Verdicts & Settlements

CIGNA forced to pay benefits of $498,000 plus interest and fees after Court Ruling

Before he won the largest verdict in Missouri in 2008, the same client had to go Federal Court to force CIGNA to pay him money he was owed under a Disability Policy that he had through work. CIGNA Insurance Company said that because the man had slight residual movement in his shoulders and lower limbs he had not lost complete use of his limbs within the meaning of its disability policy. CIGNA claimed that a Federal law known as ERISA gave it discretion to deny the benefits that he had paid for through payroll deductions. Matt Davis and Tim Gallagher sued CIGNA in Federal Court. In a decision that is now being used by other lawyers across the country a Federal Court Judge found that CIGNA "committed a procedural irregularity by failing to use proper judgment in reviewing (the) claim result(ing) in a total lack of faith in the integrity of the decision making process." CIGNA didn't even appeal the ruling, but instead paid the full amount of benefits in the amount of $498,000 plus interest and attorneys' fees.


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