UnumProvident Claim Denials Put in Media Spotlight

Unum is an insurance company that provides employee benefits to 17 million Americans — including disability, life, accident and critical illness insurance — as coverage during times of unexpected illness or injury that may require a prolonged absence from work. It’s the type of insurance that is there to provide peace of mind when the unexpected happens.

In 1999, Unum merged with Provident insurance company, and almost immediately, several lawsuits began to come out against the large insurance company. UnumProvident was then sued by several customers claiming they were unjustly denied disability payments that they should have received in 2002.

Stories of denied Unum disability claims have even reached the radar of major television networks. CBS News covered the claim of Dr. John Tedesco on 60 Minutes in 2009.

Dr. Tedesco was working as a successful eye surgeon in 2005 when he started to develop a tremor in his right hand. As an eye surgeon, this was a very dangerous problem to have, and as a result he stopped operating.

“I knew that if I tried to operate on somebody, I might hurt them. I might blind them,” Tedesco said in the 60 Minutes interview.

He had been paying his UnumProvident disability insurance policy for 6 years, which had promised to provide him with a decent income in case he was no longer able to do his job. Initially, everything seemed fine, and he received insurance payments from Unum for 4 months.

At the conclusion of 4 months, he received a letter from Unum saying that they would no longer provide him with disability payments. This came as a surprise to Dr. Tedesco, as he had not yet recovered from the tremor in his right hand.

“Basically, the letter said ‘We’re cutting off your benefits. We don’t think you’re disabled. And you’re not entitled to any benefits,’” Tedesco explained.

Dr. Tedesco later found out that Unum had sent out a cameraman to secretly record him for six days so they could verify that he was in fact disabled. The problem is that they recorded his 23-year-old son by mistake, who was clearly not disabled.

Two years later, Dr. Tedesco was diagnosed with Parkinson’s disease, explaining the tremor in his hand. At that point, his hands were too unsteady to even do routine eye exams. Even then, Unum would not reinstate his claim.

When CBS News interviewed former Unum employee, Diane McGinnis, she said that they were required to shut down disability claims to meet million-dollar quotas.

“At the beginning of each month the projections would come down from the directors or above, who would give a number as to the amount of money we would have to come up with at the end of the month in closures,” McGinnis said.

Dr. Tedesco filed a lawsuit against Unum and was awarded $36 million.

If you or someone you now has had a similar experience as Dr. Tedesco and has been denied benefits by Unum Life Insurance Co. of America, legal options are available. Learn more and get a free legal consultation regarding a claim’s eligibility at the Unum/UnumProvident Disability Insurance Claim Denial Class Action Lawsuit Investigation. Experienced legal professionals are available to determine if you have case, so act now.