AGP Expands TX Operations

Amerigroup Expands Operations in Texas

Company Provides Coordinated Care for more Members than any Other Medicaid Plan in State

VIRGINIA BEACH, Va. (Friday, March 2, 2012) – Amerigroup Corporation (NYSE: AGP) is expanding its operations in Texas, effective March 1, 2012. The award was announced last summer by the Texas Health and Human Services Commission (HHSC) as part of a statewide competitive bidding process.

Amerigroup will retain all existing products in the following markets: Dallas/Ft. Worth, Houston and San Antonio. It will add two new service areas, Lubbock and El Paso and add STAR and CHIP to San Antonio. The Company will no longer participate in the Corpus Christi area or in STAR in Austin.

Additionally, Amerigroup is welcoming new members in 164 counties – the rural service areas of west, central and northeast Texas – and adding services to members in its existing areas. As part of this expansion, the Company is now also providing prescription drug benefits for all products and inpatient hospital services for the STAR+PLUS program.

“Texas is a national leader when it comes to using innovative private sector solutions to increase access to care and improve health outcomes for its citizens, while simultaneously saving taxpayer money,” said James G. Carlson, Amerigroup chairman and chief executive officer.

To continue providing the best quality of service, Amerigroup has opened two new offices in Lubbock and El Paso and added approximately 160 new jobs in Texas - bringing the Company’s total workforce in the state to more than 800 full-time associates.

“We are committed to providing the best support for our members as we expand our operations by investing the resources in Texas to ensure all receive quality coordinated care,” said Aileen McCormick, west regional chief executive officer for Amerigroup. “This award recognizes the significant difference Amerigroup is making to improve the lives of our members throughout Texas. We are grateful to expand our partnership with HHSC.”

As of Dec. 31, 2011, Amerigroup Texas provided care coordination to approximately 632,000 members - more than any other managed care plan in the state.

Last November, Amerigroup opened a new service center in Houston. The center provides call and claims support to the Amerigroup West Region, serving members in Texas, Nevada and New Mexico.

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About Amerigroup Corporation

Amerigroup, a Fortune 500 Company, coordinates services for individuals in publicly funded health care programs. Currently serving more than 2 million members in 12 states nationwide, Amerigroup expects to expand operations in 2012 to Washington, its 13th state, as a result of a previously awarded state contract. Amerigroup is dedicated to offering real solutions that improve health care access and quality for its members, while proactively working to reduce the overall cost of care to taxpayers. Amerigroup accepts all eligible people regardless of age, sex, race or disability.