...Investment Project CIGNA In Partial Fulfillment of the Requirements of: FINC5210- Investments Fall 1, 2012 Table of Contents Page 1: Background Page 2: CEO, Earnings and Finance Page 3: ROA and ROE Page 4: Net Profit Margin, Cigna Comparisons Page 5: Historical Stock Prices/ Future Stock Price Valuation Page 6: Stock Pricing, Dividends, Historical Returns Page 7: Trailing PE, Forward PE, and Forward PEG Page 8: References CIGNA 1 With roots dating back to 1972, CIGNA is a leading provider of healthcare and health benefits. The current iteration of CIGNA officially formed in 1982 after the merger of Connecticut General Insurance Corporation and INA Corporation. While Philadelphia is the home of CIGNA’s operations, the company has a diverse footprint located throughout the United States and internationally. Operating in five segments: healthcare, disability and life, international, run-off reinsurance and other operations, CIGNA is able to compete within nearly every aspect of the healthcare sector. CIGNA also operates retail pharmacies, even further diversifying its business model. However, the majority of CIGNA’s revenues come from its health care plans for companies who self- insure. One major differing aspect of CIGNA, compared to its competitors, is that the majority of its pretax operating income comes from its investment income. Unfortunately, this may make the company...
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...Cigna is a multifarious health care organization whose company reaches across the world to provide healthcare, to its consumer. Cigna has roots in the healthcare business from its parental foundation, dating back hundreds of years. In 1982, Cigna began its own venture in the healthcare organization in the state of Connecticut after the unification of Insurance Company of North America (INA) and Connecticut General Life Insurance Company (CG). By expanding its services to customers in the United States and around the globe that provides medical, dental, disability, life and accident insurance, and related products, Cigna has become a global health service leader. Network Growth and Strategies In 2014, Cigna launched a new brand campaign,...
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...Representations and Warranties of Anthem and Cigna ( as well as of Anthem and Merger Sub), (d) Covenant Relating to the Conduct of Business, (e) Conditions to Consummation of the Merger, (f) Conditions Precedent, (g) Termination and Amendment, (h) General Provisions, and how do these provisions work together (please give examples from each sub-section to justify your answer)? (a) In a merger agreement, the assets and liabilities of the firm which is being acquired end up being absorbed by the buyers firm. A merger could be the most effective and efficient way to enter a new market without the need of creating another business entity. For the firms who have been functioning in their industry for a while, a merger creates new paths for them to expand their target areas. The opportunity for a growth of the market share and the opportunity to overcome a competition with a rival firm also make Mergers more attractive to these firms. In the end of a merger, both companies end up having access to each other’s resources and for a new company these resources bring the benefits of gaining experience thus an increased development phase. With this ‘reverse triangle merger’ agreement between Anthem and Cigna, (1) Merger Sub Corp of Anthem will be merged with and into Cigna, leaving Cigna to continue to exist as a surviving corporation. In this case we have two mergers currently being worked on. Consequently, Cigna will be the Initial Surviving Company and (1).1 Cigna will be wholly owned by Anthem. Since...
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...environmental responsibility. But the concept of corporate social responsibility extends far beyond what the company is doing for the community around them and how they handle business internally. It affects employees, consumers, and investors and each of these groups have a different idea of how companies should be conducting business and these ideas need to be taken into consideration when drafting their CSR reports. Cigna is a good example of how publicly traded companies formulate and report their involvement in CSR. Community involvement and philanthropic activities are some of the most visible ways companies can market to their consumers as well as potential employees. “Cigna believes that investing in the health of their communities directly connects with their overall success” (Corporate Responsibility, n.d.). They provide their employees with a variety of programs to help them get involved with the surrounding community. Some of these programs include paid time off to volunteer at a charity of their choice, corporate sponsorship for the March of Dimes and the Cigna Foundation which matches employee donations to certain organizations. Not only is the company dedicated to helping the community but it encourages and supports its employees to do the same. Geoffrey Heal states in his book When Principles Pay, “people seek...
