Across the country there is a broad consensus for legalization of cannabis, for a number of reasons from raising needed tax revenue for local governments, to putting an end to pouring resources into arresting, prosecuting and jailing offenders, to those who would argue cannabis is lower risk then alcohol, to those who believe there is a medicinal value, and others who quite simply note it’s a plant that grows naturally on our planet.
Recently Michigan became the 10th state to legalize recreational marijuana, 33 other states allow for medicinal marijuana. The State of Alaska has a legal recreational cannabis industry, creating opportunities for cultivators, retail outlets, testing facilities and manufacturing operations to employ Alaskans and generate revenue that is otherwise going into the black market.
For cannabis business owners, they still face a stigma in certain segments and of course the fact that cannabis is still federally illegal. This effects the way they transport product, and the way the transact business in the financial sector, including banking and insurance.
Some insurance brokerages may elect not to engage clients in the cannabis industry, and we certainly respect their right and decision to make their own choices. In some cases it could be a brokerage owned by a bank who is subject to federal banking laws, and in other cases it may simply be a moral decision that is made.
When recreational cannabis was legalized in Alaska, there were very few insurance companies writing coverage for this industry. Over the last couple years that number has grown to a dozen different markets, most with varying coverage programs that can be customized to meet the needs of the business owner. We can build in coverage for stock, spoilage, theft, and products and put together a competitively priced balance between coverage and cost that works within your budget.
Whether you own a retail store, a cultivation facility, a manufacturing facility, or a testing lab, we have experience working with all of them and currently handle commercial insurance programs in each sector. As well, we are licensed in 17 states (most west of the Mississippi) and can handle accounts across the pacific northwest states.
You’re an expert in your industry, you have every right to expect those working with you in professional capacity also be experts in your industry. Contact our office to learn more about how Business Insurance Associates can be a key asset in your organization.
“Marijuana is a dangerous drug. Some people smoke it just once and go directly into politics.”
If you own a cannabis retail store, your ability to secure products coverage could depend on whether your suppliers are also carrying products coverage?