{"id":2956,"date":"2025-11-27T15:56:06","date_gmt":"2025-11-27T15:56:06","guid":{"rendered":"https:\/\/wealthylifestyle.online\/?p=2956"},"modified":"2025-11-27T15:56:06","modified_gmt":"2025-11-27T15:56:06","slug":"cigna-5-7m-out-of-network-claims-class-action-settlement","status":"publish","type":"post","link":"https:\/\/nerdwallett.xyz\/?p=2956","title":{"rendered":"Cigna $5.7M Out-of-Network Claims Class Action Settlement"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Published<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">November 21, 2025 9:49 AM<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Updated<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">November 27, 2025<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Individuals covered by health benefits under a LocalPlus plan Cigna administered and who received an explanation of benefits that incorrectly listed their provider as in-network when they were actually out-of-network due to a system error may be eligible to submit a claim for a cash payment from a&nbsp;<a href=\"https:\/\/www.claimdepot.com\/settlements\" target=\"_blank\" rel=\"noreferrer noopener\">class action settlement<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Cigna Health and Life&nbsp;<a href=\"chrome-extension:\/\/ecabifbgmdmgdllomnfinbmaellmclnh\/data\/reader\/template.html#\">&nbsp;Insurance<\/a>&nbsp;Co. agreed to pay $5.71 million to resolve a class action lawsuit alleging it misclassified certain out-of-network health care providers as in-network, which resulted in some members receiving unexpected balance bills.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Who can file a Cigna settlement claim?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Class members must meet the following criteria:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>A LocalPlus Plan for which Cigna provided administrative services covered them for health benefits.<\/li>\n\n\n\n<li>They received medical treatment and an explanation of benefits from Cigna indicating the provider was in-network.<\/li>\n\n\n\n<li>The provider they received treatment from was actually out-of-network due to a configuration error in Cigna\u2019s system.<\/li>\n\n\n\n<li>They received a balance bill because the provider did not honor in-network status.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">How much is the class action payout?<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Pro rata cash payment:<\/strong>\u00a0Eligible class members can submit a claim to receive a pro rata cash payment. The settlement administrator will determine the final amount by the number of valid claims.\n<ul class=\"wp-block-list\">\n<li>If the total value of all approved claims is $300,000 or less, each claimant will receive the full amount of their documented balance bill, including interest, penalties or debt collection fees directly related to the balance bill.<\/li>\n\n\n\n<li>If the total value of approved claims exceeds $300,000, each claimant will receive a proportional share of the $300,000 fund and not the total balance bill amount.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Injunctive relief:<\/strong>\u00a0Cigna will not recategorize any additional LocalPlus Plan out-of-network claims coded as in-network in error.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">How to claim a class action rebate<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">To receive a settlement payment, eligible class members must submit a claim form. They can&nbsp;<a href=\"https:\/\/cignalocalplussettlement.com\/submit-claim\" target=\"_blank\" rel=\"noreferrer noopener\">submit a claim online<\/a>&nbsp;or print snd mail a&nbsp;<a href=\"https:\/\/angeion-public.s3.amazonaws.com\/www.cignalocalplussettlement.com\/docs\/Hecht%20v.%20Cigna%20-%20Claim%20Form.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">PDF claim form<\/a>&nbsp;to the settlement administrator. Class members must submit their claim online or postmark it by Jan. 5, 2026.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Settlement administrator&#8217;s mailing address:<\/strong>&nbsp;Cigna LocalPlus Settlement Administrator, Attn: claim forms, 1650 Arch St., Suite 2210, Philadelphia, PA 19103<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Additional instructions:<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Class members must:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Provide their name, address, phone number, email, Cigna member ID and Cigna claim ID<\/li>\n\n\n\n<li>Attach proof of the balance bill or, if unpaid, a signed affirmation that they will use settlement funds to pay the balance bill<\/li>\n\n\n\n<li>Certify under penalty of perjury that the information is accurate and that they meet the class criteria<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Required proof and claim information<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>To submit an online claim, class members must provide the notice ID and confirmation code from their settlement notice.<\/li>\n\n\n\n<li>The claim form requires the Cigna member ID and Cigna claim ID.<\/li>\n\n\n\n<li>All class members must provide proof of the balance bill they received from the health care provider.<\/li>\n\n\n\n<li>Class members who have paid their balance bill must provide proof of payment, including any interest, penalties or debt collection fees incurred.<\/li>\n\n\n\n<li>Class members who have not paid their balance bill must submit a signed attestation agreeing to use the settlement payment to pay the owed balance bill, including any interest, penalties,or debt collection fees.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">$5.71 million settlement fund<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The $5,712,152.03 settlement fund includes:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Attorneys&#8217; fees and costs:\u00a0<\/strong>$750,000<\/li>\n\n\n\n<li><strong>Service awards to class representatives:\u00a0<\/strong>$10,000 each ($20,000 total)<\/li>\n\n\n\n<li><strong>Cash payments to approved claimants:<\/strong>\u00a0$300,000<\/li>\n\n\n\n<li><strong>Injunctive relief:<\/strong>\u00a0$4,642,152.03<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">The defendant will pay settlement administrator costs separately.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Important dates<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Deadline to file a claim:<\/strong>\u00a0Jan. 5, 2026<\/li>\n\n\n\n<li><strong>Opt-out deadline:<\/strong>\u00a0Jan. 5, 2026<\/li>\n\n\n\n<li><strong>Final approval hearing:<\/strong>\u00a0March 24, 2026<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">When is the Cigna out-of-network settlement payout date?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The settlement administrator will issue payments to valid claimants after it completes claim processing and the court grants final approval of the settlement.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Why is there a class action settlement?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">This class action lawsuit alleged Cigna violated the Employee Retirement Income Security Act by misclassifying certain out-of-network providers as in-network due to a configuration error. As a result, some members received unexpected balance bills.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Cigna denies any wrongdoing but agreed to settle to avoid the risks and expense of further litigation.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Sources<\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li><a href=\"https:\/\/angeion-public.s3.amazonaws.com\/www.cignalocalplussettlement.com\/docs\/Hecht%20v.%20Cigna%20-%20Long%20Form%20Notice.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Official class notice<\/a><\/li>\n\n\n\n<li><a href=\"https:\/\/cignalocalplussettlement.com\/faqs\" target=\"_blank\" rel=\"noreferrer noopener\">Official settlement website FAQ page<\/a><\/li>\n\n\n\n<li><a href=\"https:\/\/angeion-public.s3.amazonaws.com\/www.cignalocalplussettlement.com\/docs\/Settlement%20Agreement.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Official settlement agreement<\/a><\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"<p>Published November 21, 2025 9:49 AM Updated November 27, 2025 Individuals covered by health benefits under a LocalPlus<\/p>\n","protected":false},"author":1,"featured_media":2957,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-2956","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-class-action-settlements"],"_links":{"self":[{"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/posts\/2956","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2956"}],"version-history":[{"count":0,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/posts\/2956\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=\/wp\/v2\/media\/2957"}],"wp:attachment":[{"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2956"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2956"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nerdwallett.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2956"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}