Exhibit 99.1
For Release Immediate
Contacts (News Media) Jim Rosensteele, SVP, Marketing
Communications 317.817.4418
(Investors) Tammy Hill, SVP, Investor Relations 317.817.2893
Conseco Senior Health Receives Order from
Florida Office of Insurance Regulation
Carmel, Indiana, April 20, 2004 -- Conseco, Inc. (NYSE:CNO) said today that its
Conseco Senior Health Insurance Company unit has received an order from the
Florida Office of Insurance Regulation that affects approximately 18,000 home
health care policies issued in Florida by Conseco Senior Health and its
predecessor companies. Payments for the benefit of policyholders on these
policies have exceeded the premiums received by a significant amount.
The order provides that Conseco Senior Health will offer three alternatives to
holders of these policies. The order also requires Conseco Senior Health to
pursue a similar course of action with respect to approximately 21,000 home
health care policies issued by Conseco Senior Health and its predecessor
companies in other states, subject to consideration and approval by other state
insurance departments.
Conseco President and CEO Bill Shea said, "We commend the Florida Office of
Insurance Regulation for approving a course of action that protects
policyholders while providing Conseco Senior Health with the ability to both
mitigate its losses and enhance its ability to pay future claims. Conseco Senior
Health will move promptly to comply with the order."
The full text of the Florida order will be included with Conseco, Inc.'s Form
8-K filing with the Securities and Exchange Commission later today.
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 future. For more information, visit Conseco's web site at
www.conseco.com.
Cautionary Statement Regarding Forward-Looking Statements. Our statements, trend
analyses and other information contained in this press release relative to
markets for Conseco's products and trends in Conseco's operations or financial
results, as well as other statements contain forward-looking statements, within
the meaning of the federal securities laws and the Private Securities Litigation
Reform Act of 1995. Forward-looking statements typically are identified by the
use of terms such as "anticipate," "believe," "plan," "estimate," "expect,"
"project," "intend," "may," "will," "would," "contemplate," "possible,"
"attempt," "seek," "should," "could," "goal," "target," "on track," "comfortable
with," "optimistic" and similar words, although some forward-looking statements
are expressed differently. You should consider statements that contain these
words carefully because they describe our expectations, plans, strategies and
goals and our beliefs concerning future business conditions, our results of
operations, financial position, and our business outlook or they state other
"forward-looking" information based on currently available information.
Assumptions and other important factors that could cause our actual results to
differ materially from those anticipated in our forward-looking statements
include, among other things: (i) the potential adverse impact of our
predecessor's
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Conseco (2)
April 20, 2004
Chapter 11 petition on our business operations, and relationships with our
customers, employees, regulators, distributors and agents; (ii) our ability to
operate our business under the restrictions imposed by our senior bank credit
facility or future credit facilities; (iii) our ability to improve the financial
strength ratings of our insurance company subsidiaries and the impact of rating
downgrades on our business; (iv) our ability to obtain adequate and timely rate
increases on our supplemental health products including our long-term care
business; (v) general economic conditions and other factors, including
prevailing interest rate levels, stock and credit market performance and health
care inflation, which may affect (among other things) our ability to sell
products and access capital on acceptable terms, the market value of our
investments, and the lapse rate and profitability of policies; (vi) our ability
to achieve anticipated synergies and levels of operational efficiencies; (vii)
customer response to new products, distribution channels and marketing
initiatives; (viii) mortality, morbidity, usage of health care services,
persistency and other factors which may affect the profitability of our
insurance products; (ix) performance of our investments; (x) changes in the
Federal income tax laws and regulations which may affect or eliminate the
relative tax advantages of some of our products; (xi) increasing competition in
the sale of insurance and annuities; (xii) regulatory changes or actions,
including those relating to regulation of the financial affairs of our insurance
companies, including the payment of dividends to us, regulation of financial
services affecting (among other things) bank sales and underwriting of insurance
products, regulation of the sale, underwriting and pricing of products, and
health care regulation affecting health insurance products; (xiii) the ultimate
outcome of lawsuits filed against us and other legal and regulatory proceedings
to which we are subject; and (xiv) the risk factors or uncertainties listed from
time to time in our filings with the Securities and Exchange Commission.
Other factors and assumptions not identified above are also relevant to the
forward-looking statements, and if they prove incorrect, could also cause actual
results to differ materially from those projected.
All written or oral forward-looking statements attributable to us are expressly
qualified in their entirety by the foregoing cautionary statement. Our
forward-looking statements speak only as of the date made. We assume no
obligation to update or to publicly announce the results of any revisions to any
of the forward-looking statements to reflect actual results, future events or
developments, changes in assumptions or changes in other factors affecting the
forward-looking statements.
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