New York’s attorney general has reached a settlement requiring a Buffalo-based insurer to pay thousands of improperly denied claims for outpatient psychotherapy and about 125 claims for nutritional counseling for eating disorders.

Investigators found more than $1.6 million in wrongful insurance denials by HealthNow New York Inc., which covers more than 573,000 New Yorkers, according to the attorney general’s office. Insurers have federal and state legal obligations to provide the same level of care for behavioral problems as they do for other ailments.