The National Rifle Association says it believes it did nothing wrong by offering an insurance policy in California that covers some legal costs in criminal cases or lawsuits when gunfire causes injuries or damage.
The state Department of Insurance on Tuesday issued a cease and desist order that contends the Carry Guard policy was sold without a state license.
NRA legal counsel William Brewer II says the organization relied on assurances from the insurance broker, Lockton Cos., that the program met California regulations.
In May, Lockton agreed to pay $7 million to settle claims that it illegally marketed the policy in New York.
About 2,400 Californians have the policy, which gun control advocates have labeled “murder insurance.”
The NRA sued Lockton after the broker said it would drop involvement with NRA-endorsed policies in the wake of last year’s Parkland, Florida, school shooting.
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