Cigna Insurance Bad Faith Claims
Cigna is one of the nation’s—and the world’s—largest providers of life, health, and long-term disability insurance. Cigna offers various types of insurance coverage and plans, including group universal life insurance, HMO plans, and administration of group dental and health benefit plans for employers. Across the country, Cigna has been targeted by regulators and individual lawsuits for violating laws governing good faith payment of benefits and claims. As a result of its unfair claim handling, the company has been hit by multi-million-dollar judgments and administrative fines.
Don’t let the insurer’s self-interests deprive you of the benefits and compensation you’re owed under the terms of your policy. If you’ve been the victim of a wrongful claim denial by Cigna or another health insurer, get skilled legal help in receiving what you’re owed by contacting the Los Angeles bad faith insurance lawyers at Gianelli & Morris.
Cigna faces consequences for improper claim handling practices
Cigna’s reputation, particularly in regard to long-term disability claims, is that of a corporation often found to be denying its customers the fair payment of their claims and benefits. The most noteworthy example was that of a lawsuit spanning multiple states which alleged that Cigna had improperly handled thousands of long-term disability claims. Cigna eventually agreed to revise its claim-handling practices and pay out up to $77 million to affected claimants across the country, including those in California.
California Department of Insurance Targets Cigna for improper claim handling
Unfortunately for Cigna, its problems did not end there. The massive lawsuit drew the attention of California’s insurance regulators to the company’s claim-handling practices and resulted in even more penalties and fines for the multinational insurer. California regulators found that Cigna had ignored disability determinations made by the Social Security Administration when denying disability benefits, ignored the medical opinions provided by independent physicians, and failed to include the information provided through Workers’ Compensation records when making coverage decisions. Ultimately, the California Department of Insurance imposed over $2 million in fines, penalties, and administrative fees on Cigna for their bad faith claim handling procedures.
How Cigna exhibits bad faith when handling long-term disability claims
There are many reasons that Cigna and other insurers offer when denying claims. In some cases, these reasons provide a valid basis for the denial of a claim. Often, they are used as ways to get a claimant to abandon their pursuit of benefits, thus potentially saving the insurer from paying out thousands or tens of thousands of dollars in benefits. Common reasons for bad faith claim denials include:
- Policy lapse from failure to pay premiums
- An insurer’s claim that the condition pre-existed the point when coverage began
- The claimant included materially false information in their application or failed to include material information about the claimant’s health history, justifying rescission of the policy
- The claim is excluded from coverage under the terms of the policy
- The claimant is not as incapacitated as they claim, based on information provided by private investigators
- The claimant failed to provide evidence of the claim by deadlines listed in the policy
Take immediate action when you suspect you have a bad faith claim based on unfair insurance company practices
If you have had your valid claim for health or long-term disability benefits unfairly denied by Cigna, there are a number of steps you can start to take immediately to protect your rights, document the unfair practices, and secure the benefits that are due to you. The compassionate and professional Los Angeles bad faith insurance lawyers at Gianelli & Morris have helped their clients contest all manner of disingenuous and fraudulent insurance claim denials. Our seasoned and trial-ready attorneys have decades of experience in successfully challenging wrongful insurance claim denials in California and can help you get the benefits you need along with the damages you may be owed as the result of the insurer’s bad faith. Contact our Los Angeles offices today for a no-cost consultation on your bad faith insurance denial claim.