If gun owners are mandated to have insurance, new guns can be monitored. But what about the 300,000,000 guns currently held by individuals, including illegal guns? Clearly, no system of insurance, gun regulation, or police activity can deal completely with problems arising from such massive numbers. The system of chaining insurance responsibility “Top Down” works to retain guns in the system one there, and stolen or otherwise illegally acquired guns will retain the insurer of the last legal owner. But the outstanding guns in the hands of criminals and a good proportion of those owned by otherwise law abiding owners will not be enrolled in insurance without good reason.
Although it might be assumed that political considerations will mean guns currently owned will be grandfathered in, that does not have to be the case. Legislators could establish a policy whereby all guns must be insured. When state or national laws are adopted to require insurance for guns sold by manufacturers or passing through the hands of legal gun dealers, the laws can require that persons owning guns acquire insurance.
In spite of declarations in the media from some gun proponents that they will not comply with various proposed measures regulating firearms, most gun owners are legal and responsible citizens and will comply with a requirement after a reasonable period of time. They will be able to purchase insurance and have their gun’s serial number added to the database without revealing their names to anyone other than their insurer. Much of the insurance now sold to gun owners is now provided to them in association with the NRA, and there is no reason that this cannot continue for those who have concerns about insurers protecting their privacy. Of course, any insurer, even the NRA, would have to comply with financial regulation as an insurer and provide the mandated insurance compensations for victims.
The database suggested as a part of the “Top Down” system would provide a quick way for a law enforcement officer to check if a particular gun is insured. The database is designed to provide a quick way to find the insurer responsible for a particular gun, but contains no information about the gun’s location or owner. An officer finding the gun as part of an action for some investigation or arrest can check if the gun is properly covered. Guns are routinely and legally declared when they are shipped in luggage on airlines and may have to be declared when brought into controlled places depending on local laws. Insurance can be checked in these situations as well.
I have been advocating a mandate for gun insurance for two years now. In order for insurance to cover the majority of shootings, it must cover not only the original, proper or legal owner of a gun but anyone who might pick up the gun or steal it and later use it. This is the most controversial part of my recommendation, which is:
Insurance should be required of manufacturers and importers of firearms that would cover all persons injured with a firearm having at least the benefits for an injured worker of average wages under workers compensation in the state where the injury occurs. The insurance should remain in effect no matter how the gun is transferred to anyone else until it is replaced by similar insurance taken out by a new owner or the gun is certified destroyed.
This is the first of a series of posts which are designed to show that workers’ compensation systems, insurance and laws are an excellent–the best that we have–model for dealing with gun violence victim compensation and for reducing that victimization.
A little over one hundred years ago, our country faced a crisis that was quite similar to the gun violence problem that we now face. Industrial and work related accidents were completely out of hand, producing deaths and injuries that reached almost every family. Looking back on my own family history, a great uncle on my fathers side was killed and my mothers grandfather lost an arm–both in railroad accidents of that era. It’s mostly forgotten today but it was a great issue at the beginning of the twentieth century.
It’s hard to get thoughtful responses to the ideas published on this blog. Most comments are from people who simply assert their, usually negative, conclusions. When I get a response such as The Truth About Maryland’s recent post “Mandatory gun insurance: an interesting smart idea that won’t really work. A primer, from a finance and insurance geek,” I welcome the chance to look for new information or approaches to the problem of dealing with gun deaths and injuries. Insurance is a tool and gun injuries are a problem that to be addressed by that tool require that it be specifically adapted to the problem. For example, the parallels between automobiles and guns are striking because both are widely used instrumentalities that result in a substantial amount of death and injury; but this blog outlines differences in the best implementations of insurance.
Amar Kaleka is a candidate for Congress from Wisconsin running for the seat now occupied by Paul Ryan. He is the son of one of the persons killed by a Neo Nazi white extremist at the Sikh Temple in Oak Creek Wisconsin on August 5, 2012. He has gun safety as a key issue in his platform. Of particular interest to this blog is the third point on the “American Peace Plan for Gun Responsibility.”
3. Mandatory accidental discharge insurance on all gun sales and ammo. When there is an accidental discharge and someone is harmed or victimized by an irresponsible gun owner, the burden of fiscal responsibility is left in limbo. Private insurance carriers have the ability to determine the gun buyer’s biography, health, and criminal record. Insurance companies and the market would decide reasonable premiums based on the type of gun purchased, carrying in public, or what type of training or the expertise of the gun owner. The Federal government does not have this ability.
The announcement was made on August 30, 2014 in Santa Monica, CA with Richard Martinez, father of 2014 Santa Barbara shooting victim Christopher Michaels-Martinez; and Patricia Maisch, survivor of the 2011 Tucson, Arizona shooting. It was picked up by Insurance News Net.
