BUY CANNABIS BUSINESS INSURANCE
Providing insurance coverage options to dispensaries, growers, manufactures, and more. You expect proficient, seasoned, and experienced insurance brokers. Since 2009, we deliver.
WHAT YOU NEED TO KNOW. #GOALS #COST #CONCERNS
Primary goals and concerns for purchasing business insurance for stores, growers, and manufacturers:
- What are your primary risks? What could cause your cannabis business to fail due to a unforeseen event? These are important questions to consider when buying cannabis insurance.
- Dispensaries and stores might be motivated to buy insurance because a concern from a customer “slip and fall” along with theft of their cannabis products. Growers and manufacturers might be more concerned with coverage for their grow equipment, CO2 or butane closed loop systems, or processing equipment. All cannabis businesses should be concerned with meeting their lease agreement’s insurance requirements. Tip: If you are buying stock coverage make sure your safe meets the requirements from the insurance company.
Lease and vendor agreements impact buying cannabis insurance
- Are there any lease or other contracts that have insurance requirements? Most lease agreements have insurance requirements. Vendor contract might require growers and manufacturers to include stores and dispensaries as additional insureds. Tip: Have your insurance broker review the lease agreement to make sure it meets the requirements.
Employee and Directors and Officers are at risk needing cannabis insurance through workers comp, D&O, and EPLI
- If you hired employees you must purchase workers compensation insurance as required by law. Another concern is what if my business is sued for discrimination, harassment, or other employer related claims. Employment Practice Liability Insurance (EPLI) can be purchased to cover these types of claims.
- Directors and Officers (D&O) insurance becomes important if you are concerned with protecting your company from claims associated with a failure to properly govern the corporation.
How much does cannabis insurance cost for stores, growers, and manufacturers?
- Every cannabis insurance company is different. However, most insurance carriers use primarily three factors: revenue, square footage, and coverage type. The revenue is sales before expenses of the business. Square feet is the amount of space the business occupies. Coverage types means the coverage your are insuring such as building, grow equipment, stock, loss of income, etc…. Each coverage type is priced different. TIP: We have exclusive access to an insurance carrier that prices their policies on square feet. The advantage is no audit and less cost.
- We can help look at ways to improve your cannabis insurance coverages and cost analysis by determining what risks are worth having an insurance carrier cover or not.
What information do I need to know about cannabis insurance policies?
- All of our insurance companies are approved for cannabis operations properly licensed.
- Cannabis insurance companies are typically offered by non-admitted carriers. Why is this important? They have fewer statutory obligations with the Department of Insurance and means you should pay closer attention to the policy provisions. Tip: Discuss with your insurance broker the list of exclusions and endorsements included with your quote, binder, or policy.
- If you insuring your cannabis stock coverage you must know the safe and vault requirements by that insurance company. Many insurance claims are denied because the safe did not meet the carrier’s policy provisions.
- There is no such thing as comprehensive or “packaged” coverage in the cannabis insurance industry. You must choose the insurance coverages you want to insure. Example, a coverage extension to cover cash and employee dishonesty is purchased separately. Product liability insurance is typically a separate policy.
- Pay very close attentions to exclusions and endorsements on your insurance quote, binder, and policy. Why? Because these provisions will modify your coverage and your expectations of what is covered might not met.
Information to Landlords with Cannabis Tenants
- If you lease to a cannabis tenant, you must have cannabis approved insurance. Apply for landlord cannabis approved insurance.
- The insurance industry has been underwriting this more closely due to claims from grow fires, and wind/hail. Premiums have been rising. TIP: We have exclusive access to a carrier with favorable pricing and coverages.
- Pay close attention to building coverage limts. The cost of construction has increased dramatically since the pandemic. TIP: We offer a free third party estimate for building replacement cost.
Need to save money on insurance premiums?
- We can help evaluate your premiums if cost and reducing your cannabis insurance premiums is your primary factor for buying insurance.
- 5 Tips to Find Cheaper Insurance
- Tip #1: Pricing General Liability Insurance based on revenue could cost more
- Tip #2: Do you really need the cannabis stock coverage when carrier’s have strict requirements?
