Disability Insurer Profiles #3: Cigna/LINA

Cigna is one of the largest disability insurance companies, reporting total revenues of $41.6 billion and assets of $61.8 billion in 2017.[1] Notably, in 2013, Cigna entered into a Regulatory Settlement Agreement, which required Cigna to pay a fine of $1.6 million dollars and reevaluate past claims that had been denied due to improper claims practices.[2]

If you have a Cigna/LINA policy, it is important to read how disability is defined because, in some Cigna policies, the definition of disability changes after a certain period of time. For example, in Teague v. LINA[3], a case involving a registered nurse with Chrohn’s disease and arthritis, the LINA policy provided:

The Employee is considered Disabled if, solely because of Injury or Sickness, he or she is unable to perform all the material duties of his or her Regular Occupation or a Qualified Alternative.

After Disability Benefits have been payable for 18 continuous months, the Employee is considered Disabled if, solely due to Injury or Sickness, he or she is unable to perform all the material duties of any occupation for which he or she is, or may reasonably become, qualified based on education, training or experience (emphasis added).

Additionally, Cigna policies sometimes define disability differently for different classes of covered employees.[4] Accordingly, if you have a Cigna policy, there is sometimes an additional, threshold determination that must be made regarding what class you fall under, before the applicable definition of disability can be determined.

These are just a few examples of things to be aware of if you have a Cigna policy or claim with Cigna. Not all Cigna policies are identical, and they are updated frequently. Your policy may or may not include the provisions mentioned above. If you are considering filing a disability claim, you should consult with an experienced disability insurance attorney to learn more about your policy and any potential issues related to your particular claim.

[1] https://www.cigna.com/assets/docs/annual-reports-and-proxy-statements/cigna-2017-annual-report.pdf.

[2] http://www.insurance.ca.gov/0400-news/0100-press-releases/2013/release044-13.cfm.

[3] Teague v. Life Ins. Co. of N. Am., No. 1:08-CV-3228-CAP, 2010 WL 11603074, at *1 (N.D. Ga. Aug. 20, 2010).

[4] See, e.g., Hodges v. Life Ins. Co. of N. Am., No. 14-CV-00958-WYD-NYW, 2018 WL 2753077 (D. Colo. June 7, 2018).


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