Zurich has agreed to pay $153m to settle allegations involving practices surrounding broker compensation and insurance placement.
The insurance-based financial services provider will pay $88m in restitution to excess casualty policyholders and $65m in fines.
The 'Three State Agreement' involves Zurich Holding Company of America and Zurich American Insurance Company, on the one hand, and the attorneys-general of New York, Connecticut and Illinois, on the other.
None of the Zurich parties to the deal admits any violation of US federal or state laws.
James Schiro, Zurich's chief executive, is confident the company has the right structures in place going forward. "With our significantly enhanced compliance structure, and our company-wide commitment to ethical behaviour and outstanding service, we have in place standards that promote the best interests of customers, agents, brokers and Zurich."