Limiting the mandate to accidental discharge makes the coverage much more narrow than the insurance advocated by this blog, but it is in line with many plans introduced in several states. The argument that any insurance will cause insurers to take an interest in gun owners level of responsibility is probably a reasonable start. The actual number of cases that insurers would have to pay would be small enough that it would end up being a very affordable coverage and is probably already covered by most homeowners insurance.
The point that insurers can do evaluations that the Federal government cannot is a good one. The “Top Down” system advocated by this blog is based on that idea with a method of guaranteeing insurance for all guns without general governmental gun registration.
Gun Insurance Blog salutes Amar Kaleka for his courage and foresight in placing gun insurance in his platform in a clear and open manner.
The District of Columbia is scrambling to react to a Federal District Court decision that threatens to invalidate the ban on carrying guns for self-defense in DC. The current law in accordance with the direct decision by the Supreme Court in Heller v. DC forbids carrying guns outside the home except by certain classes of armed professionals. There has been a 90 day suspension of the application of this decision for an appeal which could be used to enact legislation which allows registration for that purpose. If DC is required to allow individuals to carry guns in public there are various options in regulating such carrying that are in accordance with the recommendations of this blog.
They should certainly increase the level of responsibility that gun owners have if their guns result in injury. They can pass provisions in the Municipal Code which are parallel to the specific requirements that give motorists a duty not to follow so closely as to strike other vehicles in the rear and a duty not to strike pedestrians in crosswalks. There should be provisions in the DC Code to establish a duty, with a presumption of negligence if not followed, to avoid the following:
Allowing a gun to make an unintentional discharge.
Allowing a gunshot to strike an unintentional target or a person not intended to be shot.
Allowing a gun to get into the hands of an underage person or a person prohibited from possessing firearms.
The National Rifle Association (NRA) and several other companies or organizations sell or sponsor the sale of insurance to defend and indemnify gun owners from liability in self defense situations. They do this on a nationwide basis and promise protection in a wide range of situations where the purpose of the gun use is to defend ones person or property. The point of this insurance is to have no restriction against covering self-defense as an intentional or willful act. The question raised in this post is: How can this be possible under California’s Insurance Code?
In addition to policy arguments such as those against putting costs and responsibilities on the public or burdens on gun owners, the insurance industry has offered two major substantive arguments against mandating gun insurance. The first, which is the claim that insurance does not and cannot cover, intentional or criminal arguments is simply false. This has been extensively explored by this blog at the post entitled “Gun Insurance for Willful, Intentional & Criminal Acts.” The second argument is basically a “Chicken and Egg” objection. They claim that insurers have no experience to price such insurance and that without ratings experience such insurance cannot be sold. This post is to show the reasons that this objection is of greatly diminished importance in the case of mandatory gun insurance.
Why can’t insurers simply add up the losses that are occurring as they are reported by emergency rooms, as part of claims for various other kinds of insurance, media reports and government statistics and assign them different weights in an estimate? The basic reason is that, with voluntary insurance, the people who will actually buy the insurance are not a representative sample of the risk exposed public. Sometimes that works for the insurers advantage because people can buy insurance because they are more than typically responsible in many ways and produce fewer than average claims. But those who know that they have an elevated risk can buy insurance for that reason as well. Continue reading →
Illinois Majority Caucus Chairman Ira I. Silverstein has introduced a new bill (SB2656) in the Illinois General Assembly to require that gun owners have liability insurance. This bill covers willful as well as accidental shootings by the owner or others. It covers lost or stolen guns until they are reported.
This would be very helpful legislation if adopted as introduced and could form the basis of a more detailed and developed requirement to cover more victims. Because it designates continued responsibility for unreported stolen guns it recognized the important of gun theft for supply to illegal gun possession.
The insurance model recommended by this blog is designed to have insurer retain responsibility for guns after they are stolen. That means that if a responsible gun owner has a burglary and a gun is stolen and then after the gun changes hands, goes underground and turns up to injure someone in a distant location then the gun owner’s insurance will have to pay. Gun defenders are quick to object and say that the burglar and the shooter are responsible and the gun owner shouldn’t be held to account for their acts.
In those cases the criminals are, of course, responsible and if they can be caught and have resources they should be the first to pay to the injured party. Unfortunately, they often aren’t caught and they don’t have resources and, if they go to prison for their crimes, are unlikely to earn enough in the future to redress the damage they have done. So the question is should the legal gun owner or the gun owner’s insurance be held responsible in light of their role as enablers of this unfortunate situation. My answer is that they should be.