AIG premium mistakes mean Minnesota gets $2.2 million

A settlement with insurance giant AIG means Minnesota and seven other states will get $100 million because of insurance premium issues.

Minnesota’s share of the fine and civil penalty will be $2.2 million, which goes to the state’s general fund, the Pioneer Press reports.

An investigation found that AIG had used flawed pricing methods, misreported financial records and had deficient insurance policies over a 20-year period. That gave it an unfair advantage over other companies and caused all workers’ comp premiums to rise.

The federal government had to bail out AIG as part of the financial crisis.

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