Banks, insurers oppose bill aimed at preventing 'debanking' of gun owners; sponsor says it protects Second Amendment rights

Sen. Ken Bartner opened Senate Bill 176 by linking the measure to national reports of "debanking" of gun owners and businesses. "This bill ensures that individuals, groups and businesses in Montana cannot be denied financial or insurance services simply for exercising their Second Amendment rights," he told the committee.

Supporters — including the Montana Shooting Sports Association and several firearm business advocates — argued the measure is largely declaratory of constitutional protections and would prevent national payment processors and out‑of‑state insurers from cutting off lawful Montana businesses. "This is a national problem," Peter Reiss testified, and the bill would prevent that problem from "leaking into Montana."

Opponents lined up from the banking and insurance industries. Charles Robison of the Montana Chamber of Commerce warned that broad, undefined prohibitions combined with penalties (the bill's draft included daily fines) risk punishing ordinary business risk management, could force insurers or lenders to leave the state and might undo existing private‑property protections. Sam Sill of the Montana Bankers Association said the bill would remove banks' ability to underwrite and price risk and could "unleash a flood of lawsuits" because the draft lacks clear definitions and enforcement guidance.

Bank and insurance trade witnesses pointed to existing federal and state laws governing discrimination and rating practices and urged the committee to tighten the bill's definitions or decline to pass it. The committee debated private‑property carve‑outs and possible amendments; after deliberations the measure failed a committee vote and was later tabled.