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...Regarding: CIGNA RX PRESCRIPTION ERROR CIGNA has notified us that they are experiencing a global claims processing error and that covered members of California Boiler may experience higher copayments when filling their prescriptions. The CIGNA claims system does not recognize that a member may have met their Brand Name deductible of $250, for 2015, and/or is requiring that the deductible be applied to GENERIC MEDICATION. This is an error. The correct benefits are as follows: Tier 1: $15 copayment, No Deductible (most generic medication is classified as Tier 1) Tier 2: $40 copayment, after the $250 Individual Deductible/$500 maximum per family Tier 3: $70 copayment, after the $250 Individual Deductible/$500 maximum per family CIGNA is working on correcting this error; however, they anticipate that a full system correction may not be in place until September 14th....
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...Case Study: How CIGNA Streamlined its Foreign Currency Payments Global Finance CIGNA, an international employee benefits provider, makes cross-border payments by wire, check and ACH to more than 225,000 beneficiaries in over 70 countries. The company wished to simplify and automate its foreign currency payments. Key objectives were to accelerate payment processing time, trim cost and to ensure a superior service to their clients. The Problem: Payment Timing is Critical to Service Quality Typically, producing checks and Explanation of Benefits (EOB) statements (i.e., remittance advices), adds a week or more to processing time in addition to the time for crossborder delivery. But payment timing is of the essence. The payment process must be as effective as if the beneficiary were using a local insurance provider while also reflecting the superior service that CIGNA provides. The Solution: Simple and Seamless Citigroup provided CIGNA with a single solution for all of its cross-border payments. CIGNA uses a direct file-delivery connection to send one payments file to Citigroup covering all of its foreign currency payments. WorldLink® Payment Services handles the rest. Printing and distributing checks with EOB details at Citigroup's regional centers accelerates check payment. Citigroup debits CIGNA's U.S. bank account for an aggregated amount covering the total dollar equivalent of all foreign currency payments. Following payment execution, the bank sends CIGNA one file with...
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...Asthma What is Asthma? Asthma is an incurable lung disease in which the airways of the lungs swell and narrow making it difficult to breathe (National Institutes of Health, 2011). Symptoms of Asthma include: • Shortness of breathe • Tightness in the chest • Coughing • Wheezing Causes The exact cause of Asthma is still undetermined but researchers believe genetic and environmental factors may play an important role in the diagnosis (Mayo Clinic, 2011). Some of those factors are: • An inherited predisposition to have allergies • The parents have Asthma • Mother smoked while pregnant • Exposure to airborne allergens or viral infections while the immune system is still developing • Being overweight • Low birth weight A person living with Asthma can function normally; they do not experience symptoms on a daily basis. Although daily activities are not compromised in any way, people with Asthma must be aware of conditions that can cause the airways to narrow and swell (Mayo clinic, 2011). Some things that can trigger Asthma symptoms are: • Allergens from dust, mold, pollen, etc. • Irritants like cigarette smoke and chemicals such as cleaning products • Physical activity • Respiratory infections like colds Diagnosis Asthma is diagnosed by a primary care doctor and the diagnosis is based on family history, medical history, a physical exam, and test results (National Institutes of Health, 2011). The tests commonly used to diagnose Asthma...
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...Problem Set #1 Date 09/22/2015 Sayantani Nandy 1. Sign into Bloomberg and check IBM's page (IBM US Equity). Check Company Overview and then Company Management. Find the composition of the Management Team and the Board and check the backgrounds of the Chair as well as the top 3 longest serving board members. (a) How many of these three board members appear to be independent? (b) What are their compensations? (c) What other board memberships or executive positions do they hold? (d) Do you think having these positions help increase or reduce agency cost and help better align the interest of shareholders with management? Answer: I will start to answer the question with a table of summary: IBM Corp Inc. Sr. No Tenure . (yrs.) 1 2 Independent Board Member CompenCurrent sation shareholding Kenneth Chenault 17.8 "Ken" Other Board/Executive Positions Company Name Title Yes / No Bloomberg Philanthropists Board Member Presidents & Fellows of Harvard Board Member College Proctor & Gamble Company Board Member No American Express Travel related Chairman services Co. American Express Co. Chairman $341,193 $ 1,031,972 BM Corp. Board Member Sidney 14.8 Taurel BioCrossroads IBM McGraw Hill Financial Mc Grawhill, Compensation and Leadership Development IBM, Executive compensation $368,724 $ 2,284,797 and management resources Name Board Member Board Member Board Member No Chairman Chairman Yes 3 Joan E. 11.8...
