With California around the corner, there are many insurance carriers contemplating or conducting analysis if they should start offering cannabis insurance to this fast growing industry.   These insurance carriers might be admitted or non-admitted insurance companies seeking valid and credible information with structuring a cannabis insurance program through the right partners. 

Insurance company executives, attorneys, actuaries, or other parties representing their respective interests actively conducting due diligence may want to contact us through the Expert Calling Network for a confidential consultation.  Greenpoint Insurance Advisors, LLC is a retail insurance broker specializing in cannabis insurance since 2009.  We've worked with hundreds of licensees in the areas of insurance procurement and risk management.     

Important considerations if you're an insurance carrier:

• What types of risk should the insurance carrier consider?
• What product distribution channels should I use or avoid?
• Coverage analysis
• Other variables to consider known and unknown
• Contractual forms considerations
• Exposure analysis:  liability, propert

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Colorado Law Now Requires Marijuana Transporters be Licensed to Move Product

©2017 Greenpoint Insurance Advisors, LLC

Recently, Colorado House Bill 16-1211 was signed into law requiring medical and recreational marijuana transporters to hold a state issued licensed.  Using company vehicles, these businesses provide transportation of cannabis product from licensees and may offer the ability to store product at their business location or distribution point. 

Colorado House Bill 16-1211 Marijuana Transporter Insurance[/caption]As a condition of their license, a transporter must have insurance.  The law is silent as to the type of insurance, but in our opinion the purchase of commercial automobile insurance would be a minimum requirement with possibly commercial liability and property insurance particularly if the licensee maintains a storage or distribution facility.

A question that should be raised is how will the cannabis product be insured or covered during transportation or storage?  This will be a difficult issue to address through insurance as carriers offering commercial automobile or business property have avoided insuring the property of others when ...more

Better Pricing, More Competition, and Innovate Insurance Products

©2017 Greenpoint Insurance Advisors, LLC All Rights Reserved

The non-admitted insurance market has been the only provider of insurance products to the cannabis industry since the beginning.   These carriers have served an important role for cannabis companies who've required  insurance to meet lease obligations, licensing, and as a matter of public policy.  At the same time, they've had the cannabis industry jump through many underwriting hoops ranging from how to store your product during non-business hours to declining applications for either deficient testing or foreign made vape pens. Plus, the pricing for certain products has not been favorable

However, if California Insurance Commission Dave Jones has his way, the non-admitted insurance market could be replaced by admitted carriers that would allow increase competition, reduced pricing, and possibly insurance products customized for the pot industry.  For retail insurance brokers and their clients, the act of completing difficult insurance applications could be replaced by an online application would be nothing short of mi...more

Are There Other Marijuana Insurance Companies that Offer Just Commercial Liability Insurance or Product Liability Insurance?
Yes!

This question was presented most recently when a cannabis grower needed commercial general liability only.  They weren't interested in buying product liability insurance at the time due to cost constraints.  The additional premium was close to $2,800 per year.  Unfortunately, the retail insurance broker presented insurance quotes for two different insurance policies could not comprehend or consider this was beyond their budget.   The insurance carrier and its representatives required that both policies be purchased as a condition of the sale.    

If you need marijuana insurance that doesn't require you to buy commercial liability and product liability "packaged" together the good news is there are other marijuana approved insurance companies willing to offer you the single line of insurance. 


Originally Posted on MarijuanaDispensaryInsurance.com
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By J.B. Woods, Greenpoint Insurance Advisors, LLC  © 2017 All Rights Reserved  (This article was originally published in Trusted Choice of Colorado)

The most recent election captured the attention of the insurance industry when states like California, Nevada, Massachusetts, and Maine voted to legalize marijuana along with medical marijuana initiatives being approved in other states such as Florida, North Dakota, and Arkansas.  Over half of the United States has some form of marijuana law.  According to Arcview Market Research, the marijuana industry resulted in $6.7 billion in sales for 2016 and made it one of the fastest growing industries.1

With the amount of growth in the marijuana industry, most insurance brokers are inclined to believe that insurance companies would be eager to offer commercial products such as commercial liability, product liability, directors & officers, property, and workers compensation.  This has not been the case, as insurance carriers have grappled with the notion of insuring a product that is federally illegal.  The result has been disappointing, as insurance companies have eagerly entered, but then later exite...more

The Golden State Could Be a Game Changer for the Marijuana Insurance Industry
©2017 Greenpoint Insurance Advisors, LLC

Breaking news out of California when The Californian reported California Insurance Commissioner Dave Jones wants admitted insurance carriers to insure marijuana.  This will not be an easy task for Commissioner Jones considering the fact Lloyds of London does not offer insurance to the marijuana industry. 

For those who may not know, admitted insurance carriers are well known companies approved and  subjected to regulation by the state in which they operate.   Admitted insurance carriers are typically companies like Travelers, Hartford, Farmers, and State Farm to name just a few.   Historically, these companies have no interest in insuring marijuana. 


Currently, the cannabis insurance industry purchases insurance through the non-admitted insurance markets.  There is less competition, more stringent underwriting, and limited coverage offerings.  For example, product liability and directors and officers insurance is extremely difficult to procure.  The few insurance carriers offering the coverage ...more

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