The New York Department of Financial Services has launched an investigation into the National Rifle Association’s (NRA) part in an insurance program marketed at firearms owners.
The financial regulator is concerned about whether or not the firearms-advocacy group is properly promoting the policy – called the NRA Carry Guard – and if the group is receiving commissions without proper licensing.
Celebrate excellence in insurance. Join us at the Insurance Business Awards in Chicago.
Wall Street Journal reported that the department issued a subpoena yesterday to the NRA, requesting documents and information on the insurance program. The program was launched last April.
Under the Carry Guard program, policyholders can receive $250,000 to $1.5 million of insurance protection. The policy also covers legal fees and access to emergency support services for self-defense cases, which includes a lawyer-referral network.
On top of the subpoena, the Department of Financial Services also sent a letter to units of
Chubb, the issuer of the Carry Guard policies. Another subpoena was delivered to
Lockton Companies. According to a press release by NRA in April,
Chubb underwrites the insurance while Lockton serves as administrator for the program.
Chubb told WSJ that it has received the regulator’s letter and would “provide a timely response.”
Meanwhile, a Lockton spokesman said that Lockton Affinity “is cooperating fully” with the department and that Lockton Affinity is properly licensed.
Related stories:
Wanted – gunfighter insurance
High rate of child gun accidents again raises questions on mandatory insurance
