Insuring a marijuana dispensary can be a risky proposition; the general legal status of marijuana use and distribution can vary from state to state, and even within the state itself depending on the intended use of the marijuana products. Because the risk of liability and even criminal proceedings is much higher with marijuana dispensaries than many of the other clients you might insure, finding excess and surplus insurance is the best way to proactively minimize the risks of associated claims and to better ensure your client’s financial future. Here are some areas where additional legal cannabis insurance tailored specifically for marijuana dispensary is critical:
- Premises and property liability insurance: If your client’s marijuana dispensary includes facilities for growing and manufacturing consumable marijuana products, then your client has a great deal of expensive equipment to be insured for potentially the first time. Having excess coverage and the event of an electrical fire or other damages can help your clients get back on their feet safely and without risk to their businesses financial future.
- Product liability: Your client is selling cannabis flowers, concentrates, or edibles, and because they are selling those products that are intended for consumption your client needs additional product liability insurance. In the event that a product harms the direct consumer or causes other damages, your client can face present and future claims regarding medical bills and property damage. Whether the alleged claim is successful or not, having additional liability insurance provides additional peace of mind especially as the political and social environment surrounding marijuana continue to remain unstable.
If you’d like to learn more about why Prime Insurance Company is a preferred provider of excess insurance for medical marijuana dispensaries, please contact us here. We’re happy to help you find the right elements of coverage for your client’s business’s array of services, coverage requirements, and insurance concerns.