Ace makes settlement on commissions
Ace Limited will pay $US9 million ($10.9 million) in fines and compensation to the Insurance Department of Pennsylvania to settle charges arising from its contingent commissions practices in 2004.
The insurer has also agreed to comply with the business practice guidelines that it established in 2004 to ensure ongoing anti-trust compliance in its domestic operations.
It says the settlement will be paid from reserves set aside in prior quarters and will have no effect on the financial results for this year.
Ace Limited General Counsel Robert Cusumano says the settlement is an important step towards closure of insurance industry investigations that began in 2004.
“We are pleased to be able to resolve these issues with our primary insurance regulator after an investigation that extended over several years and included thousands of documents and dozens of interviews.”
The insurer has also agreed to comply with the business practice guidelines that it established in 2004 to ensure ongoing anti-trust compliance in its domestic operations.
It says the settlement will be paid from reserves set aside in prior quarters and will have no effect on the financial results for this year.
Ace Limited General Counsel Robert Cusumano says the settlement is an important step towards closure of insurance industry investigations that began in 2004.
“We are pleased to be able to resolve these issues with our primary insurance regulator after an investigation that extended over several years and included thousands of documents and dozens of interviews.”