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Political Contributions and Lobbying Activity Report

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Political Contributions and Lobbying Activity Report POLITICAL CONTRIBUTIONS AND LOBBYING ACTIVITY REPORT Our work is rooted in our mission to improve the health, well being and sense of security of those we serve. David M. Cordani President and Chief Executive Officer At Cigna, a global health service company with more than 95 million customer relationships worldwide, we’re proud of our ongoing mission to help improve the health, well-being and sense of security of those we serve. We strive to embody this mission every day through a global workforce that embraces its collective role as champions for our customers and communities. Global market forces such as aging populations, increases in chronic disease, rapid technological innovation and a disruptive regulatory and legislative environment have great impact on the health care ecosystem and, as a result, individual consumers of health care services are eager for simplified access to personalized, affordable care and wellness solutions. Through localized benefits and services, Cigna is delivering greater choice, as well as supporting our customers with their actions and decision making. Beyond supporting our customers, we take an active, convening role in building communities of health, alongside our employer and provider partners. Cigna is committed to addressing the dynamic health care environment, and evolving needs of our customers, through active, principle-based, non-partisan engagement with government officials in Washington D.C. as well as at the state and local level. In this report you will also find the 2017 annual report of the Cigna Political Action Committee (CignaPAC), which provides insight into how our mission and strategy guide our constructive engagement in the public policy dialogue. Cigna is committed to transparency regarding these activities and is providing this report to communicate openly with our shareholders. Our approach to delivering on our strategy of Go Deeper, Go Local, Go Beyond differentiates Cigna in the marketplace and focuses our efforts on ongoing innovation, and remaining committed to being a collaborative, trusted partner of choice. Cigna will continue to invest in future growth and capabilities in support of our customers, clients, partners and communities around the globe. 1 POLITICAL CONTRIBUTIONS AND LOBBYING ACTIVITY REPORT Overview and Governance Cigna takes its engagement in the legislative, regulatory and public policy areas very seriously, approaching all our efforts with care and integrity. There are two major components of Cigna’s political activity: (1) political contributions and (2) lobbying efforts. This report is organized to provide information on both of these activities. As Cigna engages in political activity, it adheres to strict governance standards designed to ensure alignment with Cigna’s mission and strategic goals. All political contributions that are made directly by the Company must be made in accordance with Cigna’s Political Contributions policy, which requires, among other things, oversight of decisions at the highest corporate level. Political contributions that are made through CignaPAC are reviewed and approved by the CignaPAC board, comprised of executive- level Cigna leadership, and in accordance with the CignaPAC Contribution Guidelines. With respect to the Company’s lobbying activities, the Vice President of Global Public Policy and Federal Government Affairs and the Vice President of State Government Affairs report directly to the General Counsel and review lobbying efforts with Cigna’s enterprise leadership, including the Chief Executive Officer, on a regular basis. Additionally, all memberships in trade associations are reviewed by the General Counsel and the Chief Executive Officer. The Company also maintains an Enterprise Risk Management function. This company- wide initiative involves the Board (and its committees), Cigna’s management, Cigna’s Chief Risk Officer and General Auditor, and Cigna’s internal audit function. Together, they work in an integrated effort to (1) identify, assess, prioritize and monitor (as each of their roles dictates) a broad range of risks (e.g., financial, operational, business, compliance, reputational, governance and managerial), and (2) formulate and execute plans to monitor and, to the extent possible, mitigate the effect of those risks. Within this enterprise risk framework, the Corporate Governance Committee of Cigna’s Board of Directors has oversight of and evaluates any material financial, legal, reputational or other risks associated with Cigna’s corporate political spending and lobbying activities. In addition, the Corporate Governance Committee biannually reviews compliance with Cigna’s Political Contributions policy, including the contributions made under that policy by the Company during the previous year, and annually reviews lobbying expenses and trade association memberships. 