NEW YORK, Aug. 1, 2018 /PRNewswire/ -- GEX Management, Inc. (GEX), a reporting public company (OTCBB symbol GXXM), and Endeavor Plus, Inc. (EPI), a full-service health insurance and benefit company, executed on July 27, 2018 a binding 'LETTER OF INTENT' to finalize, on and or before September 30, 2018, a timely strategic merger Agreement whereby EPI becomes a wholly-owned subsidiary of GEX.
EPI, a healthcare-related company which provides third-party insurance plan administration services, and GEX, a Dallas-based licensed Professional Employer Organization (PEO), have agreed on a plan to deliver comprehensive and cost-effective health insurance through various distribution channels.
Pat Dileo, EPI's CEO, stated that, "$377 billion in annual premiums is being paid by employers directly to insurance carriers. Expanding the distribution of health insurance through the PEO channel, especially to smaller/mid-sized group employers, helps simplify plan administration and helps create more competitive and cost-effective employee benefit plans. In today's tight labor market, this is an imperative for many small businesses that compete for skilled labor."
GEX Management CEO, Carl Dorvil, further stated that, "PEO services are a tremendous resource that have a positive impact on the robust economy and continued economic growth. Adding health insurance along with the services of the PEO makes it even easier for employers to ensure the health and well-being of their employees."
"Due to skyrocketing insurance premiums and fewer plan choices, we are witnessing a decrease in the number of participants in ACA exchanges in this country, and we now see that Association Health Plans are being used to replace the exchanges," Dileo further stated. "This puts PEOs in an advantageous position to help small group employers attract and retain employees in a competitive labor market by providing affordable and manageable health insurance and voluntary benefits."
About Endeavor Plus
Endeavor Plus is a third-party administrator and a medical stop-loss reinsurance company that offers a specially-designed health plan that provides comprehensive major medical health insurance/stop-loss reinsurance with funded health savings accounts, various voluntary employee benefits and an open network of medical providers.
About GEX Management
GEX Management, Inc. is a licensed Professional Employer Organization (PEO) and a Professional Services Company providing comprehensive back-office services to clients including HR, Payroll, Risk & Compliance, Executive Consulting and provides progressive and complete solutions for employee management and operational needs.
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SOURCE GEX Management, Inc.