AIG Reaches $450 Million Settlement Over Premium Reporting Practices

Before you go, we thought you'd like these...
Before you go close icon
American International Group (AIG) plans to payout a $450 million settlement to seven insurance companies over allegations it under-reported workers' compensation policy premiums, according to a CNBC report. Hartford Financial Services Group (HIG) and Travelers (TRV) are among those in the settlement agreement, however the parties that brought the lawsuit, Safeco Insurance of America and Ohio Casualty Insurance, are not.

Sponsored Links
The lawsuit, filed in 2009, alleged AIG engaged in under-reporting workers compensation policies to the tune of $1 billion. Back in 2006, AIG reached a $1.6 billion settlement with federal regulators and the state of New York, admitting to engaging in similar practices involving workers compensation policies, CNBC noted.

AIG allegedly engaged in this practice as a means to avoid certain market obligations and insurance taxes, the report notes.
Read Full Story


S&P 500 2,353.76 5.31 0.23%
DJIA 20,721.24 59.94 0.29%
NASDAQ 5,835.63 13.99 0.24%
DAX 12,039.68 135.56 1.14%
NIKKEI 225 19,085.31 43.93 0.23%
HANG SENG 24,327.70 7.29 0.03%
USD (per EUR) 1.08 0.00 -0.07%
USD (per CHF) 0.99 0.00 0.12%
JPY (per USD) 111.04 -0.32 -0.29%
GBP (per USD) 1.25 0.00 0.32%

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners