As an emerging industry, the Cannabis space is facing growing pains when it comes to regulations and insurance. The lack of guidance and resources easily available causes issues for business owners trying to ensure their cannabis business is fully compliant. More importantly, as an emerging industry, regulations are being created as businesses grow, in various instances without notice or input of the business owners, those who have been in the industry for years.
Thankfully some states are getting stakeholders involved in the discussions of cannabis regulations and insurance issues. California is leading the way, with Insurance Commissioner Dave Jones announcing he is connecting 63 insurance related stake holders to participate in discussions regarding “cannabis-related regulations with insurance provisions currently under consideration by other state agencies”. This effort from the California Insurance Commissioner comes as a way to ensure that all cannabis businesses have the necessary insurance protection, especially given the nature of the business and the novelty of regulations and insurance requirements being created.
This is an important step for the cannabis business, being included early on in discussions regarding insurance regulations will allow them to prepare for changes coming in the near future, as well as have a voice on regulations that can negatively affect the cannabis industry. The goal of the Commissioner, which more states should follow, is to ensure cannabis industries have “insurance related regulatory guidance and resources”, ensuring they have the insurance they need.
“Cannabis businesses need to insure property, crops, vehicles and employees, just like any other business. They have the same insurance needs,” commissioner Jones ads. Here at Cover Cannabis we can help guide you in this emerging industry. With over 15 years of experience in the cannabis insurance space, we are up to date on all new regulations and insurance requirements across the country. If you have any question or you are unsure of the insurance needs for your business, contact us today and let’s explore your options.