Health Net Federal Services is Awarded URAC Health Network Reaccreditation

Business Editors/Healthcare Editors

RANCHO CORDOVA, Calif.--(BUSINESS WIRE)--June 27, 2008--Health Net Federal Services, LLC, the government operations division of Health Net, Inc. (NYSE:HNT), today announced that it has been awarded Health Network Reaccreditation from URAC, a Washington, D.C.-based health care accrediting organization that establishes quality standards for the health care industry. URAC’s Health Network Accreditation includes key quality benchmarks for network management, provider credentialing, quality management and improvement, and consumer protection. Health Net also holds current URAC accreditations for Health Utilization Management, Case Management, HIPAA Privacy and maintains ISO 9001:2000 registration.

“Health Net’s URAC reaccreditation demonstrates our organization’s commitment to quality and accountability throughout our business practices,” said Steve Tough, president, Health Net Federal Services. “Accreditation in accordance with these rigorous standards supports our mission to provide access to high-quality care for our TRICARE beneficiaries.”

Health Net, the managed care support contractor for the TRICARE North Region, has a long history of providing cost-effective, quality managed health care programs for government agencies.

Under the TRICARE North contract, Health Net provides health care services to more than 3 million uniformed services beneficiaries, active and retired, and their families. The North Region includes: Connecticut, Delaware, the District of Columbia, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, Vermont, Virginia, West Virginia and Wisconsin. In addition, the contract covers a small portion of Tennessee, Missouri and Iowa.

“We applaud Health Net Federal Services on achieving URAC Health Network Reaccreditation,” said Alan P. Spielman, URAC president and CEO. “In today’s health care market, URAC accreditation provides a mark of distinction for organizations to demonstrate their commitment to quality health care.”

URAC, an independent, nonprofit organization, is a leader in promoting health care quality through accreditation and certification programs. URAC’s standards keep pace with the rapid changes in the health care system and provide a mark of distinction for health care organizations to demonstrate their commitment to quality and accountability. Through its broad-based governance structure and an inclusive standards development process, URAC ensures that all stakeholders are represented in setting meaningful standards for the health care industry. For more information, visit www.urac.org.

About Health Net Federal Services

Health Net Federal Services, LLC, a subsidiary of Health Net, Inc., has a long history of providing cost-effective, quality managed health care programs for government agencies including the Departments of Defense and Veterans Affairs. As the managed care support contractor for the TRICARE North Region, Health Net provides health care services to over 3 million uniformed services beneficiaries, active and retired, and their families.

Health Net, Inc. is among the nation’s largest publicly traded managed health care companies. Its mission is to help people be healthy, secure and comfortable. The company’s health plans and government contracts subsidiaries provide health benefits to approximately 6.8 million individuals across the country through group, individual, Medicare, Medicaid and TRICARE and Veterans Affairs programs. Health Net’s behavioral health subsidiary, MHN, provides mental health benefits to approximately 6.9 million individuals in all 50 states. The company’s subsidiaries also offer managed health care products related to prescription drugs, and offer managed health care product coordination for multi-region employers and administrative services for medical groups and self-funded benefits programs.

For more information on Health Net, Inc., please visit the company's Web site at http://www.healthnet.com/. For more information on Health Net Federal Services, please visithttp://www.healthnetfederalservices.com/.

Cautionary Statements

All statements in this press release, other than statements of historical information provided herein, may be deemed to be forward-looking statements. These statements are based on management’s analysis, judgment, belief and expectation only as of the date hereof, and are subject to uncertainty and changes in circumstances. Without limiting the foregoing, the words “believes,” “anticipates,” “plans,” “expects,” “may,” “should,” “could,” “estimate,” “intend” and other similar expressions are intended to identify forward-looking statements. Actual results could differ materially due to, among other things, rising health care costs, negative prior period claims reserve developments, trends in medical care ratios, unexpected utilization patterns or unexpectedly severe or widespread illnesses, membership declines, rate cuts affecting our Medicare or Medicaid business, issues relating to provider contracts, litigation costs, regulatory issues, operational issues, health care reform and general business conditions. Additional factors that could cause actual results to differ materially from those reflected in the forward-looking statements include, but are not limited to, the risks discussed in the “Risk Factors” section included within the company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements. The company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date of this release.