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Apr 3, 2025
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Cigna Health Agrees to $2.91 Million Settlement Over Alleged Underpayment of COVID-19 Test Claims

Settlement Image

Deadline

26 days remaining

Deadline: April 29, 2025

Total Settlement Amount

$2.91M

Total amount allocated for all claims

Individual Payout Range

$500

Estimated amount per eligible claim

Proof of Purchase

Required

For class members who spent more than $500 on any COVID-19 test covered by the settlement, supporting documentation must include a receipt or similar document from the healthcare service provider or its billing handler and/or a record from a bank, credit or debit card, or other commonly used payment platform, which shows the relevant information. The information must not contradict the claims data on file provided by Cigna or the information provided in the claim form.

Settlement Summary

In a significant development, Cigna Health and Life Insurance Co. has agreed to a $2.91 million settlement to resolve allegations that it underpaid COVID-19 test claims. The class action lawsuit was filed by Cigna plan members who claimed the insurer failed to fully reimburse them for COVID-19 tests taken between March 27, 2020 and prior to September 1, 2023, leaving them to shoulder the difference. According to the lawsuit, Cigna's actions violated the Employee Retirement Income Security Act (ERISA), a federal law that regulates employee health insurance benefit plans. Eligible class members who felt shortchanged can now claim a proportional share of the settlement fund based on the amount they were underpaid for their tests.

Entities Involved

Cigna Health and Life Insurance Co.
ERISA
Cigna Healthcare
U.S. District Court for the Southern District of New York
Hockenstein v. Cigna Health and Life Insurance Co.
Gabriel Posner
POSNER LAW PLLC
Dmitriy Tishyevich
MCDERMOTT WILL & EMORY LLP

Eligibility Requirements

  • Must have submitted a claim to Cigna for reimbursement from an ERISA healthcare benefits plan for a Covid-19 test obtained between March 27, 2020 and prior to September 1, 2023.
  • The healthcare provider billed more than Cigna approved for payment.

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Important Notice About Filing Claims

Submitting false information in a settlement claim is considered perjury and will result in your claim being rejected. Fraudulent claims harm legitimate class members and may result in legal consequences.

If you are unsure about your eligibility for this settlement, please visit the official settlement administrator’s website using the link provided above. Review the eligibility criteria carefully before submitting a claim.

Class Action Champion is an independent information resource and is not affiliated with any settlement administrator, law firm, or court. We provide settlement information as a service to help connect eligible class members with legitimate settlements.