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Cigna, PacifiCare pay fines

NEWS IN BRIEF — Posted Oct. 15, 2007

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The Colorado Division of Insurance fined Cigna $400,000 for delaying claims processing and inappropriate denials after a market conduct review of Cigna Healthcare of Colorado and Cigna subsidiary Connecticut General Life Insurance.

The state's review covered a sample of claims from 2005. Company spokeswoman Gloria Barone said the insurer paid the fine immediately after the announcement Sept. 25. "Cigna has already remedied or will soon remedy all of the concerns outlined," she said in a written statement.

Meanwhile, Oregon's Dept. of Consumer and Business Services fined PacifiCare, a UnitedHealthcare company, $34,000 after finding the insurer improperly had denied hundreds of claims and ignored state inquiries.

In an e-mail to AMNews, United spokesman Tyler Mason said, "PacifiCare of Oregon acknowledges the enforcement action on behalf of the Oregon Insurance Division (OID). The $34,000 civil penalty has been paid in full."

Note: This item originally appeared at http://www.ama-assn.org/amednews/2007/10/15/bibf1015.htm.

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