$1.07M Cigna out-of-network providers class action settlement

Cigna Health and Life Insurance Co. agreed to a $1.07 million class action lawsuit settlement to resolve claims it misclassified out-of-network providers as in-network.

The Cigna Health settlement benefits individuals covered by a LocalPlus plan for which Cigna provided administrative services and who underwent treatment and received an explanation of benefits indicating their out-of-network provider was in-network due to a mistake in how their plan’s benefits were configured.

According to the class action lawsuit, Cigna misclassified out-of-network healthcare providers as in-network. This allegedly caused consumers to be undercompensated for their medical expenses.

Cigna is a health insurance company that offers various plans to consumers.

Cigna has not admitted any wrongdoing but agreed to a $1.07 million settlement to resolve the class action lawsuit.

Under the terms of the Cigna Health settlement, class members can receive a cash payment if they submit proof that they received a balance bill. These bills are different from copayments, coinsurance and deductible payments. If the provider honored the in-network treatment of the claim, the class member should not have received a balance bill.

The amount each class member receives will depend on several factors, including the number of people who submit claims and the amount of each person’s balance bill. If the total amount of valid claims is more than $300,000, the fund will be divided pro rata among all class members who submit valid claims, meaning each person will receive a proportional share of the fund rather than the full amount of their balance bill.

The deadline for exclusion and objection is Jan. 5, 2026.

The final approval hearing for the Cigna Health settlement is scheduled for March 24, 2026.

To receive settlement benefits, class members must submit a valid claim form by Jan. 5, 2026.

Who’s Eligible

The settlement benefits individuals covered by health benefits pursuant to a LocalPlus plan for which Cigna provided administrative services and who underwent treatment and received an explanation of benefits from Cigna indicating that the treating healthcare provider was in-network when the provider was out-of-network because of a mistake in how their LocalPlus plan’s benefits were configured in Cigna’s benefits system.

Potential Award

Varies

Proof of Purchase

A balance bill, including any interest, penalties or debt collection fees incurred in connection with the balance bill, or a signed affirmation that they will use the settlement payment solely to satisfy the balance bill.

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

01/05/2026

Case Name

Andrew Hecht and Andrea Hecht v. Cigna Health and Life Insurance Company, Case No. 1:24-cv-05926, in the U.S. District Court for the Northern District of Illinois, Eastern Division

Final Hearing

03/24/2026

Settlement Website

CignaLocalPlusSettlement.com

Claims Administrator

Cigna LocalPlus Settlement Administrator
1650 Arch Street, Suite 2210
Philadelphia, PA 19103
888-470-1592

Class Counsel

Matthew Peterson
CONSUMER LAW ADVOCATE PLLC

Martin W. Jaszczuk
Margaret M. Schuchardt
JASZCZUK P.C.

Defense Counsel

Richard Nicholson
MCDERMOTT WILL & SCHULTE