PORTLAND – Problems including lawsuits, stock losses and negative publicity have created a humbler UnumProvident Corp. that is emerging from its financial troubles as a stronger company, the company’s chief executive says.

The nation’s largest disability insurance company has been cleansed of the “arrogance” brought about by market dominance, said Tom Watjen, president and CEO.

“In claims, it may have been one of the areas where the corporate arrogance came through,” he said. These days, he said, UnumProvident is stressing customer service and a more humble approach with its customers.

Watjen stepped in two years ago to replace ousted president and CEO J. Harold Chandler.

A difficult merger, unexpected financial losses and steep stock drops were compounded by accusations that the company withheld payments on valid claims, which led to investigations by attorneys general and a spate of bad publicity.

Those difficulties have led to a change in business strategy in which the company picks and chooses customers that promise better profitability instead of simply chasing large customers, Watjen said.

The rebuilding process, which included the sale of some business units and restructuring of debt, is complete, he said.

California recently reached a settlement on its complaints with UnumProvident, following completion of a review of business practices ratified by 47 other states. And the company’s once-tarnished stock is rising again.