Disability, Life & Accident. Karen Rohan President CIGNA Group Insurance and CIGNA Dental & Vision Care

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Conrad Kelley Norton
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1 Disability, Life & Accident Karen Rohan President CIGNA Group Insurance and CIGNA Dental & Vision Care

2 FORWARD LOOKING STATEMENTS CAUTIONARY STATEMENT FOR PURPOSES OF THE SAFE HARBOR PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 CIGNA and its representatives may from time to time make written and oral forward-looking statements, including statements contained in press releases, in CIGNA s filings with the Securities and Exchange Commission, in its reports to shareholders and in meetings with analysts and investors. Forward-looking statements may contain information about financial prospects, economic conditions, trends and other uncertainties. These forward-looking statements are based on management s beliefs and assumptions and on information available to management at the time the statements are or were made. Forwardlooking statements include but are not limited to the information concerning possible or assumed future business strategies, financing plans, competitive position, potential growth opportunities, potential operating performance improvements, trends, and in particular, CIGNA's cost reduction programs and activities, litigation and other legal matters, operational improvement in the health care operations, and the outlook for CIGNA's full year 2006 and 2007 results and beyond. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words believe, expect, plan, intend, anticipate, estimate, predict, potential, may, should, or similar expressions. You should not place undue reliance on these forward-looking statements. CIGNA cautions that actual results could differ materially from those that management expects, depending on the outcome of certain factors. Some factors that could cause actual results to differ materially from the forward-looking statements include: 1) increased medical costs that are higher than anticipated in establishing premium rates in CIGNA s health care operations, including increased use and costs of medical services; 2) increased medical, administrative, technology or other costs resulting from new legislative and regulatory requirements imposed on CIGNA s employee benefits businesses; 3) challenges and risks associated with implementing the improvement initiatives in the health care operations, the organizational realignment and the reduction of overall CIGNA and health care cost structure, including that operational efficiencies and medical cost benefits do not emerge as expected and that medical membership does not grow as expected; 4) risks associated with the amount and timing of gain recognition on the sale of CIGNA's retirement benefits business; 5) risks associated with pending and potential state and federal class action lawsuits, purported securities class action lawsuits, disputes regarding reinsurance arrangements, other litigation and regulatory actions challenging CIGNA s businesses and the outcome of pending government proceedings and federal tax audits; 6) heightened competition, particularly price competition, which could reduce product margins and constrain growth in CIGNA s businesses, primarily the health care business; 7) significant changes in interest rates; 8) downgrades in the financial strength ratings of CIGNA s insurance subsidiaries, which could, among other things, adversely affect new sales and retention of current business; 9) limitations on the ability of CIGNA's insurance subsidiaries to dividend capital to the parent company as a result of downgrades in the subsidiaries financial strength ratings, changes in statutory reserve or capital requirements or other financial constraints; 10) inability of the program adopted by CIGNA to substantially reduce equity market risks for reinsurance contracts that guarantee minimum death benefits under certain variable annuities (including possible market difficulties in entering into appropriate futures contracts and in matching such contracts to the underlying equity risk); 11) adjustments to the reserve assumptions (including lapse, partial surrender, mortality, interest rates and volatility) used in estimating CIGNA's liabilities for reinsurance contracts that guarantee minimum death benefits under certain variable annuities; 12) adjustments to the assumptions (including annuity election rates and reinsurance recoverables) used in estimating CIGNA s assets and liabilities for reinsurance contracts that guarantee minimum income benefits under certain variable annuities; 13) significant stock market declines, which could, among other things, result in increased pension expenses in CIGNA s pension plan in future periods and the recognition of additional pension obligations; 14) unfavorable claims experience related to workers compensation and personal accident exposures of the run-off reinsurance business, including losses attributable to the inability to recover claims from retrocessionaires; 15) significant deterioration in economic conditions, which could have an adverse effect on CIGNA s operations and investments; 16) changes in federal laws, such as amendments to income tax laws, which could affect the taxation of employer provided benefits, and pension legislation, which could increase pension cost; 17) potential public health epidemics and bio-terrorist activity, which could, among other things, cause our covered medical and disability expenses, pharmacy costs and mortality experience to rise significantly, and cause operational disruption, depending on the severity of the event and number of individuals affected; 19) risks associated with security or interruption of information systems, which could among other things cause operational disruption 18) challenges and risks associated with the successful management of CIGNA s outsourcing projects or key vendors, including the agreement with IBM for provision of technology infrastructure and related services; and 20) risk factors detailed in CIGNA's Form 10-Q for the quarter ended September 30, 2006, and Form 10-K for the year ended December 31, 2005, including the Cautionary Statement in Management s Discussion and Analysis. This list of important factors is not intended to be exhaustive. Other sections of the annual report on Form 10-K and our quarterly reports on Form 10-Q, including the Risk Factors section and other documents filed with the Securities and Exchange Commission include both expanded discussion of these factors and additional risk factors and uncertainties that could preclude CIGNA from realizing the forward-looking statements. CIGNA does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

