Monday, March 28, 2011

Goodwin's Law Prevails

No, not Godwin's Law, Goodwin's, as in Wayne Goodwin, the Tar Heel State's Insurance Commissioner. In some ways, it's old news:

Settlement? What settlement?

This one:

"Cigna Healthcare of North Carolina will pay a $600,000 fine and customer refunds and credits totalling $637,974.98"

That's north of $1 million in fines and restitution, all because of sloppy record keeping and premium calculations, not to mention a consistent failure to process "claims in a timely fashion and ... failing to send acknowledgment letters within three business days for member grievances."

The aforementioned refunds were actually paid out late last summer, but the fines are due now. Incidentally, said fines will be "distributed to the state public school system."

Talk about lessons learned.

[Hat Tip: FoIB Jeff M]
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