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viewpoints
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Be prepared for cannabis-related claims/losses

Like any other business, a cannabis-related business should not wait until a claim or loss occurs to review and understand its insurance policy(ies).  

The business should review its policy(ies) ahead of time so that it knows what is covered and what it needs to do in the event of a loss or claim.  For example, who does it need to provide notice to and when and how?  

Also, every-related business, like every other business, should give thought now to best risk-management practices, such as communicating with its insurer in writing as well as documenting all important coversations and information.  

Insurance coverage counsel can help both before and after there is a claim or loss.  They can help review policies, explain their requirements, and identify best practices. 

“Generally, it does appear that the cannabis industry is woefully uneducated and unprepared about what to do in the event of a loss or a claim,” said Michael Sampson, a partner in the insurance recovery group and co-vice chair of the cannabis law team for in the Pittsburgh office of ReedSmith.

Tags

cannabis, mjbizcon, marijuana, insurance, insurance coverage, risk management