Spitzer Insurance Probe Focusing on TPAs

September 22, 2005 (PLANSPONSOR.com) - An Atlanta-based insurance third party administrator (TPA) has received a subpoena from New York state Attorney General Eliot Spitzer as part of Spitzer's continuing probe of the insurance industry.

Business Insurance reported that Crawford & Co. revealed the Spitzer subpoena, which seeks “various documents” about Crawford’s operations. According to the report, Crawford had 2003 revenues of $99.7 million.

Chief executive Thomas Crawford said he is reviewing the request and could not provide additional details about the information sought. He added that his company will cooperate with the request.

Last week, Spitzer subpoenaed TPA Gallagher Bassett Services Inc., which was believed to be the first subpoena his office has served to a claims administration company since the insurance industry probe began.

Among other things, Spitzer has focused his investigation on allegations of bid rigging among major insurers. (See  MMC Settles ‘Shameful’ Bid-Rigging Case ).