DCBS Media Release

September 27, 2004
For More Information:
John Piper, 503-947-7213

State orders Salem man to stop selling insurance

SALEM – The Department of Consumer and Business Services (DCBS) has issued a cease and desist order against a Salem man who continued to transact insurance even after his license was revoked.

An investigation by the DCBS Insurance Division found that Grant H. Gilbertson accepted premiums for a nonexistent auto insurance policy as recently as June 2004, even though his license was revoked and he was fined $5,000 last October for several violations of the Oregon Insurance Code, including illegally withholding premiums from insurers and making misrepresentations to a policyholder and an insurer. The Insurance Division later slapped Gilbertson with a $41,000 fine in May 2004 for soliciting 41 applications for auto insurance through the Oregon Assigned Risk Plan (OARP). The OARP helps high-risk drivers find limited coverage through authorized insurers.

"Mr. Gilbertson is not licensed to sell insurance in Oregon or authorized to collect premiums," said Oregon Insurance Administrator Joel Ario. "Under no circumstances should consumers give him money for insurance. If they already have paid him, they should contact the insurance company he claimed to represent to make sure they have coverage, or they can contact the Insurance Division and we will check for them."

The Insurance Division found that many of Gilbertson's victims did not speak English or had limited English skills.

Gilbertson has appealed his license revocation and $5,000 fine to the Oregon Court of Appeals, where the case is pending. He didn't appeal the $41,000 fine but hasn't paid it. His license remains revoked during the appeal process.

Gilbertson was licensed as an Oregon resident insurance agent from Aug. 3, 1990, to Oct. 12, 2003. His last recorded business address was Gilbertson Insurance, 1815 Center St. NE, in Salem.

The Insurance Division regulates the sale of insurance products and services in Oregon. State law prohibits anyone from selling, soliciting or negotiating insurance in Oregon without being licensed.

Consumers can check to see if an agent is licensed in Oregon by visiting the Insurance Division's Web site: insurance.oregon.gov. Those without Web access may call the Consumer Advocacy Unit, 503-947-7984, or 1-888-877-4894 (toll-free message line).