Connecticut Insurance Commissioner Thomas B. Leonardi Announces Settlement with CIGNA Over Disability Insurance Claims
May 23, 2013
In a news release issued on May 22, 2013, Connecticut Insurance Commissioner Thomas B. Leonardi announced a regulatory settlement with the CIGNA Group over claims handling practices for long-term disability insurance. The regulatory settlement requires companies to:
- Establish a remediation program in which the companies’ enhanced claim procedures will be applied to certain previously denied or adversely terminated claims for residents of states whose insurance commissioners also signed the settlement agreement.
- Participate in a 24-month monitoring program conducted by the insurance departments of the five states involving random sampling and on-going consultation.
- Undergo a re-examination upon completion of the monitoring period.
- Pay fines and administrative fees totaling $1,675,000. Connecticut will receive $150,000 in fees to monitor compliance.
To read Commissioner Leonardi’s complete announcement, click here.