6. Types of Cannabis Coverage: General
Liability
Premises: Protection against liability
claims arising from bodily injury and
property damage.
Products Liability:Protects your business
when your product harms your customer.
This coverage will pay forthe damages
and injuries caused by your product.
CompletedOperations: Protects your
business from lawsuits brought against
you from services you provided.
**MostCarrierslimitthiscoverageto
$1millionoccurrence/$2million
aggregate
7. Why AreThese Coverages Important?
EX: A customer or patient suffers
harm after smoking/consuming
your product and incurs medical
bills and unable to work. They hire
a lawyer to recover their loss of
income and medical bills.
Your cannabis operationis now
responsible for their damages.
PROTECTYOUR BUSINESS
AGAINST LAWSUITS!
8. Types of Cannabis Coverage:
Property/Building/Crop:
Protection For-
• Building
• Machinery
• Grow equipment used in business
• Inventory/harvested crops/retail stock
• Tenant improvements- fixtures
THEFT, FIRE, SMOKE, EXPLOSION,
EQUIPMENT BREAKDOWN, WATER
DAMAGE,VANDALISM, HAIL,WIND.
**SomeCarriers will exclude theft,
IMPORTANTTO ASKYOURAGENT!
9. Why AreThese Coverages Important?
•Protect your loss of
incomewhen your
business is down.
•Recover damaged
property from
unforeseen hazards
PROTECTYOUR
BUSINESS INCOME!
10. Types of Cannabis Coverage:
Professional Liability:
Protectsyourbusinessfromlegal
consequenceswhen an employee
makes a mistakethat causesa
customertolosemoney.
Common Examples:
• Dispensing the incorrect product
• Failure to give the prescription to
authorized caregiver
• Failure to confirm identity of patient before
dispensing
**This is a separatepolicy- not required
11. Why AreThese Coverages Important?
PEOPLE MAKE MISTAKES
MISTAKES LEADTO LAWSUITS
LAWSUITS LEADTO EXPENSES
12. Types of Cannabis Coverage:
Property inTransit/Delivery:
Liability and property coverage
associated with the movement of
marijuana through transportation.
THISCOVERAGE HAS
RESTRICTIONS LIMITS!
$10,000 PRODUCT/MONEY
Business to Business ONLY
14. Submission Requirements:
1. Complete carrier specific application
2. General Information:
• Tax Employer Identification#
• What type ofOperation?
• List ALL Officers/Directors of
business, dates of birth and
home addresses.
**Helpful to list owner with better
credit score first.
15. Submission Requirements:
• Know your projected
ANNUAL
SALES/REVENUE
from each cannabis
specialty
• RATES are based on
annual sales/revenue
and will be audited
16. Submission Requirements:
Provide hard copydetails on how youplanto prevent:
1) Distribution of marijuanato minors
2) Revenue from the sale of marijuana from goingto
criminalenterprisesand gangs
17. Submission Requirements:
1)Know the characteristics of the building you OWN, LEASE,
or OCCUPY.
2) Copy of Lease if tenant
The NEWER the updates- LOWER the RATE
18. Submission Requirements:
Must Have:
1) CentralAlarm – Certificates
2) Approved Safe minimum weight
800lbs- all safes under 2000lb must
be bolted to ground
3) Interior/ExteriorCameras
4) Security must be outside contract
5) Interior/Exterior Photo of Building
