NRA To Lose Insurance Program After State Rules It Provides Coverage For “Acts Of Intentional Wrongdoing”
Reuters reports:
Lloyd’s of London said on Wednesday it would direct underwriters to terminate all insurance offered, marketed, endorsed or otherwise made available through the National Rifle Association of America. The move comes after insurer Chubb was fined $1.3 million over its role in an NRA insurance program after an investigation found the NRA’s “Carry Guard” insurance program unlawfully provided liability insurance “to gun owners for acts of intentional wrongdoing”.
Insurance Journal reports:
Through a consent order with DFS regarding the Carry Guard program, Chubb consents to certain violations of New York law governing the sale of policies in the state’s excess lines market, according to a Chubb statement obtained by Insurance Journal.
“Chubb at all times intended and believed its coverage to be in full compliance with New York law,” the company’s statement continued. “Chubb believes that this settlement is the best way to resolve the coverage questions raised by the department and is fully committed to cooperating with the department to remediate any issues or concerns regarding the Carry Guard program.”
The Chubb settlement comes after Insurance Journal reported last week that insurance broker Lockton will pay a $7 million fine for administering the Carry Guard program through its Lockton Affinity subsidiary, which is a licensed excess line broker in New York. The settlement with Lockton was considered the first in New York regulators’ broader investigation of the matter.