Product Liability Insurance Protects When Products Attack

As a cannabis business owner that sells a product, there is a risk of being sued because of that marijuana consumption product you provide can be faulty or malfunction, in which case product liability insurance becomes a necessity. Cannabis business owners, just like traditional business owners, can be sued by others for any damage resulting from use of their products. Eric Rahn is an experienced insurance broker for S2S Insurance and explains product liability insurance this way, “Are you covered if you have a product defect? Can you afford to cover a large financial loss? That is what product liability insurance is for”. S2S Insurance provides cannabis product liability insurance and insurance for the marijuana industry, paraphernalia industry and hemp insurance.

Product liability insurance pays for your damages and legal expenses if you are sued up to your policy limits. You liability policy will also pay for medical fees of others who are harmed by your business. At S2S Insurance we view product liability insurance as an extra layer of protection when it comes to your cannabis related product line. As regulation of the cannabis industry increases, better standards of care will be put in place that can help reduce risk to the general public. At S2S Insurance we believe that a similar level of protection should be in place for business owners in case there is ever an issue with their product.

Bayer shares plunged Monday after subsidiary Monsanto suffered a huge blow last week following a jury awarding a California groundskeeper $289.2 million in a landmark lawsuit claiming the company’s weed killer Roundup causes cancer.

A California jury concluded the Monsanto’s Roundup and Ranger Pro products presented a “substantial danger” to terminally ill 46-year-old Dewayne “Lee” Johnson, who became sick with non-Hodgkin lymphoma after using the spray for more than two years as a groundskeeper for a school district outside San Francisco. Jurors believed the company knew or should have known about the potential risks the products posed.

Aaron Johnson, a 48-year-old former macadamia nut field manager, who was diagnosed with non-Hodgkin lymphoma in 2014, is looking to sue the agrochemical company next, after he says he got the disease from using its weed killers for more than 12 years.

S2S Insurance provides cannabis product liability insurance and insurance for the marijuana industry, paraphernalia industry and hemp insurance.Product liability law suits can be time consuming and expensive. In the case of Bayer and Monsanto the damages awarded were $289 million for a single plaintiff, with others waiting on deck to sue as well. As a cannabis related business owner depending on the size of your company and the severity of the damages caused, you typically would not see such a large damage award, but an award in the tens of thousands or even hundreds of thousands is very possible. Even the most successful businesses may have trouble carrying the financial burden of a large product liability damage award. The good news is that with the help of a S2S Insurance agent, the right policy will cover the damages and legal fees up to the policy limit. Keep in mind that each policy has a max amount that it will pay out for a claim so you should review your policy with not only your S2S Insurance agent, but also your legal counsel. Contact us for a product liability insurance quote today and protect your business.


Cannabis Insurance Provides Peace of Mind

S2S Insurance, Eric Rahn, dispensary insurance, marijuana doctor insurance, medical marijuanaAll cannabis related business owners have unique issues and concerns that do not apply to traditional business owners. As a cannabis related business owner the biggest concern is the legality of the product you sell. Marijuana is legal in many states but is a Schedule I drug according to the DEA and is illegal federally. A marijuana business owner has no control over what happens to the legality of cannabis, but they can minimize their risk exposure. Cannabis insurance, specifically property and casualty insurance, protects against property losses and losses that may result from a lawsuit due to negligence.

Property and Casualty insurance can be broken into two types of coverage in one. The property piece of the policy will protect the assets of your business if they are damaged by a random event such as a storm, theft, or vandalism. The casualty piece of the policy will cover the business if you’re sued for negligence whether it’s you the business owner or one of your employees. If someone slips and falls in your dispensary and requires medical attention, that person might file a lawsuit against your business for damages. Losing a negligence case in court could mean you are liable for for tens or hundreds of thousands of dollars. With this form of cannabis insurance you’ll be covered not only for the damages but also the attorney fees.

