CAMBRIDGE, Mass., April 24 — Pegasystems Inc. (Nasdaq: PEGA), the leader in unified process and rules technology, today announced that National Account Service Company (NASCO) LLC has selected Pegasystems' SmartBPM^™ suite to help solve the UB04 compliance initiative for processing inpatient hospital claims. NASCO, a system and services company dedicated exclusively to health benefits processing and systems solutions for many BlueCross^® and BlueShield^® Plans nationwide, will use PegaRULES Process Commander (PRPC) and Pegasystems' Healthcare Payer Industry Framework in support of their healthcare claims that require human intervention.

NASCO offers Plans comprehensive solutions for administering health benefits services to national, regional and local employers. Through reliable, integrated processing and administration of healthcare programs, NASCO's value-added services improve performance and customer satisfaction and provide the selling support Plans need to acquire and retain customers. In today's market, Plans and their customer accounts have a number of choices, and using Pegasystems for future enterprise-wide initiatives enrollment and customer service will allow NASCO to further its best-in-class service so critical to the company's market leadership and competitive advantage.

"In 2005, NASCO developed an updated system management strategy that over the next few years will increase our ability to anticipate and adapt to changing market demands, and offer solutions that are crucial to customer Plan success in retaining and attracting new accounts. We view this partnership with Pegasystems as crucial to some of the technical advancements, application and data architecture changes, and process changes that help us support our Plan customers," says Darin McDonald, Chief Information Officer at NASCO.

Pegasystems' business process management framework will be integrated into NASCO's solution and offered to each of its customer Plans. It helps payers automate and optimize key business processes, such as billing, enrollment, provider contracting, new product development and authorization management. The framework provides these companies with core reusable elements and PRPC provides customers the foundation to rapidly deploy solutions across their entire organization.

"Increasingly, healthcare payers are turning to BPM to find new ways of managing change in their businesses," said Jay Sherry, vice president of Marketing and Solution Frameworks. "Our healthcare framework offers customers vast opportunities for providing value by driving growth and productivity. We are delighted NASCO recognized our strong reputation and look forward to helping them achieve significant results."