CMS forbids Cigna from enrolling new Medicare Advantage, prescription drug plans — 6 highlights

The Centers for Medicare and Medicare Services has temporarily barred Cigna from enrolling new customers to its Medicare Advantage and stand-alone prescription drug plans, according to Healthcare Finance.

Here are six highlights:

1. The CMS also barred the payer from its marketing efforts.

2. The decision is due to deficiencies found in an audit of Cigna-HealthSpring operations, specifically Cigna's Part C and D appeals and grievances, as well as several areas in its Part D program.

3. The sanctions went into effect on Jan 21.

4. Although the payer is barred from accepting new customers, the sanctions do not affect the benefits of the payer's Medicare Advantage and Medicare Part D's current customers.

5. The CMS gave Cigna until Jan. 29 to complete a corrective action plan.

6. "Cigna has had a longstanding history of non-compliance with CMS requirements, Gerard Mulcahy, director of CMS Medicare Parts C and D Oversight and Enforcement Group wrote in a letter to HealthSpring President Herb Fritch."Cigna has received numerous notices of non-compliance, warning letters and corrective action plans from CMS over the past several years. A number of these notices were for the same violations discovered during the audit, demonstrating that Cigna has not corrected issues of noncompliance."

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