S2S Insurance, Eric Rahn, cannabis insurance specialists, marijuana insurance, weed, who insures the cannabis industryA Marijuana grow operation in Southeast Portland caught fire twice overnight. The first time was Tuesday evening, the second time was early Wednesday morning. The second fire destroyed the business’s storage and office warehouse building. Photo courtesy Portland Police Bureau

“Obviously re-kindle is always a question we want to know for ourselves if there is anything we could’ve done or should’ve done differently, but then we have to do our due diligence for the occupants in the business owners and make sure there wasn’t anything nefarious going on,” said Cpt. Louisa Jones of Portland Fire and Rescue.

The grow operation which is housed in a warehouse next door was not damaged, just the office and storage area.

In the case of property damage there are other concerns that business owners have to manage. Depending on the amount of damage from a storm, fire, or vandalism, your business may have to cease operations until the damage can be assessed and repaired. If operations are suspended, this will undoubtedly negatively impact your cash flow. Fortunately, cannabis insurance covers operations interruptions. Put another way, if you have to stop running your business for a duration of time due to circumstances out of your control, then you are eligible for compensation covered by your policy. S2S Insurance can help you assess your level risk and plan accordingly. “What”s your tolerance for risk? How much can you afford to lose? Are you properly covered?” – Eric Rahn, CEO S2S Insurance. Knowing your level of risk exposure and planning for those risks can provide peace of mind in an industry that keeps business owners concerned about what is coming next. Contact S2S Insurance today to determine the level of cannabis insurance your business needs.


Cannabis Product Liability Can Save Your Cannabis Related Business

Marijuana advocates have been championing the benefits of cannabis for decades. As cannabis and marijuana related products come more into the mainstream, greater attention is being paid to the effects these products have on people. Prior to legalization if a person smoked a bad strain of weed, they would find a new dealer or take a long break before going back to the same person that provided the bad weed. There was little if any recourse if the product purchased on the street had unwanted effects. Now that states have taken the initiative to legalize marijuana in various formats across the country new remedies have been made available to those negatively impacted by the products they now purchase legally.

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Cannabis product liability insurance could be the difference between saving your cannabis related business or having to close your doors. As a business owner, you can be sued by others for any damage resulting from the negligence of your business products that cause harm to others such as a defective product. This is a far cry from the days of just finding a new dealer. Product liability insurance pays for your damages and legal expenses if you are sued, and will also pay for medical fees of others who are harmed by your business.

Drug recalls do not happen often, but they do happen. These are a few of the worst:

Baycol – After four years on the market this drug, prescribed to patients with high cholesterol, was recalled by Bayer, its manufacturer. The drug reportedly caused more than 100,000 deaths and was connected to a muscle disorder that caused the kidneys to clog with protein from dying or dead muscle tissue. Vioxx – Manufactured by Merck, the recall of this arthritis pain reliever was one of the largest prescription recalls in history. As many as 140,000 people suffered from heart attacks or strokes after taking this drug. Bextra – Created to treat arthritis and other inflammation in the body, this drug was recalled by Pfizer after it was on the market for one year. It was associated with an increased risk of heart attack and stroke in some patients and was also found to cause a fatal skin condition.

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The financial impact of a cannabis product liability suit reaches beyond damages and medical bills. This type of scenario can lead to a product recall, product inventory may have to be removed from shelves, and all of this comes at the expense of the cannabis business owner. Anytime there is conversation about damages and liability, there must be a conversation about attorneys and legal fees. While every business owner works to avoid these situations, they do occur and they can be very costly. Many if not all of these expenses and costs can be covered by a cannabis product liability insurance policy, but understand that policy limits do apply. It is important to review your policy with an experienced insurance agent and your attorney. Contact S2S Insurance today to review your risk management options.


