Cigna lawsuit over algorithm allegations could be first of many
July 25, 2023
Two Cigna members filed a lawsuit seeking class-action status in a California federal court on Monday, alleging the health insurance company leveraged an algorithm to improperly deny claims and systematically shift costs to its 2.1 million Golden State members. Lawyers anticipate more insurers will be hit with similar complaints as carriers increasingly automate their claims management processes.
“PXDX is a simple tool to accelerate physician payments that has been grossly mischaracterized in the press,” a Cigna spokesperson wrote in response to a request for comment. “The facts speak for themselves and we will continue to set the record straight.”