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...child obesity and its general impact that changing demographics may have on the health care market. Also the paper will tackle many questions involving this issue such as why and how will changes in the demographics of this population affect health care. Identify two key health care-related challenges to this population, such as increases in health care costs, increases in prescription drug costs, or the need for in-home medical care. Describe how a chronic disease wellness program may affect the costs for this demographic, what do the demographics tell about the marketing needs or services needed for this population and how can the individual patient, the community, and society address these challenges. According to CIGNA (2011), “The commonness of obesity among children aged 12 to 19 years increased from 5.0% to 18.1%. Obesity is the result of too few calories burned for the calories consumed known commonly as caloric imbalance...
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...September 16, 2015 Winnie Law Case Manager Innovations of Greater Memphis 1756 Justice Drive Memphis, TN 38125 Dear Ms. Law, Congratulations! As an employee of Innovators of Greater Memphis, you are entitled to the best treatment and service. With that in mind, I am proud to announce that we have signed a contract with CIGNA insurance. We hope to provide the highest quality care to our high quality employees, and are to pleased to announce our new healthcare initiative – and it’s completely FREE! We are glad to inform you of our newest benefits program that will help you and your family secure your financial future. This new program will take effect this upcoming Winter, 2015. CIGNA will send you all of the necessary information as soon as it is available. Did you know that 57% of families are uninsured, and end up paying four times more for their routine doctor’s visits compared to those families who have health insurance? In addition, the families collect thousands of dollars in bills from unexpected hospital visits due to illness or accidents. With this new Wellness initiative, you and your family are entitled to free yearly health screenings, a health fair to update you on new healthcare innovations, gym membership to a well-known fitness institution, French Riviera, and free nutrition seminars to keep you up-to-date with healthy eating habits. Your tenure as an employee of Innovations of Greater Memphis has shown to the management that you deserve to be treated well...
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...Invitation to Participate in Wellness Works Obesity Prevention and Control Planning Committee TO: Dr. Jeff Ritter, Chief Financial Officer FROM: Bertha Simmons, Wellness Program Director RE: Capella Banking Bureau Obesity Prevention and Control Worksite Program As you may be aware, Capella Banking Bureau is planning to continue implementing a worksite obesity prevention and control program in September, 2014. The new program will involve planning, building, promoting, and assessing a variety of nutrition and physical activity program components Capella Banking Bureau employees. We are inviting you to be a part of the Planning Committee. The purpose of this committee is to develop, guide, and oversee the program, including— • Identifying the interests of company employees • Motivating employees to participate in the program • Keeping management excited about the company’s obesity prevention efforts • Discussing potential program components and deciding what activities to include “With high obesity rates in the United States, these health care costs can directly affect employer profits.4 It is estimated that employers spend $13 billion annually on the total cost of obesity.3 Approximately 9.1% of all health care costs in the United States are related to obesity and overweight” (CDC, 2011). “Workplace obesity prevention and control programs can be an effective way for employers to reduce obesity’ (CDC, 2011). Along with your participation, I am...
