Cigna sues CVS over executive’s move
Cigna has launched a lawsuit against CVS Health after the company appointed Amy Bricker as its new executive vice president and chief product officer – consumer.
Cigna announced Bricker left her role as an executive with the company just days before her public announcement with CVS Health. According to Cigna’s lawsuit, which was launched against both Bricker and CVS Health, Bricker’s agreement with Cigna prohibits her from working for any Cigna competitors. This type of agreement is designated for Cigna’s most senior executive leaders, and Bricker was one of the company’s top 15 highest paid employees and senior leaders.
“Despite holding a high-level executive role, and despite being fully aware that she had signed the non-competition agreement, and despite accepting a huge increase in compensation and extensive equity participation in exchange for signing the agreement, Bricker recently resigned from her senior leadership position with Cigna to become a member of the Executive Leadership team at Cigna’s chief competitor, [CVS],” the lawsuit stated. “This, of course, is a direct violation of her contractual non-competition restrictions, and she is doing so in a role that would inevitably require her to use and disclose Cigna’s confidential and trade secret business information for the benefit of her new employer.”
The lawsuit comes after the healthcare industry has experienced significant turnover and a workforce shortage. Even CEOs were departing their roles at a record clip earlier in 2022, though the pace of turnover has since slowed.
According to Cigna, Bricker reported directly to the CEO of Evernorth, formerly known as Cigna Medical Group, where she was privy to sensitive business information “relating to supply chain, product development plans, strategic direction, enterprise-wide initiatives, sales strategy and client and health plan relationships.”
She was also part of new business proposals at Cigna for which CVS Health was competing, the lawsuit alleged. One successful pitch in October 2022 secured the pharmacy benefit manager (PBM) business of Centene, which was previously serviced by CVS that represents 20 million consumers and billions of dollars in revenue.
“Cigna will be immediately and irreparably harmed if Defendant Bricker is permitted to commence her new position with CVS,” the lawsuit stated.
Cigna is seeking a temporary, preliminary and permanent injunction to prevent Bricker from “misusing Cigna’s trade secrets and confidential information.” Cigna is also seeking damages based on the contract violation.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."