Aon Agrees to $15 Million Settlement With Pennsylvania Teachers

A unit of Aon Plc agreed to settle a class-action lawsuit alleging that calculation errors and faulty investment advice caused Pennsylvania public school teachers to make millions of dollars in extra contributions to their pension fund.

The firm’s Aon Investments USA subsidiary agreed to pay $15 million to settle the allegations, according to a filing last week in federal court in Philadelphia. It’s the third settlement between teachers and advisers to the $80 billion Pennsylvania Public School Employees’ Retirement System, the state’s largest public pension fund.

Asset managers Hamilton Lane and Portfolio Advisors previously settled allegations in the case ...