The director of the Illinois Department of Insurance says the state will take a $3.7 million share of a multi-state settlement with the insurer American International Group, Inc.

Director Andrew Boron announced the settlement with AIG on Wednesday. The agreement settles a complaint that AIG misreported billions of dollars in workers compensation premiums in past years.

AIG agreed to pay a $100 million penalty and another $46.5 million in taxes and assessments as part of the settlement agreement.

The Illinois insurance director says the settlement will mean millions of dollars in unpaid taxes owed to Illinois.