- Tip #3: Consolidate holding and operating companies on one policy
- Tip #4: Growers with LED lighting will have more access to insurance companies and save money
- Tip #5: Spend your insurance premium on equipment breakdown and coverage extensions
CANNABIS INSURANCE PRODUCT SOLUTIONS
- General Liability
- Excess Liability
- Product Liability/Product Recall/Product Withdrawal
- Directors & Officers/Employment Practice Liability
- Professional Liability
- Cyber Liability
- Pollution Liability
- Hired and Non-Owned Auto Liability
- Cannabis Stock
- Living Plants
- Buildings and Tenant Improvements
- Property and Equipment
- Vehicles
- Cash and Product In -Transit
- Workers Compensation
- Flood
- Builders Risk
- Surety Bonds
- Event Insurance (Online Quote and Bind)
- Bailee Coverage
- Coverage Extensions
- and More
MITIGATE THE FINANCIAL IMPACT
RISK MANAGEMENT. BUSINESS CONTINUITY. LEGAL COMPLIANCE. PROTECTION OF ASSETS. PEACE OF MIND.
CANNABIS INSURANCE BROKER STANDING BY
LOOKING FOR INSURANCE FROM CANNASURE?
Cannasure is a well known for their innovative suite of cannabis insurance products. If you are seeking to be covered by Cannasure, then please visit our dedicated Cannasure page with a specific online application.
If you’re looking for cannabis insurance Greenpoint Insurance is “the best!”
Trusted Insurance Partners
WE HAVE ANSWERS TO YOUR BUSINESS CHALLENGES
MY STATE OR LOCAL MUNICIPALITY HAS INSURANCE REQUIREMENTS.
In some states or local municipalities, your cannabis business might be required to maintain a specific type of insurance such as product liability, naming the state as additional insured, or certain limits. We have years of experience meeting these types of requirements. Visit our cannabis insurance and bond requirements page for more information.
I HAVE A LOT OF CASH AT MY BUSINESS. IS THERE COVERAGE AVAILABLE?
Yes. We have insurance companies willing to cover your actual cash or money for theft. It is probably one of the most important coverages you can add a an affordable price with less requirements. Learn amount about the cannabis insurance cash coverage extension.
MY LEASE AGREEMENT HAS NUMEROUS INSURANCE CONDITIONS.
Landlord’s continue to enforce important insurance requirements from cannabis tenants such as minimum limits of liability, property coverage, and obligations when their building is damaged by a claim. Let us take help you review your lease agreements with an insurance professional.
IS THERE SPECIAL INSURANCE COVERAGE DURING CONSTRUCTION?
Most likely, yes! The reason is most general liability and property policies could have provisions in the policy that could make it difficult if a claim were to occure during construction. You can purchase a special type of policy known as a “builders risk.”
A VENDOR SELLING MY PRODUCT IS REQUESTING COVERAGE ON MY POLICY.
Manufacturers and growers rely on dispensaries or retailers to sell their products. A retailer might request their business is listed as additional insured on the policy owned by the manufacturers or grower. We are very familiar with these types of requests.
WHAT ISSUES DO I NEED TO KNOW AS A LANDLORD WITH A CANNABIS TENANT?
If you are insured by carriers such as Travelers, Hartford, State Farm, Farmers, or Allstate to name a few, then you must seek coverage from a cannabis approved insurance company. The reason is these well know insurance companies will not insure cannabis or cannabis related companies.
CAN MY CANNABIS BE COVERED OR THEFT BY THE INSURANCE CARRIER?
Yes. What you need to know there are specific requirements in the insurance policy you need to meet with the type of safe you own, vault, and security systems. The safe must typically weigh 800 pounds and bolted to the floor. This does depend on the insuranc carrier. Alarms must be central station.
HOW DO I INSURE MULTIPLE CANNABIS COMPANIES?
Yes, you can typically cover multiple entities such as holding and operating companies all part of your cannabis operations. The key for most insurance companies is if you have common majority ownership i.e. members among the companies.