Cannabis Insurance Taken Seriously as COVID-19 Keeps Businesses Busy

Written by Tyler Cline

April 22, 2020

Pictured above: A line forms at a Fort Collins Smoke Shop. Local dispensaries have seen a surge in business since being declared “essential”

You’re probably asking yourself what 90% of the people ask me when I say I sell Cannabis Insurance in Colorado for a living. What is Cannabis Insurance!?…

Cannabis Insurance is an area of opportunity that exists as a new industry emerges and specific needs arise. Insurance, like banking, has become a complicated sector that wants the money involved, but not the name or connotation that comes with the Cannabis-related business. Nor are they allowed, in most cases, as there are rules and exclusions targeted at Cannabis as it is still federally illegal. 

Believe me when I say I have gotten the breakup letter from many banks and rejections from many insurance carriers that are waiting to jump but have to stick to the FDIC and Corporate guidelines. This has created a niche of its own. Some banks and insurers have decided to participate in these markets regardless. Creating or finding new ways around regulations.

The stigma of being a “cannabis-related business” has been dying for years now as more people look at this lucrative industry and want in, but how do you get in and protect yourself? Insurance is one of the few ways you can CYA or Cover Your Assets. 

Captive Agents and Admitted Carriers (the majority of the insurance industry) have taken the stance to not sell or offer this kind of insurance as Cannabis is still federally illegal. They are also taking it or leave it anyway meaning they often only offer 1 option. Would you want a home and auto agent selling your cannabis-related business policy in the first place or have only one option? Maybe this isn’t a concern and your more interested in the cheapest option and just want to get something in place to have it? This could cost you, I have seen it done and have too many stories to share on this common mistake!

The hard truth is this, most agents and brokers are out of touch with the cannabis markets and industries; in Colorado and nationwide. Most agents will be in corporate settings working 9 to 5 and are scared to talk about cannabis or anything involved with it as that topic alone can put them at risk for losing their jobs. I know this because I was that agent once upon a time. But let’s not get sidetracked too much here…

What is interesting is that by not using a specialist in this area not only does it put your business at risk it puts the agent writing this business at risk as well for error and mistakes that could potentially put their company at risk too. Cannabis Insurance in Colorado or anywhere you may find yourself is an animal of its own as it’s in constant motion and change; which will continue. It is important to use a cannabis insurance specialist no matter what state you are in. A wise person once said that the jack of all trades is the master of none.

At CIB, we focus and target Cannabis Insurance in Colorado and Nationwide directly, as we are The Cannabis Insurance Business. It’s no surprise that buying insurance is a hassle, you don’t know what you’re going to get, how much it will cost or how you’re going to be treated through the process. It is important to go with someone who is known in that industry and sector and someone that you can trust having your back and standing by your side.  We are not scared but proud to be amongst the first to step out and take this risk and back our industry. We want our clients to also feel bold and proud of their business and accomplishments while giving them peace of mind that their assets and company are properly insured. All Cannabis-related businesses should be licensed and insured like any other industry.

In a nutshell, the easiest response when people ask us what Cannabis Insurance is; is that we insure the facility and contents and products that go to the end-use consumer as well as the employees within it. Usually sums it up.

Ready to learn more about insuring your cannabis & hemp products? The contact us at (720) 999-3345 or at You can also learn more about CIB at

Colorado-based and pushing the industry further one step and state at a time. Proudly serving all 50 states.

Contact Cannabis Insurance Business or call 720-999-3345 to start protecting your investments today!

Pushing the industry further one step and state at a time. Proudly serving all 50 states. – Cannabis Insurance Business of Loveland Colorado

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