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## Management’s Discussion and Analysis of Financial Condition and Results of Operations ITEM 7 

## Index 

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## Introduction 

As used in this document, ‘‘Cigna’’ the ‘‘Company’’, ‘‘we’’ and ‘‘our’’ may refer to Cigna Corporation itself, one or more of its subsidiaries, or Cigna Corporation and its consolidated subsidiaries. The Company is a global health services organization with a mission to help its customers improve their health, well-being and sense of security. Its insurance subsidiaries are major providers of medical, dental, disability, life and accident insurance and related products and services, the majority of which are offered through employers and other groups (e.g. governmental and non-governmental organizations, unions and associations). Cigna also offers Medicare and Medicaid products and health, life and accident insurance coverages primarily to individuals in the U.S. and selected international markets. In addition to its ongoing operations described above, Cigna also has certain run-off operations, including a Run-off Reinsurance segment. 

In this filing and in other marketplace communications, the Company makes certain forward-looking statements relating to its financial condition and results of operations, as well as to trends and assumptions that may affect the Company. Generally, forward- looking statements can be identified through the use of predictive words (e.g. ‘‘Outlook for 2013’’). Actual results may differ from the Company’s predictions. 

Some factors that could cause results to differ are discussed throughout Management’s Discussion and Analysis (‘‘MD&A’’), including in the Cautionary Statement. The forward-looking statements contained in this filing represent management’s current estimate as of the date of this filing. Management does not assume any obligation to update these estimates. 

The following discussion addresses the financial condition of the Company as of December 31, 2012, compared with December 31, 

2011, and a comparison of results of operations for the years ended December 31, 2012, 2011 and 2010. 

Unless otherwise indicated, financial information in the MD&A is presented in accordance with accounting principles generally accepted in the United States (‘‘GAAP’’). See Note 2 to the Consolidated Financial Statements for the effect of the January 2012 retrospective adoption of the amended accounting guidance for deferred policy acquisition costs. Certain reclassifications have been made to prior period amounts to conform to the presentation of 2012 amounts. 

See Note 2 to the Consolidated Financial Statements for additional information. 

Effective December 31, 2012, Cigna changed its external reporting segments to reflect the Company’s realignment of its businesses to better leverage distribution and service delivery capabilities for the benefit of our global clients and customers. Management believes the realignment of its businesses will enable the Company to more effectively address global health services challenges by leveraging best practices across geographies to improve the health, well being and sense of security of the global customers that the Company serves. The changes in the Company’s internal financial reporting structure, to support this realignment, took effect on December 31, 2012 and resulted in changes to our external reporting segments. The Company’s results are now aggregated based on the nature of the Company’s products and services, rather than its geographies. 

The primary segment reporting change is that the two businesses that comprised the former International segment (international health care 

