NRA-Marketed Insurance Hit With Crackdown From California Regulators

September 12, 2018 by Katherine Chiglinsky and Polly Mosendz

California’s insurance regulator ordered the National Rifle Association to stop marketing an insurance product without being licensed.

A “Carry Guard” product was allegedly being marketed by the NRA in emails sent to subscribers that featured the group’s spokeswoman Dana Loesch and Executive Vice President Wayne LaPierre, the regulator said Tuesday in a statement. In May, New York regulators said an investigation found that the NRA marketed those policies online and through the mail, while not having a license to do so.

The NRA fought back against New York in May, filing a lawsuit that accused the Department of Financial Services of abusing power and stifling free speech. Gun-control advocates have compared the Carry Guard insurance policies to “murder insurance.” The NRA can request a hearing to review the California regulator’s order, which is over a policy that covers bodily injury or property damages that result from the legal use of a firearm, the regulator said.

The NRA said was assured by insurance broker Lockton Cos. that its insurance programs were in line with state regulations, according to its attorney, William A. Brewer III.

“The NRA believes that it acted appropriately at all times,” Brewer, a partner at Brewer Attorneys & Counselors, said in a statement. “To the extent there are questions about Carry Guard and the marketing of the program, the NRA relied upon Lockton to administer the program and oversee its availability to California consumers.”

A call to Lockton’s office in Kansas City, Missouri, made after regular business hours wasn’t immediately returned.