3 CIGNA Group Insurance Disability, Life, Accident Employee Benefits Delivered By 1,500 Employees 23 Sales Offices with 100+ Sales Professionals 3 Disability Management Offices - Pittsburgh, Dallas, Glendale Over 300 account management and customer service representatives 1,100 nurses and vocational rehabilitation specialists and 500 physicians Resulting In Over $2 Billion Annual Revenue

4 CIGNA Group Insurance Fastest growing Top Five disability provider Top Four disability carrier in new sales and in-force business Top Five life carrier in in-force business; 6 th in new business 2nd Largest Accident carrier for new sales and in-force business Source: LIMRA s 2005 Group Life and Group Disability Reports

5 Best In-Class Margins 6.6% Peer Group 10.7% CIGNA Group Insurance Driven by Superior disability claims management process Focus on early intervention Disciplined risk assessment with strong pricing / underwriting controls Continued operating expense improvement 2005 Results

6 CIGNA Intracorp Comprehensive Care Management and Return to Work Solutions for Employers and Payors including: Utilization Review and Case Management Physician Advisor and Networks Bill Review Pharmacy Benefit Management Solutions Delivered By 1,500 Employees 3 Care Centers Anaheim, Dallas, and Atlanta 900 Certified Case Managers Access to 400 Physicians

7 Market Conditions

8 Industry Trends Compression of Employee Benefit Dollars Growing interest in integrated solutions for total productivity impact Growth in small employers Increased demand for Voluntary products

9 Chronic diseases (heart disease, cancer & diabetes) are leading causes of disability. 43% of all people aged 40 will have a long term disability event prior to age 65. About 25% of adults are obese. 1 in 3 Americans born in 2000 will develop diabetes. Implications: Health care status and impact to disability results are intrinsically linked.

10 Products Profile

11 Disability Products: Short term, Long term, FMLA, Integrated Disability Management Market Share- Lives: 4 million, 5700 policies Market Share- Premium: $700 Million The CIGNA Difference Differentiating Claims Management Process Best in Class Outcomes for Return to Work/Productivity Integrated Disability with Health Care Programs Integrated FMLA & STD Process Onsite Clinical and Vocational Expertise Integrated Case Management Solutions for Chronic Disease Integration with Behavioral Health Products- Employee Assistance and Life Assistance

12 Superior Disability Claim Management Model Flexible Claim Intake Leveraging Expert Resources Proactive Outreach & Holistic Approach Proactive Outreach and Holistic Approach Resulting in Improved Productivity Shorter Disability Durations Quicker Return to Work

13 Shorter STD Durations On average CIGNA s STD durations are 13% shorter than the industry s ( top diagnoses) On average CIGNA s Top 5 STD book of business durations are 6% shorter than the industry: Musculoskeletal 9% shorter Digestive 13% shorter Circulatory 14% shorter Excellent Claimant Satisfaction Results In addition to recommending CIGNA as a STD carrier, 9 out of 10 CIGNA STD claimants surveyed were very satisfied/satisfied with: CIGNA s handling of their STD claim 90% Ease of submitting a telephonic claim 99% Overall written claim submission experience 92% Timeliness of benefit payments 91% Rated #1 STD carrier overall

14 CGI s Integrated Offerings Disability HealthCare Connect Disability with Full EAP or Life Assistance Programs Integration with Behavioral on outreach pilot for employers with EAP/LAP Integration for chronic disease management

16 CIGNA s Disability and HealthCare Connect SM Results: 12% 6% 12% shorter STD durations 6% higher return to work than those claimants with only CIGNA disability

17 Benefits of Integration Employers Best-in-class STD/LTD claims model Dedicated claim management teams Improved productivity with Disability and HealthCare Connect Utilize disease management capabilities to address chronic conditions Consumers Improved health status and return to work outcomes Easier claim reporting Faster decision times Claimant-focused service and one-stop shopping Extensive clinical, behavioral and vocational resources

