Kreidler fines WalMart for selling warranties without license

Insurance Commissioner Mike Kreidler disciplined and issued fines in May totaling $52,750 against insurance companies and people who violated state insurance regulations.

WalMart sold tire warranties to Washington state consumers without being a licensed insurance producer, as required by Washington state law. The warranties cost $10 per tire and Wal-Mart sold 112,561 warranties to Washington consumers from June 2014 until July 2016, for a total of $1.1 million. The insurance commissioner ordered the company to cease and desist selling warranties in January 2017. The company has stopped selling the warranties in Washington state until it becomes licensed and agrees to pay premium tax on the warranties and a $20,000 fine.