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...Name:_____Dzemal Zulcic Week 2: Self-Assessment This document contains the template you will use to complete this assignment. Save the file by adding your last name to the filename (e.g. Week2_Self_Assessment_Template_Smith.docx). Be sure to proofread and spell check your work before you submit it. A grading rubric is also available at the end of this document. There are FOUR parts to the Self-Assessment. Part 1: Reflect on your results from the self-assessment exercises you’ve done from the textbook, as well as others you might have done in the past, and complete the table below. Review current or past jobs to identify your transferable skills. Develop an inventory of your most marketable career-related skills (minimum 15), instances where you have demonstrated these skills (minimum three), and the core values you want your work to reflect (minimum five). Take into consideration the traits employers are seeking, including technical and transferable skills and general abilities. (30 POINTS) SELF-ASSESSMENT EXERCISES & MY RESULTS I completed the following assessments/inventories as part of my self-assessment activities: 1. Marketing Readiness 2. Self-Awareness Checklist 3.Ability Assessment 4.Transferable Skills Checklist 5.Work Environment and Life Preferences 6.Self-Assessment Summary Sheet My most marketable career-related skills are . . . (minimum 15) (Remember to include technical and transferable skills on this list!) 1. Coordination of Benefits – Transferable ...
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...part-time * Special Enrollment -If you are covered under another plan and lost that coverage you have the right to come onto our place as long as you so within 30 days of losing coverage Pre-Existing Conditions * Definition: A pre-existing condition is one for which medical advice, treatment, and/or diagnosis was given within the last three months prior to coming onto our health care plan * The plan does not pay for benefits for a pre-existing condition during the exclusionary period, which last up to 12 months. * If you had coverage before coming onto our plan you may acquire a “certificate of credible coverage” from your previous insurance that can be used to offset the pre-existing condition exclusionary period. Cigna Summary Preface this section with talking about how NSM is self-insured and how being good stewards of your benefits would not only behoove the staff member but also NSM because using benefits efficiently and effectively...
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...Previously in my career, I’ve worked in an administrative role, which required me to complete many of the roles that are required of me as part of this role. I enjoy completing administration duties on a day to day basis. I find job tasks like photocopying, scanning and filing satisfying when I complete them to an acceptable standard. Whilst working for Cigna Europe Insurance Services as an Outbound Telemarketing Representative, my day to day tasks involve answering phone calls and emails. The phone calls, whilst as an Outbound Telemarketing Representative, would be made on an automated dialler, and I would speak to customers of the RAC or AA in a professional and confident manner, in order to achieve consistent sales targets on a month to month basis. Currently I am in a different role in the same company, as a Retention Telemarketing Representative, which is a challenging role that requires retaining policies that customers wish to cancel, or make amendments to. Whilst speaking to a customer that may wish to cancel, I am required to access different systems on the computer, and by having strong typing speeds, a good working knowledge of Microsoft Office and organisational skills, accuracy and attention to detail, I am able to complete my role to a competent level. In my administrative roles previously, I’ve managed Excel documents to a reputable standard that are easy to use for other members of staff. These roles required data entry, and access to other databases in Excel...
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... * Identification and Engagement occurs a variety of service types from chronic conditions to case management. * Predictive models have identified 50.3% of the population compared to 50.3% in the base period. * Those that were engaged in ongoing telephonic coaching in the current period, 29% went on to have 3 or more coaching calls. * Chronic conditions are a significant driver of medical cost and reduced productivity. * In the current period, predictive models have identified 26.2% of the population with a chronic condition, compared to 22.8% in the base period. * Majority of employees had Asthma as their chronic condition. * Lifestyle, Wellness, and Treatment decision support are available by Cigna. Majority of staff used the lifestyle coaching that was focused on 3 main areas; Stress, Tobacco, and Weight. * Wellness Coaching was used second most by staff and the main categories were; healthy eating, physical activity, hypertension, hyperlipidemia, and prevention. * Treatment Decision Support focused on these categories; Benign Uterine, Breast Cancer, Coronary Artery Dis, Low Back Pain, Osteoarthritis Hip, Osteoarthritis Knee, Prostate Knee. * Online coaching can be used as a preferred engagement method for certain individuals, 3.9% of the population has engaged in online coaching compared to the 7.1% in the base period. This is not good, because obviously the numbers are decreasing. * In this current period...
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