ALBANY, N.Y. (Legal Newsline) — New York Attorney General Eric T. Schneiderman and Comptroller Thomas P. DiNapoli announced Feb. 15 that Trustage Insurance Agency, an insurance company based in Iowa, will pay $75,000 in restitution, penalties, costs and fees after allegations of mailing solicitations for accidental death and dismemberment policies that appeared to come from New Yorkers’ credit unions.
“New Yorkers have a basic right not to be misled by those seeking their business,” Schneiderman said in a statement. “This settlement ensures full restitution for impacted consumers, as well as key reforms to Trustage’s business practices.”
Under the terms of the settlement, Trustage must also make changes to its business practices. The company must show its logo in a prominent position at the top of any solicitation, clearly and conspicuously disclose that the solicitation is about Trustage insurance, and require consumers to supply an account number for any premiums they authorize Trustage to deduct.
Handling the case for New York were assistant attorneys general Amy Schallop and Emily Auletta, with supervision from deputy bureau chief Laura J. Levine and bureau chief Jane M. Azia, all of the Consumer Frauds and Protection Bureau.