As the demand for cannabis grows, so does the need for innovative business solutions. While this incredible success has been a boon for businesses within the industry, it has also brought on new challenges to overcome. At GreenWrap Insurance Solutions, we specialize in offering unique insurance coverage to a variety of cannabis businesses. Here, we discuss insurance coverage options you may not have thought about that could be beneficial to your business in the long run.
Protect Your Product with Crop Coverage
As a cultivator, your crops are your livelihood. It makes sense to protect them from unfortunate circumstances that are out of your control. Crop coverage is the protection from damage or loss of growing, harvested, and stored cannabis crops. It covers all stages of the plant’s growth. This type of coverage is typically determined by the number of crops you harvest per year, how many ounces you produce per plant, and the average replacement cost of the plant. Crop insurance may provide coverage for the following:
- Harvested plants
- Flowering plants
- Finished stock
- Vegetative plants
In terms of losses, this type of policy may protect against the following circumstances:
Prevent Potential Liability with Errors and Omissions Coverage
Testing laboratories and scientific organizations are critical for ensuring the health and safety of cannabis products. Whether your laboratory is required to report key data points to the state or you want your business to be protected from evolving state and federal regulations, errors and omissions coverage offers several advantages. Insurance that covers you from professional mistakes can be vital, even if the claim is found to be false in the end.
Protecting Delivery Services
Whether you are a delivery-only dispensary or strictly a distribution company, you may face a set of complicated risks. That means your business can be held liable for damages to vehicles, personal injuries, and medical bills to your employee and third parties. It’s important to verify the drivers and vehicles used for your delivery service or transportation of your product are covered, as well as physical damage to the autos.
As for hemp distribution companies, inland marine insurance can help cover products, materials, and equipment being transported on land by either trucks or trains. Inland Marine also covers heavy machinery, like a fork lift that may be used on multiple job sites.
Guarding Against the Threats You Can’t See
As the cannabis industry thrives, it’s no surprise many key components derive from another booming industry: technology. In many ways, technology has made life for cannabis business owners easier and more convenient. Whether it’s inventory management, running a point-of-sale software system, tracking deliveries, or monitoring customer satisfaction, technology is critical to keeping up with demand and staying in compliance. Cyber insurance policies can protect your cannabis business against a variety of claims related to technology threats and data breaches that could potentially cripple your livelihood. There are even umbrella policies that cover “silent incidents”. This would apply to unknown, unforeseen losses that underlying policies may not cover.
Don’t Wait to Get the Protection You Need for Your Cannabis Business
With the ever-changing cannabis industry, it’s important to know all possible ways to protect yourself and your business. GreenWrap Insurance Solutions has you covered with a wide variety of policies that suit all types of businesses in the industry across North America, the Caribbean, Europe, and sectors of Latin America. To learn more about our coverage options and the ways we can protect you, contact us today.