At the end of 2020, New York Life completed the acquisition of Cigna’s disability insurance business for over $6 billion. The acquisition represented the largest in New York Life’s history.
For those who have Cigna disability insurance, the news that New York Life acquires Cigna may cause concern. And the lawyers of Herbert M. Hill, PA would advise you to take this change seriously. Following similar mergers and acquisitions of other disability insurance carriers in the past has led to the overhaul in the administration of short and long-term disability claims. Most commonly, the changes initiated do not benefit the claimant. The reason for this results from the duplication of the workforce among the merging or acquiring/acquired insurance carriers. The sale of a disability insurance carrier creates an internal fear within the company of job insecurity. Cost savings is the most serious metric that a claims representative may use to show their value to the new company. Claim representative will begin to baton down the hatches and deny claims that do not deserve a denial. Indeed, claimants that have been on claim for years may suddenly find themselves in a denial posture without much recent change to their medical evidence, treatment, or functionality.
These Types Of Acquisitions Have Happened Before
This was the case when Lincoln Financial acquired Liberty Mutual’s disability insurance business. And prior to that, when Hartford Financial
purchased Aetna’s life and disability businesses. These previous transactions resulted in denial or terminations of disability claims and a corresponding uptick in phone calls to our office by concerned claimants. Our lawyers know how to best navigate these stall tactics, usually disguised as a practice called tolling.
Cigna policyholders may also find that they experience delays in the administration of their, claims. In a settlement situation, a claim may be undervalued and any offer found to be unsatisfactory. Our firm has represented hundreds of Cigna and New York Life claimants. We are very familiar with their dilatory tactics which they employ in order to delay, deny or otherwise undervalue your claim.
If The News That New York Life Acquires Cigna Has Affected You – Contact Our Office
If you are concerned that the acquisition of your policy by New York Life may affect your rights as a policyholder or you have been recently denied your claim for Short or Long Term Disability benefits by New York Life, please call our office for a free consultation in order to better understand your rights under your disability insurance policy.
