Mark A. Hofmann
9/12/2018 11:28:00 AM
Source: Business Insurance
The California Department of Insurance has issued a cease and desist order to the National Rifle Association, alleging that the NRA marketed an insurance product in California without a license.
In a statement announcing Tuesday’s order, the department noted that the NRA sponsors the Carry Guard Personal Firearms Liability, including Self-Defense Insurance Policy. According to the department, the product provides coverage for bodily injury or property damages that result from the legal use of a firearm.
Insurance Commissioner Dave Jones said, “The California Department of Insurance insists on full compliance with California law that requires persons soliciting the purchase of insurance in California must be appropriately licensed to do so. Because the NRA allegedly failed to comply with this California legal requirement, it became necessary for the department to take this action against the NRA to end this illegal conduct in California.”
The order alleges that the NRA sent emails to mailing list subscribers featuring NRA spokesperson Dana Loesch and NRA CEO Wayne LaPierre explaining why the recipient should buy the policy and outlining policy specifics. “The insurance code prohibits a person from soliciting or negotiating insurance policies in California without valid license,” said the department. “The NRA has never held an insurance license in California.”