Cigna Subsidiary Must Defend Benefits Suit After Fatal Car Crash

The widow of a man who died after crashing his car into a coconut tree will have another chance to seek accidental death benefits from Cigna-owned Life Insurance Co. of North America.

The Ninth Circuit revived Marnie Masuda-Cleveland’s lawsuit after finding the district court wasn’t sufficiently skeptical of LINA’s decision-making process. LINA changed its rationale for denying benefits during the course of processing Masuda-Cleveland’s claim, and it didn’t give her a fair opportunity to offer rebutting evidence, the Ninth Circuit said.

These missteps warranted a closer look at the insurer’s decision, according to the court.

Masuda-Cleveland sought accidental death ...