Cigna Affiliate Owes Disabled Woman Nearly $130,000 in Fees

Life Insurance Co. of North America must pay nearly $130,000 toward the attorneys’ fees of a woman who sued the Cigna-owned insurer over a denied claim for disability benefits.

The July 26 fee award comes four months after a split panel of Sixth Circuit judges said LINA was on the hook for Kimberly Guest-Marcotte’s attorneys’ fees. The panel said LINA was “about as culpable as it otherwise could get” in handling her claim for benefits based on chronic pain. According to the panel, the insurer’s bad behavior warranted the “rare” step of reversing a district judge’s decision on fees.

Judge ...