CIGNA BANNED FROM MEDICARE SALES
Cigna Corp. was banned from marketing its Medicare products to
new customers, after the U.S. found deficiencies in how the health insurer ran
its plans, citing widespread violations that the government said threatened
patients’ health.
“Cigna has experienced widespread and systemic
failures impacting Cigna enrollees’ ability to access medical services and
prescription medications,” the U.S. said in a Jan. 21 letter to the insurer
outlining the sanctions. “Cigna has had a longstanding history of
non-compliance with CMS requirements.”
The Centers for Medicare
and Medicaid Services, or CMS, suspended Cigna from marketing and selling
Medicare Advantage and Part D plans to new clients, the insurer said Friday in
a regulatory filing.
Cigna and other insurers
offer a privately run alternative to traditional Medicare, which includes
insurance coverage for hospital and doctor care, known as Medicare Advantage,
as well as prescription drug coverage, or Part D. The agency found problems
involving Cigna’s appeals and grievances process, as well as with its drug
coverage.
Because of those
deficiencies, the government said it “determined that Cigna’s conduct poses a
serious threat to the health and safety of Medicare beneficiaries.” Cigna
clients who are affected by the issues cited by CMS can drop their Cigna
coverage and buy policies from other insurers.
“Cigna is working to resolve these matters as
quickly as possible and is cooperating fully with CMS on its review,” the
health insurer said in the filing, adding that the sanctions don’t affect
benefits offered to current enrollees. Matt Asensio, a company spokesman, had
no immediate comment.
