Lloyd’s has told underwriters to stop writing any programmes associated with the National Rifle Association of America (NRA).
The Corporation said that it had given “very careful consideration” as to whether Lloyd’s syndicates should continue to insure programmes offered, marketed, endorsed or otherwise made available through the NRA.
“This is now subject to an inquiry by the New York Department of Financial Services (NYDFS). Therefore, Lloyd’s Corporation has decided to direct underwriters in the market to terminate any existing programmes of this type and not to enter into any new ones”, Lloyd’s said in a statement.
The move comes after insurance giant Chubb was fined $1.3mn by the DFS earlier this week for its involvement in an NRA ‘Carry Guard’ insurance programme, which a DFS investigation found “unlawfully provided liability insurance to gun owners who may be charged with a crime involving legally possessed firearms”.
The Carry Guard programme provided coverage in any criminal proceeding brought against the policyholder or their family - including bail money, expenses incurred during the investigation and any defence costs.