NU Online News Service, Nov. 2, 11:46 a.m. – CIGNA Corp., Philadelphia, is reporting $270 million in net income on $4.8 billion in revenue, compared with $278 million in net income on $5 billion in revenue for the third quarter of 2000.
The earnings figures include a $50 million gain on an earlier sale of a life reinsurance unit, and $38 million in charges related to the Sept. 11 attacks.
CIGNA sells employee benefits, retirement and investment services, and international employee benefits.
The Sept. 11 charges “primarily related to life, accident and disability insurance claims and, to a lesser extent, increased utilization of HMO behavioral health services,” CIGNA says.
After taxes, the Sept. 11 charges amounted to $20 million for the major medical insurance and administration operations, $3 million for corporate-owned life insurance claims, and $2 million in reinsurance claims.