Novus Adds Kerr Insurance Brokers for Third Party Administration

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Improves Efficiencies in Administration and Sales

MIAMI, FL / ACCESSWIRE / February 6, 2017 / Novus Acquisition and Development, Corp. (OTC PINK: NDEV), through its wholly owned subsidiary WCIG Insurance Services, Inc., is a diversified insurance entity in health, liability, annuity, and accident, and the nation's first carrier/aggregator offering a cannabis health plan, announced today the addition of Kerr Insurance Brokers, Inc. ("Kerr") to act as Novus' Third Party Administrator in policy underwriting activities and closings of lead generation.

As Novus' marketing efforts are becoming more effective, the geo-fencing and cross digital device marketing platform strategies are beginning to produce measurable results. Leads are flowing in more consistently, so it was appropriate now to align with Kerr Insurance Brokers who will handle all the administrative duties for Novus. Third-party administrators (TPA's) provide a variety of services to the insurance industry. In regards to Novus, Kerr will assist with the new lead generation opportunities and help expedite the closing of customer policies, while providing timely customer service and help in underwriting of policies.

Kerr will also provide risk management, billing services, insurance agent training, data and analytics, and in some cases give expertise in expansion to new markets. Novus views Kerr as an experienced guide in claims handling, and most importantly, truly an extension of the sales department that will procure patient members for Novus more expeditiously, without increasing overhead or the burn rate. This alliance will free up Novus to concentrate more on marketing efforts in lead generation and the expansion of patient benefit packages.

Frank Labrozzi, Novus' Chief Executive Officer, stated, "We are confident in Kerr's ability to deliver quality assurance metrics and cost analysis that show that the Novus MedPlan is being handled and serviced in a professional, timely, and cost effective manner. Kerr's contract includes a 35% fee on administrative and patient procurement, a 15% cost reduction to Novus's bottom line, since the typical cost to an insurance company is approximately 50%. We view this as an optimal way to conduct business in being able to deliver high quality service and deliver high margins to our insurance programs."

Andrew Kerr, Kerr Insurance Brokers' Chief Executive Officer, stated, "We are excited to work more closely with Novus MedPlan and assist in their administration and sales operations. While we have been shareholders of Novus well before we became their TPA, we have been impressed with the company's management and intimate knowledge of the MMJ industry. Not only do they possess the foresight to see the potential for where this industry is headed, but they also understand the needs for patients to access affordable alternative care. The culture Novus has developed is nothing shy of high quality and care for policyholders, as well as shareholders. Kerr Insurance has built it's business with these same values and we look forward to working with Novus to deliver exceptional healthcare to the industry, and we now look forward to being active in helping their business grow in an efficient and scalable model."

About Kerr Insurance Brokers, Inc.

Kerr Insurance Brokers, Inc. is a business founded by Andrew T. Kerr , Rebecca H. Kerr, and Mike Ginsberg in 2008. Kerr Insurance Brokers, Inc. is an independent insurance firm that accesses over 150 commercial insurance companies and health insurance companies. Kerr insures over 450 businesses throughout California and other western states. We believe the future of our economy is the small business sector and, as technology advancements take place, more independent small businesses and consulting firms will open their doors. These disruptive industry trends will continue to create new regulatory changes and economic shifts that will forever change the way businesses operate in the United States. Like never before, the small business sector will require a risk management relationship that can manage liability, keep employees protected, and understand the dynamic of a small business culture without conflict and limitations.

For more information, please visit: http://www.inskerr.com.

About Novus

Novus Acquisition & Development Corp. (NDEV), through its subsidiary WCIG Insurance, provides health insurance and related insurance solutions within the wellness and medical marijuana industries in states where legal programs exist. Novus has developed its infrastructure within many lines of the insurance business such as, health, property and casualty, life, accident, and fixed annuities.

Novus medical cannabis benefits package will work as outside developers and will not cultivate, handle, transport grow, extract, dispense, put up for sale, put on the market, vend, deliver, supply, circulate, or trade cannabis or any substances that violate the United States law or the Controlled Substances Act, nor does it intend to do so in the future and will continue to follow state and federal laws. The statements made about specific products have not been evaluated by the United States Food and Drug Administration (FDA) and are not intended to diagnose, treat, cure, or prevent disease. All information provided on these press releases or any information contained on or in any product label or packaging is for informational purposes only and is not intended as a substitute for advice from your physician or other health care professional. Once a push notification is competed, the transaction is solely between the state-licensed dispensary and the registered patient.

The state laws are in conflict with the federal Controlled Substances Act. The current administration has effectively stated that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by state designated laws, allowing the use and distribution of medical marijuana. However, there is no guarantee that the current administration, nor any future administration, will not change this policy and decide to enforce the federal laws strongly. Any such change in the federal government's enforcement of current federal laws could cause significant financial changes to Novus Medical Group. While we do not intend to harvest, distribute, or sell cannabis or cannabis related products, we may be harmed by a change in enforcement by federal or state governments.

Forward-Looking Statements

This release includes forward-looking statements, which are based on certain assumptions and reflects management's current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, includes codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. Novus Medical Group disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact Information

Corporate:
Chairman and CEO
Frank Labrozzi
frank@ndev.biz
855-228-7355

Investors:
Hayden IR
hart@haydenir.com
917-658-7878

SOURCE: Novus Acquisition & Development Corp.

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