December 18, 2019 | less than a minute read

Cannabis and theft: Are you covered?

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Mike Sampson

Partner

Get in touch

Mike Sampson

Partner

According to a recent article in MJBizDaily, "[m]ost cannabis insurance claims involve thefts." That raises an important question: Are you covered? For obvious reasons, it is incumbent upon any cannabis-related business to review its insurance portfolio today to make sure it has coverage in place that will respond in the event of theft. if it does not have such coverage already in place, then it is important to consider procuring such coverage immediately. Do not wait until a theft occurs to review your coverage.

Roughly 90% of cannabis insurance claims involve theft, according to Gerrit Nagarwalla, a claims supervisor at London-based Canopius Group. He also suspects much of the thefts involve “some element of inside information,” he told Insurance Business magazine. Nagarwalla noted that cannabis workers are working with “millions of dollars’ worth of products” yet are being paid $15 or $20 per hour.