Insurance Requirements for Medical and Recreational Marijuana Transporter
Colorado Law Now Requires Marijuana Transporters be Licensed to Move Product
©2017 Greenpoint Insurance Advisors, LLCRecently, 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
How will the Cannabis Industry Benefit if Admitted Insurance Carriers Start Insuring Marijuana?
Better Pricing, More Competition, and Innovate Insurance Products
©2017 Greenpoint Insurance Advisors, LLC All Rights ReservedThe 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
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