Cigna has identified an issue with the 1099′s that were generated and mailed to producers for the 2011 Commission Year. 2010 data was inadvertently used to create the 1099′s. This has resulted in incorrect 1099′s to be generated for 2011 calender year.
Cigna has identified all producers that have received the incorrect 1099′s, and is in the process of creating an email blast for all producers who received an incorrect 1099 and whose email addresses are on file. Producers will be mailed a letter informing them to disregard the 1099′s previously mailed. If they did not earn commissions in 2011, they will not be sent a revised copy of the 1099. Those producers who did earn commissions in 2011 will be receiving a letter in the mail along with a revised 1099.
Most importantly, the issue was identified prior to Cigna sending the IRS the 2011 commissions. Therefore, the 1099′s that the IRS will receive will have the correct information for all producers for the 2011 calendar year. They are expecting all revised 1099′s — along with all stuffers and letters — to be mailed or emailed out to producers no later than Monday January 30, 2012.
