American International Team inc agreed on Monday to pay a $12 million civil penalty to settle costs that it performed life insurance policy company in New York without a license.
The negotiation is the 2nd in a probe by the New York State Division of Financial Services (NYDFS) right into a market in which life insurance providers take control of corporate pension plans.
An AIG life insurance system, American General Life Insurance Company, entered into four large deals entailing such strategies and quote on a number of others in between January 2014 and also June 2019 without being licensed in New York, the regulatory authority said.
AIG will certainly also transfer the handling of such transactions to a New York-based subsidiary, the regulatory authority included.
” We are pleased to have resolved this issue,” an AIG spokesperson stated. “We have been functioning carefully with our regulator throughout this procedure and are taking all required steps to make sure positioning with their industry-wide support.”
There has actually been no interruption for AIG’s pension plan threat transfer business customers or for their New York-based retirement plan participants that will remain to get benefit payments as usual, the AIG spokesperson claimed.