What was the purpose of the Multistate Market Conduct Examination?
A. The multistate examination was initiated by the home-state chief insurance regulators (Maine, Massachusetts and Tennessee) of the three principal insurers within the UnumProvident Group. The multistate examination addressed claims handling practices for both long term individual disability income (“IDI”) and group disability insurance (“LTD”) policies. The purpose of the examination was to determine if the disability income claims handling practices of the Companies reflected systemic “unfair claim settlement practices”. All the states, the District of Columbia and American Samoa decided to participate. Q. What were the results of the Multistate Examination? A. The examiners noted several areas of concern which applied to IDI and LTD claims and identified no material differences in claim handling among the individual companies or among their claim offices. The general areas of concern included the following: excessive reliance on in-house medical professionals, unfair construction o
