April 24, 2012 | last updated June 1, 2012 2:06 pm

Cigna to administer Montana employee health plan

Connecticut-based health insurance giant Cigna has won a three-year contract to administer the state of Montana's employee health plan, The Associated Press reports.

Cigna and the state announced Monday that Cigna will take over plan management in January 2013, replacing New West Health Services and Blue Cross and Blue Shield of Montana. New West is leaving the commercial insurance business and Blue Cross missed the bid deadline.

Russ Hill is head of the state Health Care and Benefits Division. He tells Lee Newspapers of Montana that Cigna was the best choice because of the programs they offer, their customer service and their provider network.

Cigna will be paid about $3.7 million a year for the three-year contract. Hill says it's a slight increase over what the state paid this year, but he says the state is getting more services.

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