Montana Regulator Warns of Bad Insurance Policies Being Peddled

Montana’s insurance commissioner says a Tennessee man is peddling unauthorized car insurance policies.

Commissioner Matthew Rosendale sent a cease-and-desist letter last week to Mervin Graber of Whiteville, Tenn., after about 20 people bought policies, most of them in the Flathead Valley area.

Rosendale says Graber’s Tennessee Christian Mutual Motorist Aid is an unlicensed company whose polices aren’t backed with the ability to adequately pay claims.

His letter warns Graber to stop or be fined up to $25,000 per additional violation. Rosendale spokesman Kyle Schmauch says the agency will seek fines for previous violations.

Rosendale’s counterpart in Michigan sent Graber a cease-and-desist letter for selling policies in that state in 2013. Schmauch says Graber has sold policies in 18 other states, too.

A phone number listed for Graber at his Tennessee address was disconnected.

Topics Tennessee Montana