While typically a boring topic, insurance for marijuana businesses is yet another example of the hundreds of new and ancillary companies that have sprung up with the efforts to legalize marijuana across the country. These businesses present a unique set of exposures because of the nature of the product. Insurance companies within the industry are vying for position. Spoilage, contamination and its perishability complicate matters for the insurance industry.
Many policies carry coverage that is similar to those of a vast majority of other businesses like product liability, general liability, workers' compensation and premises liability. However, when your premises are a farm or a grow and your product is a plant or a clone, it muddies the typical insurable coverage.
General liability coverage does not necessarily include product liability coverage when independent testing by an independent lab for the marijuana is necessary. Coverage for your stock or for business personal property may or may not include live plants, clones, buds or flowers. You may want to look in to cyber insurance as any disruption will equal huge losses. This increased risk may carry and increased premium but may be well worth it.
It's also a little tricky as insurances policies have to be in sync with each individual state's requirements and regulations. Just like with any other product or business, we all need insurance. Buyer beware.
PayQwick | TheBlunt Daily | http://bit.ly/InsuranceGrows
- Cannasure: Cannabis Insurance | Marijuana Insurance ›
- High on Marijuana Insurance ›
- Insurance brokers reach out to Marijuana Inc. - CBS News ›
- Getting high on insurance: how marijuana impacts life insurance rates ›
- Marijuana Use May Have Little Impact on Life Insurance Rates ... ›
- Use Marijuana? Comprehensive Guide To Get Life Insurance ... ›
- Why Your Health Insurance Won't Cover Medical Marijuana ›