California Department of Insurance Issues Cease and Desist Order to NRA
The California Department of Insurance on Tuesday issued a cease and desist order to the National Rifle Association of America alleging the NRA marketed an insurance product in California without being licensed to do so.
The NRA sponsors the Carry Guard Personal Firearms Liability Including Self-Defense Insurance Policy. This product provides coverage for bodily injury or property damages that result from the legal use of a firearm.
“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,” Insurance Commissioner Dave Jones said in a statement. “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.”
In the order, CDI alleges 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 state’s insurance code prohibits a person from soliciting or negotiating insurance policies in California without a valid license. The NRA, which has reportedly never held an insurance license in California, may request an administrative hearing to review the order.
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