Washington officials have levied a $100,000 fine against a Wisconsin-based company for illegally promising insurance coverage for shootings.
United States Concealed Carry Association was also barred from selling insurance policies in Washington after it sold policies to gun owners promising to pay legal costs if they were involved in a shooting. According to Washington state insurance commissioner Mike Kreidler, the company bundled the insurance product with membership in its organization.
The plan was advertised as immediately paying criminal defense costs if a member was charged with a crime related to the intentional use of a firearm or other weapon. However, it is illegal in Washington to insure criminal activity, and state officials say there was no clear way for policyholders to pay the insurance company back for legal costs if they were convicted.
USCCA sold insurance to more than 1,600 Washingtonians between December 1st 2018 and January 30th 2019, and collected $241,000 in premiums before voluntarily ceasing sales in the state. Kreidler says the company has paid no claims in Washington.
The company says it’s working on a membership delivery structure that will be acceptable to the insurance commissioner’s office.
Meanwhile, USCCA is not currently selling premiums for its insurance in Washington, New York, or New Jersey.
Earlier this year, Kreidler’s office fined an insurer and an insurance agency a total of $177,000 for selling similar illegal liability policies in Washington state under the National Rifle Association’s Carry Guard program. (Seattle Times)
