MetLife Agrees to Pay $76-Million Settlement

MetLife Inc., the biggest U.S. life insurer, will pay $76 million to settle a lawsuit brought against one of its units over Medicare payments.

The New York-based company said its General American Life Insurance Co. unit and the U.S. government had agreed to a civil settlement relating to General American’s Medicare contract business, which ended in 1998, two years before MetLife acquired the company. MetLife also agreed to stop seeking Medicare business for five years.

The lawsuit, filed in U.S. District Court in St. Louis, alleged General American knowingly provided false information to the Centers for Medicare and Medicaid Services, the agency responsible for administering the Medicare program. General American acted as a Medicare carrier for Missouri from 1965 through 1998.

MetLife shares fell 13 cents to $28.67 on the NYSE.