Hartford Subpoenaed In Spitzer Probe

"Our practice is consistent with long-standing industry practice," said Sue Honeyman, a spokeswoman for The Hartford, reading a statement. "We offer sales commissions and incentives on items such as premium written and growth of book with the Hartford."

"We expect brokers to comply with all applicable laws including disclosure of arrangements," she continued. "We have no objection of disclosure of these arrangements."

She added that the company is not the only one to have received a subpoena in the course of this investigation.

In late April, Marsh, Aon, Willis and Kaye Group, a subsidiary of Hub International, said they received subpoenas from the office of New York Attorney General Eliot Spitzer requesting information about contingency fees, also known as placement service agreements, which are commission compensation for the whole book of business with the carrier.

The Chubb Insurance Group later announced it too received a subpoena. All have said they would fully cooperate in the investigation.

The California Department of Insurance revealed it too is looking into the arrangements. In late May, Connecticut's Attorney General Richard Blumenthal announced he was beginning his own investigation into the program.

Ms. Honeyman said she did not have any information on whether the company had been contacted by either Connecticut or California on the issue.

The fees in question, which have been an issue in the past with no regulatory consequences, have come under scrutiny over concerns that brokers' accepting the payments may fail to obtain the best arrangements for their customers.