CIGNA Agrees to $77 Million Settlement, Giving Wrongfully Denied Policyholders a Chance to Have Claims Reassessed, Top Disability Lawyer, Frank N. Darras Says, ACT NOW - Insurance News | InsuranceNewsNet

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May 29, 2013 Newswires
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CIGNA Agrees to $77 Million Settlement, Giving Wrongfully Denied Policyholders a Chance to Have Claims Reassessed, Top Disability Lawyer, Frank N. Darras Says, ACT NOW

PR Web

Ontario, CA (PRWEB) May 29, 2013

America’s top disability attorney, Frank N. Darras, offers critical information for policyholders denied benefits from CIGNA Health and Life Insurance Company and its subsidies, Connecticut General Life Insurance Company and Life Insurance Company of North America. The completion of an investigation into CIGNA, by  five lead states, including California, led to a settlement where CIGNA was ordered to pay around $1.6 million in fines and fees. The Company and its subsidiaries also set aside $77 million for projected payments to policyholders whose claims weren’t handled properly.

“Policyholders want to know what this means and what they should do about it now. Affected policyholders include those whose claims were handled between  January  1, 2008 to December 31, 2010.  It’s important for them to know that they have a right to have their claim reviewed.  In fact, any consumer who believes their claims may have been mishandled and were processed prior to or following the examination date should have their claim looked at again,” says Darras.

CIGNA spokeswoman Amy Turkington stated that the company has updated its claims-handling processes as state standards for claims procedures have evolved overtime.  As part of the settlement, CIGNA has agreed to voluntarily review an isolated subset of claims under now updated standards. Under this settlement, CIGNA is also required to enhance claims procedures in the future and participate in a two-year monitoring program conducted by the insurance departments of the five lead states.

Darras advises affected policyholders to take these steps within 60 days from the date of notice in order to be reconsidered:

1. If the consumers claim for disability insurance benefits was denied or terminated on or after January 1, 2008, and before December 31, 2010 by or one of its subsidies, they are entitled to have their claim reevaluated under new claims standards 

2. If CIGNA notifies the policyholder to ask for reassessment of their claim and they responded timely to the letter, they do not need to make a new request 

3. If a notice was never received, the policyholder should request a reassessment now by calling the department’s Consumer Services Division toll free at 800-927-4357 (HELP) 

4. If policyholders are unsure if they qualify or have questions about the claim re-evaluation process, the companies have set up a temporary telephone line at 855-625-5518

“If you feel your claim qualifies to be reviewed, don’t put it off, take action now. Failure to do so within the allotted time frame will result in a loss of this opportunity to have your claim reassessed.  Also know that by having your claim to be reassessed, you waive certain legal rights should you receive payment of your benefits.  These rights may be outlined in a notice document.  Consulting a top disability lawyer or firm, will help you navigate the paperwork and provide clarity before giving up any of your rights,” says Darras.

Individuals with questions are encouraged to call 800-458-4577 or visit http://www.DarrasLaw.com.

About California Department of Insurance

Life Insurance Corporation of America ("LINA") and the California Department of Insurance entered stipulation and waiver in File No.: UPA 2012 00018 on 5/10/2013 signed by Matthew G. Manders, President.

The following press release by the California Dept. of Insurance issued the following press release: May 24, 2013 in Sacramento, CA, Insurance Commissioner announces multi-state settlement for improper disability claim handling practices case against major insurer; CIGNA to pay $1.6 Million in fines/fees and up to $70 Million to policyholders

About DarrasLaw 

DarrasLaw, its attorneys, including founder Frank N. Darras, the nation’s top disability insurance attorney, have received numerous honors and awards from peers, validating the claim that we are America's top disability firm. Lawdragon has singled out Frank N. Darras for five years in a row as one of the Top 500 Lawyers in America. Since its inception, Super Lawyers has honored him by naming him to its list for his work with disability insurance policyholders. The American Association of Justice lists him as one of the Top 100 Trial Lawyers in California. Best Lawyers in America has profiled DarrasLaw and the firm's accomplishments on behalf of the disadvantaged and disabled.

At DarrasLaw, our compassion goes hand-in-hand with our legal expertise. We take pride not only in the results we achieve, but the care our team provides along the way. We hire only the top disability attorneys and staff, including our in-house nurse, for their compassion as much as their expertise and knowledge. Hiring the cream of the crop has been critical to maintaining our position as America's top disability firm.

Our national reach plays a role too. People from all 50 states turn to us for help with individual disability insurance matters.

Nationwide, we review more than 2,500 claims a month. In any given year, we handle more cases than many firms handle in their lifetime. We have recovered more than $750 million in wrongfully denied insurance benefits.

Darras is available for interviews. Contact robin(at)mcdavidpr(dot)com.

Read the full story at http://www.prweb.com/releases/2013/5/prweb10778025.htm

Copyright:  (c) 2013 PRWEB.COM Newswire
Wordcount:  830

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