All businesses within the cannabis industry are strongly encouraged to purchase cannabis insurance. This protects your company financially by identifying the largest risks to your business and offering financial assistance in a time of need. Without a reliable cannabis insurance policy, your company may be liable for high out-of-pocket expenses that are difficult to come up with at once. The following is a review of the benefits of working with a cannabis insurance consultant to personalize your insurance policy.
What Is A Cannabis Insurance Consultant?
A cannabis insurance consultant is an insurance agent that specializes in policy coverage that directly pertains to companies within the cannabis industry. They know the industry very well and can subsequently provide advice to their clients as to which policies they do and do not need based on the type of business, the specific risks the business has and the preference of the owner.
A cannabis insurance consultant can offer a range of different policies, including general liability, product liability, crop and inventory, finished stock, commercial auto, workers compensation, umbrella, crime, property, EPLI and more. The best way to determine your specific needs is to speak with a cannabis insurance consultant who understands your business type.
What Are The Benefits Of Working With A Cannabis Insurance Consultant?
The benefits of working with a cannabis insurance consultant include receiving a personalized policy, working with someone who understands your industry and a reduced financial risk for your company. Most cannabis companies that work with a consultant to personalize their insurance policy report feeling peace of mind and find operating each day to be far less stressful, knowing they are covered financially if anything were to disrupt their business.
Provides You With A Personalized Policy
A cannabis insurance consultant understands all of the policy types that are available. The best consultants do not use a cookie-cutter approach to offering coverage. Instead, they personalize each policy based on the client’s individual needs and policy preferences. This ensures you get the coverage you need at the most generous rate possible. A consultant can leave out the policies that may not be of great benefit to you.
For example, a dispensary does not have the same needs as a cannabis grower and cultivator. A dispensary may have more of a concern with potential third-party lawsuits, whereas a grower may have greater need for crop insurance and equipment breakdown insurance. Due to the differences in risks for each business type, the policies should look different.
Cannabis Insurance Consultants Understand The Industry
The cannabis industry is young and relatively unknown to the general public. Unless you work within the industry and understand the ins and out of how the industry works, it is difficult to recommend policies. A cannabis insurance consultant specializes in the cannabis industry. This means they have a full understanding of the risks your business takes on and how to mitigate those risks. For owners, it is a rewarding feeling to work with a consultant that understands your risks and concerns, which is not always the case if you choose an insurance company that does not focus their insurance coverage primarily on the cannabis industry.
Reduces Your Company’s Financial Risk
The primary purpose of cannabis insurance is to reduce the overall financial risk of your business. If something were to occur to your company that affects normal business operation, paying to fix any issues can be incredibly costly. There are many different risks that your company may encounter and need insurance for, including:
- Equipment breakdown
- Damaged crops
- Theft
- Cybercrimes
- Property damage
- Employee dishonesty
- Lawsuits
- Auto accident
- Loss of income
Of course, not all of these risks are applicable to every cannabis company. A consultant can assess your company risks and determine the best way for you to ensure proper coverage if something unexpected and costly were to occur.
What Business Types Need Cannabis Insurance?
Any business that operates within the cannabis industry can benefit from a cannabis insurance policy. Most notably, the following business types should strongly consider how cannabis insurance can benefit them:
- Marijuana dispensaries
- Provisioning centers
- Growers and farmers
- Product transporters
- Property owners
If you are unsure if your business needs cannabis insurance, consult with a cannabis insurance consultant. They can advise you on what your insurance needs are and the best policies for you.
Talk To A Cannabis Insurance Consultant At MFE Insurance
Contact one of our cannabis insurance consultants today to learn more about how a policy can benefit your cannabis business. We assist all types of cannabis companies, including dispensaries, transporters, growers and more. At MFE Insurance, we understand the importance of reliable cannabis insurance, and we are here to help you get the policy that meets your company’s needs.