWW.HEALTHEXTRAS.COM)
                    --------------------
HealthExtras, Inc., a pharmacy benefit management company, currently provides
benefits to over three million members. Its clients include self-insured
employers, including state and local governments, third-party administrators,
managed care organizations and individuals. The Company's integrated pharmacy
benefit management services marketed under the name Catalyst Rx include: claims
processing, benefit design consultation, drug utilization review, formulary
management, drug data analysis services and mail order services. Additionally,
the Company operates a national retail pharmacy network with over 53,000
participating pharmacies.


THIS PRESS RELEASE MAY CONTAIN FORWARD-LOOKING INFORMATION. THE FORWARD-LOOKING
STATEMENTS ARE MADE PURSUANT TO THE SAFE HARBOR PROVISIONS OF THE PRIVATE
SECURITIES LITIGATION ACT OF 1995. FORWARD-LOOKING STATEMENTS MAY BE
SIGNIFICANTLY IMPACTED BY CERTAIN RISKS AND UNCERTAINTIES DESCRIBED IN
HEALTHEXTRAS' FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION.

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