HELP - Cragar SS Lug Nut Washers Keep Crushing - Need Alternatives!

I have never seen a 7/16 left or right hand lug nut have an 11/16 head on it. Ever. Ever. I have probably 25 solid year in tires/wheels/balancing/alignment and suspension. Never seen this problem before, either. Appears that the washer is not fitting into the recess and as the nut is tightened down it is pushing the inside of the washer down against the recess. Did you test fit the washers first to make sure that they do fit completely into the recess where they are suppose to go?

OUTSIDE DIA OF WASHER IS TOO LARGE