News

Law & the Courts

NRA Pays $2.5M Fine, Suspends N.Y. Insurance Sales

National Rifle Association merchandise at the Iowa straw poll in Ames, Iowa, in 2011. (Daniel Acker/Reuters)

The National Rifle Association has agreed to suspend its insurance business in New York State for five years and pay a $2.5 million fine over charges that it offered insurance to members without a license and hid how it kept some premiums for its own benefit.

The settlement, announced by the state’s department of financial services on Wednesday, resolved charges over the NRA’s business with insurance broker Lockton Cos, which sold over 28,000 NRA-endorsed policies to New Yorkers. One of the plans offered was the “Carry Guard” program, which State Insurance Superintendent Linda Lacewell said illegally offered coverage to help with criminal defense expenses and the “intentional” use of firearms should they shoot their weapons. 

“The NRA operated as an unlicensed insurance producer and broke the New York Insurance Law by soliciting insurance products and receiving compensation,” Lacewell said.

“Even worse, the NRA violated the New York Insurance Law by soliciting dangerous and impermissible insurance products, including those within its Carry Guard program that purported to insure intentional acts and criminal defense costs,” she added.

The NRA allegedly received over $1.8 million in associated royalties and fees through its insurance offers. Lacewell accused the organization of misleading gun collectors, dealers, instructors, clubs and shows by promising coverage at the “lowest possible cost” while ultimately keeping between 13.67 percent and 21.92 percent of premiums paid. 

The NRA defended itself in saying it did not underwrite its insurance programs and it had depended upon industry experts to market products to members. The NRA did not admit to any wrongdoing in agreeing to settle. 

News of the settlement comes just over three months after state attorney general Letitia James sued to dissolve the NRA, claiming it had been plagued by widespread corruption. James’ initial suit said the NRA violated state law governing nonprofit organizations, in diverting millions of dollars away from its charitable mission. She said the group and its top officials oversaw “a culture of self-dealing, mismanagement and negligent oversight.”

The settlement marks an end to the latest in a series of battles between the NRA and New York state officials, including a 2018 lawsuit in which the organization accused Governor Andrew Cuomo of attempted “blacklisting” for pushing banks and insurers to send business elsewhere.

Send a tip to the news team at NR.

Most Popular

Politics & Policy

Biden’s Unhelpful Mask Stance

On the menu today: Joe Biden brings his own problems to the national stage, declaring that he wants Americans to wear masks until the end of his first 100 days in office -- well after the 100 million most vulnerable Americans will be vaccinated! -- and warns that the nation’s death toll from the pandemic will ... Read More
Politics & Policy

Biden’s Unhelpful Mask Stance

On the menu today: Joe Biden brings his own problems to the national stage, declaring that he wants Americans to wear masks until the end of his first 100 days in office -- well after the 100 million most vulnerable Americans will be vaccinated! -- and warns that the nation’s death toll from the pandemic will ... Read More

America Waits Out the Biden Era

Now that the post-electoral haze is clearing a little, and we see that the Democrats so skillfully arranged for massive ballot-harvesting electoral fraud in several swing states that their likely theft of the election may, in yet another demonstration of the atrophied condition of the American legal system, be ... Read More

America Waits Out the Biden Era

Now that the post-electoral haze is clearing a little, and we see that the Democrats so skillfully arranged for massive ballot-harvesting electoral fraud in several swing states that their likely theft of the election may, in yet another demonstration of the atrophied condition of the American legal system, be ... Read More

If You Like Your Police, You Can Keep Your Police

The most amusing thing about the Obama v. the Squad kerfuffle is that there is not actually an inch of substantive daylight between the supposed combatants. Former President Obama does not disagree with the sentiments or objectives of Ilhan Omar et al. He disagrees with their tactic of pursuing it through a ... Read More

If You Like Your Police, You Can Keep Your Police

The most amusing thing about the Obama v. the Squad kerfuffle is that there is not actually an inch of substantive daylight between the supposed combatants. Former President Obama does not disagree with the sentiments or objectives of Ilhan Omar et al. He disagrees with their tactic of pursuing it through a ... Read More
Business

The Climate Warriors are Eyeing Your Plate

The war on red meat, spearheaded by vegetarians (and then vegans) has been going on for years. More recently, the climate warriors have joined in. A decade or so ago, the idea that climate change might have been used as a justification for either banishing meat from the table — or repricing it so that it was ... Read More
Business

The Climate Warriors are Eyeing Your Plate

The war on red meat, spearheaded by vegetarians (and then vegans) has been going on for years. More recently, the climate warriors have joined in. A decade or so ago, the idea that climate change might have been used as a justification for either banishing meat from the table — or repricing it so that it was ... Read More
Film & TV

Wonder Drug Cures All Problems

I’ve just discovered a film that has changed my life. Give it a chance, and it’ll change yours, too. The film is Another Round, by the sly Dane Thomas Vinterberg (The Celebration), and it heralds the discovery of a miraculous substance by four friends, all of them high-school teachers in Denmark, on the ... Read More
Film & TV

Wonder Drug Cures All Problems

I’ve just discovered a film that has changed my life. Give it a chance, and it’ll change yours, too. The film is Another Round, by the sly Dane Thomas Vinterberg (The Celebration), and it heralds the discovery of a miraculous substance by four friends, all of them high-school teachers in Denmark, on the ... Read More