New York Attorney General Andrew Cuomo said health insurer Cigna Corporation will no longer use the faulty Ingenix database to calculate out of network reimbursement rates and will contribute $10 million to a new independent payment database.

Cigna, based in Philadelphia, is one of the nation's 10 largest insurers and had a class action law suit against it which has not been settled and the issue of whether it will reimburse customers who overpaid in the past still unclear. Cigna is the latest to toe the line following several other major insurers in setting fairer reimbursement rates for out of network services.

Cuomo said an investigation into the database operated by Ingenix, a unit of the UnitedHealth Group was found to have deliberately set rates that were low so that insurers could underpay for out of network services. Minnetonka, Minn.-based UnitedHealth has agreed to shut the database down.

The same day as the Cigna settlement Cuomo's plan to sue Excellus Health Plan of Rochester on charges of it manipulating rates and defrauding customers was revealed.