Montana News

Central Asia Institute sues its insurance company

Posted: Dec 31, 2012 3:17 PM by Adam Bell

The Central Asia Institute is suing its insurance company for hundreds of thousands of dollars in legal fees unpaid by Philadelphia Intermediary Insurance Company.

The Central Asia institute is a Bozeman based nonprofit company that focuses on developing educational resources in Central Asia. The company claims that the insurance company did not pay legal fees that are covered by the contract between C.A.I. and their insurance company. These fees include legal fees for a class action lawsuit filed back in May of 2011 against both the Central Asia Institute and Founder Greg Mortensen claiming fabrications in Mortensen's books. There was also an investigation into the C.A.I. by the Montana Attorney General Office. In a response filed last week, the Philadelphia Intermediary Insurance Company claims not all the claims against the C.A.I. and Mortensen are covered by the C.A.I.'s policy.

The suit claims that as of August, the insurance company has reimbursed the C.A.I. for less than 6% of its total defense costs.