Illinois Union Insurance Co. has paid a $102,000 fine after Washington Insurance Commissioner Mike Kreidler ordered the company to cease underwriting self-defense policies branded by the National Rifle Association.

After an investigation, Kreidler ordered Illinois Union in January to stop underwriting the illegal policies in the state because they insure unlawful activity. The company agreed in a consent order to pay the fine.

The company reportedly sold 811 policies to Washington consumers, marketed through the NRA’s Carry Guard program. The policies offered upfront money for covered costs and expenses related to criminal defense for gun owners, even if the insured subsequently pleads guilty to or is convicted of a crime.

Washington law prohibits insurance that covers intentional criminal activity by the policyholder.

Illinois Union is a subsidiary of Chubb Ltd. Group and had previously indicated it would stop selling the liability policies nationwide in October 2019. As a result of Kreidler’s cease-and-desist order, Illinois Union immediately halted sales of the policies in Washington.

Kreidler is also seeking to fine Lockton Affinity LLC $75,000. Lockton Affinity is the licensed insurance producer that sold the illegal policies on behalf of the NRA. The company requested an extension until early March to decide whether to agree to the terms of the $75,000 fine or demand a hearing to contest it.

Fines assessed against insurance companies, agents and brokers are deposited in the state’s general fund to pay for state services.