Insurance broker Hilb Rogal & Hobbs learned settling with Attorney General Richard Blumenthal didn’t keep the AG from airing the company’s dirty laundry.
At roughly the time when Connecticut Attorney General Richard Blumenthal wrapped up a press session last Wednesday in which he announced a $30 million settlement with insurance broker Hilb Rogal & Hobbs for steering business to insurers in exchange for hidden fees, AG staffers filed a complaint in Hartford Superior Court. A complaint against HRH. For steering business to insurers in exchange for hidden fees. But less than a minute after he filed the detail laden lawsuit, the AG withdrew the action.So if all parties reached a settlement, why file a lawsuit, and then have it withdrawn?In this case, filing a lawsuit put all of the allegations against HRH in a public document, which otherwise would have remained private.“We feel having the case on record sets forth our case and provides the public with all the relevant facts,” Blumenthal said. “It also enables victims of illegal practices to evaluate the settlement and seek their own remedies.” The attorney general said he usually reserves the right to release whatever details his office sees fit. “The other side can choose to either admit or deny it,” he said. “I’m not anticipating they would admit it.”