Cigna Denies $200 Million Settlement with Illinois Doctors

Cigna Corp. denied that it has reached any settlement of a class action suit brought by Illinois doctors, who have accused the nation’s third largest health insurer of bundling payments for services.

The accusation accused Cigna of breaching contracts with the doctors by grouping separate services and paying for them as one. The case was the first of its kind brought by doctors, following the efforts of many health providers to reduce costs by “bundling” the different charges.

Newspapers had reported that the company had agreed to pay up to $200 million to settle the claims, but a company spokesman categorically denied that there had been any such agreement.