Unum Life Insurance Company and Hogan Lovells US LLP are facing a disability claim denial lawsuit for wrongful termination of a Maryland woman’s long-term disability benefits.

Plaintiff Darlene Dumpit suffers from a series of painful illnesses that allegedly prevent her from working and earning a living. These conditions include: chronic pain, degenerative joint disease, lumbago, dwarfism, osteoarthritis, lumbosacral spondylosis, scoliosis, carpal tunnel syndrome, and trigger finger, according to her Unum denied disability claim lawsuit.

On Aug. 10, 2012, Dumpit was officially declared disabled and could no longer continue her work as attorney assistant at Hogan Lovells, where she was employed, the disability insurance lawsuit says. She contacted Unum, her disability insurance provider contracted through Hogan Lovells, and was approved for short term disability benefits that would continue until Feb. 16, 2013. Shortly after, Dumpit was then approved for long term disability through Unum on March 12, 2013.

Five months later, Unum reportedly terminated her long-term disability benefits without warning or cause. Dumpit filed a timely appeal to Unum. But Unum did not provide a valid reason for cutting off her benefits, according to her Unum lawsuit.

Dumpit and her legal counsel are seeking a reinstatement of her long term disability benefits, payment of attorney’s fees, and financial relief for all costs incurred and benefits denied since August 2013, according to the bad faith insurance lawsuit.

Background on Unum Group

Unum has allegedly engaged in cash flow underwriting since the 1980s. Cash flow underwriting is the practice of selling as many insurance policies as possible to reap profits on the customer paid premiums alone. None of the insurance policies are reportedly assessed for any kind of risk. The paid customer premiums are immediately invested in the marketplace by to gain even more profit.

Because of this liberal underwriting and marketing, Unum gained significant control over the long term disability insurance market. However, by 1993, interest rates for life insurance plans had declined and Unum began to lose profits on its policies, especially long-term individual policies. In order to recoup loses, Unum allegedly adopted the practice of intentionally denying disability claims for long-term plans, even when the policy holder paid all premiums on time and met all long-term benefit qualifications, Unum class action lawsuits allege.

However, Unum’s allegedly wrongful business practices have not gone unnoticed. Government and media investigations, and Unum class action lawsuits have drawn attention to the company’s actions.