Attorney General Martha Coakley’s Office has entered into a settlement with Ohio-based insurer Great American Insurance Co., resolving allegations the company was involved in a scheme with American International Group Inc.

The suit alleged Great American submitted a fake and intentionally uncompetitive insurance quote to Norwood-based Analog Devices Inc. as part of a scheme to ensure AIG won Analog Devices’ 2004 insurance renewal. 

Under the terms of the settlement, which was filed yesterday in Suffolk Superior Court, Great American is required to pay $60,000 to Analog Devices and $116,000 to the commonwealth. 

"Rigging insurance bids is a serious offense that unfairly inflates insurance costs for consumers," said Coakley. "We believe this settlement will deter similar unfair behavior in the future."