Alliance Healthcard's Health Savings Card Purchased by State Farm Insurance for Its Medicare Supplement Policyholders

Business Wire, May 22, 2002

Business Editors & Health Writers

ATLANTA--(BUSINESS WIRE)--May 22, 2002

Alliance HealthCard, Inc. (OTCBB: ALHC) announced today the signing of a renewable three-year contract with State Farm Mutual Automobile Insurance Company a health savings card to be called the Good Neighbor Advantage Card.

State Farm will purchase the savings cards directly from Alliance. The State Farm Good Neighbor Advantage Card will be distributed by Alliance to State Farm's national Medicare supplement policyholders at no cost to them. Alliance and State Farm anticipate that almost 200,000 policyholders will receive the card by year's end. The Good Neighbor Advantage Card will give these policyholders discounts on their drug purchases within Alliance's drug store network that exceeds 45,000 stores nationwide.

In addition to discounts on their drug purchases, the Alliance Good Neighbor Advantage Card will entitle State Farm policyholders to discounts on vision, dental, hearing, chiropractic and alternative medicine services; and diabetes management and supplies.

A 24-hour nurse line service will also be available under the Good Neighbor Advantage Card.

State Farm designed this program to help its senior Medicare supplement policyholders save money on services not covered by Medicare. Many seniors have limited resources for healthcare expenses.

"We are delighted with this new partnership with State Farm and the opportunity to provide its Medicare supplement policyholders valuable healthcare savings," said Robert D. Garces, Chairman and Chief Executive Officer, Alliance HealthCard. "At a time when health care costs are accelerating, State Farm is to be commended for its vision in providing, at no cost to its policyholders, this important benefit," Garces added.

Alliance HealthCard is a leading national healthcare provider delivering prescription and healthcare service savings programs. The company primarily focuses on selling its products through retail pharmacies, alternative medicine practitioners, and health insurers. Alliance has a national network of over 300,000 healthcare professionals in 16 different major specialty areas and markets other goods and services at discounts to its members. For additional information on Alliance HealthCard, please visit its website at www.alliancehealthcard.com or contact Robert D. Garces, Chief Executive Officer.