Prudential Loses Round Over ERISA Claims Procedure Rules

Prudential Insurance Co. of America won’t get the benefit of more lenient judicial review in a lawsuit challenging its decision to deny a woman’s claim for disability benefits (Salisbury v. Prudential Ins. Co. of Am., 2017 BL 61015, S.D.N.Y., No. 1:15-cv-09700-AJN, 2/28/17).

Because Prudential took more time processing the woman’s claim than is allowed by Department of Labor regulations, a New York-based federal judge said Feb. 28 that the insurer forfeited its right to a more favorable judicial review standard. Prudential argued that it substantially complied with the DOL regulation and thus shouldn’t be penalized, but the judge ...