18 Life Products: Basic Term, Voluntary Term, Group Universal Market Share- Lives: 10 million, 3,500 policies Market Share- Premium: Over $1 Billion The CIGNA Difference Industry-leading beneficiary support with CIGNAssurance Financial strength/stability Product menu/plan design Dedicated claims specialists Buy-ups for Behavioral Health Products - Employee Assistance and Life Assistance

Accident Products: Personal Basic, Personal Voluntary, Business Travel Market Share- Lives: 9 million, 14,500 policies Market Share- Premium: $170 Million The CIGNA Difference Extensive

19 Accident Products: Personal Basic, Personal Voluntary, Business Travel Market Share- Lives: 9 million, 14,500 policies Market Share- Premium: $170 Million The CIGNA Difference Extensive Worldwide Protection included with personal and business travel Industry-leading beneficiary support with CIGNAssurance Financial strength/stability Product menu/plan design Accident claims specialists

20 CIGNA Group Insurance Business Strategy Enhance Distribution Capabilities Reinforce Disability Management Model Broaden Product Portfolio Maximize Operational Effectiveness Continued Growth in Revenue and Earnings

21 Protecting Health Overseas Paul Hartley President CIGNA International

22 CIGNA International Profile Two businesses International health care benefits for expats Life, accident, supplemental health Business in 28 countries, jurisdictions Global workforce of 2,200 + distribution force of 3,800 contracted telemarkers

23 Where we are Around the world CANADA USA SCANDANAVIA IRELAND & U.K. NETHERLANDS BELGIUM GERMANY LUXEMBOURG FRANCE, SWITZERLAND, AUSTRIA PORTUGAL ITALY CHINA SOUTH KOREA BERMUDA SPAIN TAIWAN GUATEMALA THAILAND HONG KONG SINGAPORE INDONESIA CHILE NEW ZEALAND

24 CIGNA International Agenda Strategic overview Products and services Competitive strengths Key priorities Long term growth prospects

25 CIGNA International Strategic Overview International Health Care Benefits

26 Expatriate Value Proposition Provide global access to quality health care coupled with integrated products and personalized service Offer peace of mind to expatriates Deliver competitive advantage to multinational employers

27 Our Leadership in Expatriate Benefits 25 years experience 42% Fortune 100 companies are customers 2,000 multi-national companies 250,000 expatriate members in 170 countries, jurisdictions Number one in North America Number two Worldwide

28 Expatriate Customer Satisfaction Conducted member satisfaction study since study includes ratings from 3,500 expatriates 93% rate courtesy of staff, accuracy of claims processing highly 90% rate information materials as excellent 87% rate 24/7 telephone service highly

29 Products and Services Medical, dental, life insurance Leverage CIGNA HealthCare s capabilities Focus on consumer through global access to quality health care and personalized service

30 Competitive Strengths Network 1,000 hospitals 2,000 clinics/physicians/dentists Access to additional 11,000 medical providers through International SOS Multi-lingual customer service representatives available 24/7 Unique, direct-to-provider payment system

31 Key Priorities for the Expat Business Continue profitable growth Improve products, service, care delivery Enhance medical, administrative services to employers and expatriate members

32 CIGNA International Strategic Overview Life, Accident and Health Affinity telemarketing business model

33 China S. Korea Taiwan Hong Kong Thailand Indonesia Singapore New Zealand

34 Affinity Partners

35 Value Proposition Simple, affordable short-term, risk-based products for consumers looking for easy to access, alternative methods to attain financial security For our affinity partners we offer increased revenue stream and enhanced customer loyalty

36 Products and Services Personal accident Supplemental health Fixed payments for each day of hospitalization Lump sum payment for critical illness Term life Variable life Credit protection

37 Our Rapid Growth Nearly 4 million policies in force 150,000 policies sold monthly Relationships with 94 partners

38 Competitive Strengths Innovative product array Leadership position in the industry trusted and respected Highly efficient distribution force Our telemarketers sell 3 to 5+ policies per day vs. average captive agent in Asia who sells 1-2 policies per month

39 Key Priorities for the Affinity Business Continue profitable growth Balance business mix of mature and emerging markets

40 CIGNA International Growth Prospects Focus on profitable growth We are a strong, viable competitor in selected markets we choose Ours is a niche business Expect double digit sale and earnings growth for foreseeable future

CIGNA REPORTS FIRST QUARTER 2007 RESULTS. Earnings Reflect Strong Results in Each of the Health and Related Benefits Businesses

NEWS RELEASE For Release: Immediate Contact: Ted Detrick, Investor Relations (215) 761-1414 Wendell Potter, Media Relations (215) 761-4450 CIGNA REPORTS FIRST QUARTER 2007 RESULTS Earnings Reflect Strong