What Clients Say

"The team couldn't have served me better because they were perfect in every way."
"There is no way any other law firm would treat a client, like they treated me. I am forever grateful to them and would highly recommend them. You won't regret it."
" I cannot say enough about Scott and the excellent job he did. It was a pleasure doing business with Scott and your firm."
"I appreciated that I was never made to feel like a bother to anyone. They are very professional."
"Great experience!, knowing that I was being guided and assured by a highly loyal, dedicated professional firm such as Markhoff & Mittman."

view all

Library

New York State Workers’ Compensation

Sanitation Workers Doing Dangerous Jobs

view all

FAQs

New York State Workers’ Compensation

Are workers compensation hearings in New York open to the public?

view all

Best Source of Up-to-Date news on workers' compensation and disability in New York

$1 billion workers’ comp fraud lawsuit against AIG dismissed

Posted on Aug 21, 2009

A New York state investigation and an internal AIG probe revealed that the insurer understated workers’ compensation premiums for decades in order to avoid having to make the required payments. Experts estimate that the fraud led to $60 million in unlawful annual benefits.

The investigation embroiled AIG in a federal lawsuit when they were accused of defrauding the workers’ compensation premium pools out of over $1 billion. The lawsuit was recently dismissed in federal court.

While the federal lawsuit may have been dismissed, AIG still stands to be sued by other insurers who contributed fairly to the workers’ comp insurance pool. It appears that a class-action suit is being formed by a number of insurers against AIG.

It is unclear if this lawsuit and the pending class-action suit will hurt AIG’s ability to sell off assets in order to repay the federal government. The feds provided AIG with $180 billion in bailout money earlier this year, a controversial move that angered many voters.

A spokesman for the National Workers Compensation Reinsurance Pool board has stated that their insurers will fight for a “full and fair accounting” from AIG to remedy their admitted fraud.