Cannabis businessowners policy developed for CaliforniaPosted On: Apr. 20, 2018 3:05 PM CST
The American Association of Insurance Services, an insurance advisory organization, filed a cannabis businessowners policy in California on Friday that it said was the first of its kind.
The Lisle, Illinois-based not-for-profit organization said in a statement that the California Department of Insurance had requested in September that it develop cannabis insurance solutions for the California cannabis market, and it had responded by expending development of a state-specific businessowners program for the cannabis industry, including forms, rules and rating information.
As with most standard business owners’ programs, the AAIS California CannaBOP program provides a package policy containing both property and liability coverage for qualifying California cannabis dispensaries, storage facilities, distributors, processors, manufacturers and other businesses participating in or supporting the California cannabis industry, the AAIS said in the statement.
Some insurers have left the marijuana insurance market after a warning memo sent by Attorney General Jeff Sessions earlier this year, but others are staying and even planning to increase their involvement in the sector.