Benefitfocus.com Breaks Ground on New Daniel Island Headquarters

Charleston, SC - December 13, 2005 - On Wednesday, December 14, Benefitfocus.com, Inc. will break ground on its new headquarters and corporate campus on Daniel Island. The software company plans to relocate from its current location in Mount Pleasant in order to expand its workforce and operations in a new 65,000 square foot facility.

"Benefitfocus has seen tremendous growth in the past five years," said Mason Holland, co-founder and Board Chairman of Benefitfocus. "The new, larger facility will have state of the art technology, which will offer a fantastic work environment to compliment our enormously talented workforce."

Benefitfocus, the fastest growing technology company in the state, currently employs 230 associates nationwide, up from 148 at the start of 2005. The company expects to reach a workforce of 400 high tech employees over the next 24 to 36 months.

"Benefitfocus is a wonderful addition to the technology companies on Daniel Island," said Mayor Joseph P. Riley, Jr. "Their location to Daniel Island in the City of Charleston further validates the stability and health of our economy and the obvious advantages of a technology industry."

The new office complex will be composed of two buildings totaling 145,000 square feet of Class A office space. The first building, with 65,000 square feet, will be the Benefitfocus Corporate Headquarters and will house the majority of the corporation's employees and anticipated growth for the next several years. The second, to be named the Daniel Island Executive Center, will have 80,000 square feet and will be leased to commercial and professional tenants.

The groundbreaking ceremony will begin at one o'clock on December 14, at 125 Fairchild Street on Daniel Island.

About Benefitfocus.com:

Benefitfocus.com, Inc. (Benefitfocus) is the leading provider of employee benefits software and services. It offers employees and employers secure, online access to benefits and human resource information. Benefitfocus' suite of products and services includes large and small group electronic enrollment, electronic billing, and data exchange services. It replaces time-consuming, expensive and error-prone paper processes allowing companies to administer all of their benefit offerings through one interface. This one-to-many platform substantially speeds up benefit enrollment and administration while reducing overall costs and greatly improving communication to the employee. For more information, please visit www.benefitfocus.com.