Connecticut is receiving about $1 million as its share of fines and penalties from insurer American International Group under a multistate settlement over allegations that the company under-reported workers compensation insurance premiums, authorities say.
Insurance Commissioner Thomas B. Leonardi announced the settlement Monday.
Leonardi said a multistate examination of AIG began in 2008 and found that the company under-reported more than $2 billion in workers’ comp premiums, ascribing them to other insurance lines of business, reducing its taxes and assessments.
As part of the settlement, AIG agreed to pay $100 million in fines and $46.5 million in premium taxes and assessments. All 50 states participated in the settlement.
