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Alarming Increase in CIGNA Claim Denials After New York Life Acquisition

Tucker Law Group
June 10, 2021

In the recent weeks, CIGNA disability insurance policyholders have witnessed a rise in disability claim denials and terminations. This increase occurs just months after the completion of New York Life’s acquisition of CIGNA’s group life, accident, and disability insurance business.

At Tucker Law Group, our disability attorneys have seen this time and time again. When one insurance company sells a book of business to another, the acquiring company begins denying claims and terminating benefits.

It is impossible to know with certainty if we will continue to see an increase in disability claim denials and termination of benefits. However, you should be aware of how this could affect your CIGNA claim. Below, we discuss the acquisition, what claimants may notice and how they can protect their benefits.

The New York Life Acquisition of CIGNA

CIGNA sold its group long term disability division of its business to New York Life. This is a $6.3 billion dollar deal that now makes New York Life a top five insurer across group life, accident and disability insurance.

We have witnessed several insurance company acquisitions over the course of the last 25 years. In our experience, a company that buys the previous company’s book will typically review and terminate as many claims as it can to reduce the amount it is paying out. Why will the insurer do this? The company is responsible for paying out on claims that they never got any premiums for.

What CIGNA Claimants May Notice

Are you a CIGNA policyholder? Do you have an approved claim or a claim that is pending approval? If so, be aware that there may be heightened scrutiny of your claim. As a CIGNA claimant, you are likely to notice the following:

  • Increased claims forms
  • Increased calls from adjusters
  • Doctors from New York Life contacting your doctors

It is important to understand that you could experience more active claim investigations. If you are concerned about your claim or begin to witness an increase in scrutiny of your claim, speak with a disability long term disability insurance attorney.

Our attorneys are a resource for claimants in all stages of the long term disability insurance

claim process. We make it our mission to keep our clients and individuals like yourself informed.

Visit our video library to learn more on how the acquisition may affect CIGNA disability claims.

Need Help Protecting Your CIGNA Claim? Contact Our Legal Team.

When you need help to protect your disability benefits or appeal your claim, you can rely on the legal team at Tucker Law Group. For ERISA claims, we can help with more active claim investigations, appealing a denied claim, monitoring a claim and litigating a claim on behalf of clients nationwide.

Our attorneys have extensive experience fighting insurers such as CIGNA and New York Life. If you have concerns about your claim, call (866) 233-5044 or contact us online to request a free consultation.