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UnumProvident Charged with Intentionally Denying Disability Claims

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Case ID: 1967 | Insurance | 02/07/2003
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Have you had a disability claim wrongfully denied or terminated by UnumProvident?

Kahn Gauthier Swick is investigating claims against UnumProvident Corporation, the largest disability insurance company in the U.S., for wrongfully denying claims, or for ending benefits on claims they had originally approved. Shocking revelations have emerged about the company's policy of telling its workers they had to shut down enough claims to meet monthly targets in the millions of dollars. They've denied disability benefits to a former eye surgeon with Parkinson's Disease, a car salesman rendered a quadriplegic in an auto accident, and a former school teacher suffering from a progressive, fatal form of emphysema.

One former UnumProvident employee told a television news program that "at the beginning of each month the projections would come down from the directors or above, who would give a number as to the amount of money we would have to come up with at the end of the month" in closed claims. "About the middle of the month," she continued, "they'd let us know if we were on track to meet our dollar amount for the month, and if we wouldn't, they'd really start pushing us to find more or to get the ones we thought we could get closed."

Closing existing claims or denying new ones has led to nearly 3,000 lawsuits against UnumProvident in the past five years. A federal court in San Francisco upheld a $7.5 million judgment against UnumProvident, saying it showed bad faith in targeting a claim for closure, and that it employed biased medical examiners and improperly destroyed medical and other reports. The eye surgeon with Parkinson's Disease sued the company and a jury awarded him $36 million.

According to former employees, the company would even advise them about which states they could afford to close claims in: "We would get guidance as far as what state you might be able to close this claim in. That may not give us trouble in the courts. What state would be, okay this is a tougher state, they've got strong insurance commissioners, they've got strong courts, they've got courts that favor the insured. Better not mess with this one too much."

UnumProvident provides disability insurance through several subsidiaries:

1. Colonial Life & Accident Insurance Company (all states, except New York)
2. First Unum Life Insurance Company (in New York only)
3. Provident Life and Accident Insurance Company
4. Provident Life and Casualty Insurance Company (in New York only)
5. The Paul Revere Life Insurance Company
6. Unum Life Insurance Company of America


Register your Unumprovident Disability Insurance Provider Complaint

If you or someone you know has been affected by this case, you may qualify for a money settlement as the result of your financial/economic or other damages that may be awarded either prior to a lawsuit or after the initiation of a lawsuit either currently in progress or filed just for you, possibly a class action lawsuit. Please simply register your complaint by clicking here for Unumprovident Disability Insurance Provider, or click the red "submit" button on this page, and a lawyer will review your Unumprovident Disability Insurance Provider complaint.

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