Insurance brokerage Hub International has introduced cannabis insurance and risk services, an offering under its agribusiness and farm specialty practice, to provide medical and recreational cannabis producers, distributors and retailers protection and solutions to reduce risks within their operations.
The solutions and services being offered include general and product liability insurance; employee practices liability and directors & officers insurance; crop insurance; workers’ compensation cost and safety management; transportation insurance and fleet safety management; crisis coverage, including crime and cyber attacks; risk management and regulatory compliance assistance; operational hazard and site security assessments; claims management and advocacy services; and employee benefits strategic planning and compliance.
“Cannabis is a thriving business, and there is a strong appetite to debunk common misconceptions of the industry, understand the risks and obtain proper and adequate insurance coverage,” said Joshua Smart, practice leader, Hub Agribusiness & Farm Specialty Practice. “At Hub, we are offering a comprehensive insurance solution for businesses in the US and Canada. We have a deep knowledge of the cannabis industry to insure its unique risks, so that our clients can continue to grow and thrive”
Marijuana is still illegal under US federal law, although 29 states, as well as the District of Columbia, Guam and Puerto Rico, have legalised it for medicinal purposes, and eight states allow it for recreational use.
And in Canada, medicla marijuana is already legal, and recreational marijuana is due to become legal in early or mid-September. There are almost 100 cannabis producers in Canada.
Hub noted that there are 26 carriers that are insuring the cannabis industry, and it is working with standard and surplus lines carriers that are A rated.
Hub’s cannabis insurance and risk services will be managed by TJ Frost, US cannabis segment leader, and Phaedra Andrusiak, Canada cannabis segment leader.
“There is a huge misunderstanding in the cannabis industry about insurance coverage, which leaves businesses underinsured or even uninsured,” said Frost. “Proof of insurance demonstrates operational maturity and is a key step in establishing ongoing financial and banking relationships, which clients need to keep growing their business.”
Andrusiak added: “The cannabis industry continues to change at an unprecedented rate with the advancements in medical use and the legalisation of recreational use, which is opening the door to a fast-growing marketplace, and booming risk factors and operational pressures. Hub is the trusted advisor that has truly taken the time to understand this industry and is committed to providing relevant support and solutions to our clients.”
Hub International, Cannabis, Marijuana, North America, Canada