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UnumProvident Corp.

Albany, NY: New York Attorney General Eliot Spitzer charged the disability insurance company with deceptive practices and claimed it made secret payments to brokers. The case claimed Unum improperly compensated brokers who pitched several insurance companies' policies to prospective customers. According to the terms of the settlement, UnumProvident will cease contingent commission payments, disclose insurance broker compensation, and will pay $15.5 million in restitution to policy holders and a civil penalty of $1.9 million. (Nov-01-06) [HOUSTON CHRONICLE: UNUM SETTLEMENT]

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Published on Nov-1-06


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