With popular opinion of marijuana changing for the better, marijuana has gotten everyone who likes to make money talking, especially the insurance industry. There’s always been an interest for the insurance industry to get a piece of the green, but thanks to the unwillingness to change federal law, insurance companies, as with the banks, have kept their distance from cannabis dispensaries and related companies. This leaves legal marijuana operations under-protected and lacking insurance for their lucrative businesses.
Hopefully this massive opportunity for both parties will become a thing of the past sooner, rather than later. Insurance companies are merely dipping their toes into the cannabis industry and the coverage that they do offer can come at a very hefty price.
But, marijuana businesses have no choice but to pay more, as they face many risk factors that other businesses don’t. Dangers connected with the lawful cannabis industry incorporate burglary in light of the fact that numerous organizations work with real money, and also potential contamination if the client is a processor, and neighbor/community grievances.
The organization needs a variety of coverage including obligation, workman’s comp, wellbeing protection for their administration group and assets. Protection costs may be higher than those of non-cannabis organizations in light of the fact that insurance agencies don’t have much rivalry in this industry and can charge a considerable measure.
Alternatives are expanding however. We’re seeing a new trend of the dominant insurance players entering the marijuana business sector, now that they’ve seen others enter effectively. Costs may descend for another reason. As big insurance companies see organizations working in a dependable, consistent manner, wherethey can gather valuable client information, they can view the rewards as greater than any real dangers they are taking.
Insurance plans appear to be treating weed the same as federal law, whether it is lawful or not in their state. Old stereotypes of pot usage and pre-existing conditionsare at the top of the concern in coverage. On the off chance that marijuana is used for therapeutic reasons, the insurance provider would be worried about the dangers of the basic illness or condition. All things considered, therapeutic weed utilization turns into the treatment plan, so this line of thought isn’t based in reality.
Most insurance companies have strategies with respect to cannabis and a hefty portion of those that don’t, anticipate including them soon. Investigating insurance coverage for a cannabis organization, it is found that the rates would be no higher for their employees than for staff who did not work in a cannabis business.Even so, old stereotypes continue to this day. Marijuana is still on the list with hard drugs for applicants whenever they fill out insurance forms. Even though it is understood by both the scientific community and the public, by and large, as a less dangerous substance than cigarettes and alcohol. We still have a long ways to go, but change is happening for the better.
Photo via Flickr user Don Goofy