2 POLITICAL CONTRIBUTIONS AND LOBBYING ACTIVITY REPORT Political Contributions Cigna regularly supports federal, state and local officials, candidates, parties and other politically oriented groups and organizations that the Company believes can advance its mission, business objectives and goals, including principles or issues that support Cigna’s vision for a sustainable health care system. As Cigna considers making political contributions, it is always guided by the Company’s strategy and mission, demonstrating an eagerness to work with officials of various political and philosophical beliefs and without regard for the private political preferences of its executives. Contributions attributable to Cigna are made in two ways: (1) Corporate contributions and (2) through CignaPAC. Cigna has strict standards in place governing its political giving activity, and all its contributions are made in accordance with applicable state and federal laws. In addition, the Company keeps the work of the CignaPAC separate from other Company giving. Accordingly, this section of the report provides information specific to Cigna’s direct corporate contributions, and we have attached a copy of the 2017 CignaPAC report for information regarding contributions made through CignaPAC. Corporate Contributions In 2017, Cigna made the following non-CignaPAC corporate contributions to support our advocacy efforts. Party Amount Democratic Governors Association D $100,000 Republican Governors Association R $100,000 Democratic Attorneys General Association D $50,000 Republican Attorneys General Association R $50,000 In certain states, corporations are permitted to contribute to state election campaigns. The Cigna Political Contributions policy authorizes the use of corporate funds for state contributions on an exception-only basis, requiring the express approval of the General Counsel of the Company after consultation with the Chief Executive Officer. 3 POLITICAL CONTRIBUTIONS AND LOBBYING ACTIVITY REPORT Cigna contributed to the election campaigns of the following candidates and political organizations in California. Candidate Party Amount Attorney General Xavier Becerra D $2,000 Senator Toni Atkins D $3,000 Assemblyman Jim Wood D $2,000 Senator Ed Hernandez D $2,000 Assemblywoman Autumn Burke D $1,000 Assemblyman Evan Low D $1,000 Assemblywoman Jacqui Irwin D $1,000 Senator Ben Allen D $1,000 Senator Steven Bradford D $1,000 Senator Bill Dodd D $1,000 Senator Holly Mitchell D $1,000 Senator Josh Newman D $1,000 Senator Anthony Portantino D $1,000 Senator Richard Roth D $1,000 Senator Nancy Skinner D $1,000 Assemblywoman Cecilia Aguiar-Curry D $1,000 Assemblyman Marc Berman D $1,000 Assemblyman Rob Bonta D $1,000 Assemblyman David Chiu D $1,000 Assemblyman Matt Dababneh D $1,000 Assemblywoman Susan Eggman D $1,000 Assemblywoman Laura Friedman D $1,000 Assemblywoman Cristina Garcia D $1,000 Assemblyman Todd Gloria D $1,000 Assemblyman Tim Grayson D $1,000 Assemblywoman Blanca Rubio D $1,000 Assemblyman Miguel Santiago D $1,000 Other political organizations Party Amount California Democratic Party D $5,000 Californians for Jobs and a Strong Economy D $5,000 California Republican Party R $5,000 Cigna also contributed $30,000 to the Californians Against State Government Run Health Care ballot measure. Cigna did not make any independent expenditures in 2017. 4 POLITICAL CONTRIBUTIONS AND LOBBYING ACTIVITY REPORT Sustained Lobbying Activity and Priorities Cigna engages in lobbying activity to support its position on public policy issues within federal and state political, legislative and regulatory environments. The Company uses both internal and external resources at the federal and state levels, including memberships in trade associations. In 2017, Cigna focused its lobbying efforts on advancing public policies in support of our global business and our clients’ and customers’ needs and interests. Such policies include increasing access to affordable health care; incentives and information to drive better health care and value-based buying decisions; and marketplace competition to afford consumers a wide range of choices to meet their unique health care needs. A crucial part of our lobbying efforts is sharing the work we do to create a more sustainable health care system by partnering with customer, physician and broker partners. We continue to work toward our goal to deliver 90% of payments through value-based arrangements and 50% of payments through alternative payment models by the end of 2018. Cigna is a leader in the volume-to-value transition and is well- positioned to provide meaningful insight to policymakers as they seek to improve and expand value-based
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