MetLife Inc., the largest U.S. lifestyle insurer, will pay out $ 60 million soon after New York watchdogs found subsidiaries solicited business in the state without having a license and created intentional misrepresentations to regulators.
MetLife also agreed to cooperate with the New York State Department of Economic Providers investigation into American Worldwide Group Inc., which offered the firms to MetLife in 2010, DFS stated in a statement right now. That inquiry hasn’t been resolved, the department stated.
“Insurers have a obligation to stick to the law, perform by the principles, and be truthful with their regulators,” DFS Superintendent Benjamin Lawsky said in the statement.
MetLife will pay out $ 50 million to DFS and $ 10 million to the Manhattan District Attorney’s Office. The New York-primarily based insurer also agreed to a deferred prosecution agreement with the workplace, in accordance to a separate statement.
MetLife acquired American Lifestyle Insurance coverage Co. from New York-based mostly AIG for more than $ 16 billion in 2010, adding operations in a lot more than 50 countries. The insurers struck the deal as AIG was functioning to repay a U.S. bailout that began in 2008 and swelled to $ 182.3 billion.
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