S2S Insurance Mitigating The Risk of Stolen Cannabis Cargo

Every industry that requires some form of cargo to be moved from one place to another, relies on ground shipping. Whether you’re selling clothing, dairy, steel, or cannabis, your products have to travel from a source point to a retail point. At S2S Insurance we recognize the risks associated with shipping cargo and our goal is to help cannabis business owners manage the risk of stolen cannabis cargo. Cargo theft impacts the trucking industry, retailers, insurers and law enforcement and also directly impacts the economy. Having a cargo/transportation/warehouse insurance policy in place allows cannabis business owners to mitigate the risk. This specific policy is geared toward protecting business owners if a shipment is stolen or damaged or if someone is injured during the process of transportation, by paying for damages that arise from the incident.

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Much of the theft that occurs is conducted by organized crime rings that use bribes and other tactics to infiltrate supply chains. The groups organize and arrange for buyers once the goods are stolen so they can be transferred quickly and converted into cash or possibly other resources the thieves find valuable. There is a market for everything from building supplies, to electronics, and cannabis. Cannabis products have a specific appeal because the products have high value on both the legal traditional market, and of course the illicit black market. Cannabis and marijuana related products can be repackaged and sold in a short amount of time making this type of cargo a likely target for thieves and organized crime groups.

Cornell explains that some fleets don’t report theft, especially in cases where only a few pallets of goods disappear, something that he says is called “pilfered goods” and has been growing in the past year. From 2014 to 2016, thieves were focusing on “strategic thefts” of cargo. Cornell says this is most commonly seen with fictitious pickups and identify theft. In the past year, though, enforcement personnel have made ground in this regard and thieves have again shifted their tactics.

“Now we’re seeing more of a revision back to straight cargo theft,” Cornell says, where thieves follow tractor-trailers and pilfer the goods. In this case, the thieves simply open the back doors and unload a few boxes or pallets at a time.

s2s insurance, cannabis business insurance, stolen cannabis cargo, weed insurance, who insures the weed industryAt S2S Insurance we take a comprehensive approach to risk assessment when working with our clients. While a cannabis business owner’s main focus may be insuring the marijuana dispensary, we will look at the entire supply chain including the dispensary. It is critical that cannabis business owners work with experienced insurance professionals when considering risk management strategies to ensure exposure and risk is limited with the appropriate insurance policies. S2S Insurance can help cannabis business owners with property casualty, workers compensation, cyber defense, product liability, and more. It is also critical to remember that all policies are subject to policy limits and business owners should consult with not only their agent, but also an attorney when making decisions on which policies to choose.


Cannabis Product Liability Threatens Cannabis Industry

The United States market share in the cannabis industry is currently estimated to be near $6.3 billion with double digit annual compound growth as marijuana is legalized across the globe. While the industry is undoubtedly growing, investors and cannabis business owners need to be cautious according to Fortune Magazine, Nov. 7, 2017. What should and does have business owners concerned is cannabis product liability. A better way to state the issue is, what will the cannabis business owner be required to pay for, if a product they produce or sell is found to be defective? As the industry grows, the profits grow, the risks grow as well. As production increases and the regulations adjust to cannabis legalization, the pool of risk only expands for the marijuana business owner.

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Due to cannabis’s Schedule 1 designation by the DEA, even more is at risk. The Comprehensive Drug Abuse Prevention and Control Act of 1970 prohibits the manufacturing of marijuana, distribution, dispensation and possession and lists the plant next to heroin as a Schedule 1 controlled substance having “a high potential for abuse,” 21 U.S.C. Sections 801, Et. Seq (1970) (Controlled Substance Act). Thus, claims may be brought against anyone in the marijuana industry’s supply chain touching the item prior to sale to the consumer; i.e., anyone planting, cultivating, harvesting, processing/extracting, testing, packaging, disposing, transporting and dispensing marijuana.

Officials said they are investigating the possibility of food-borne illnesses stemming from the restaurant in the suburb of Columbus, but have not pinpointed the source of the problem. Results from test were pending, the health department said.

The restaurant was shut down on Monday after an investigation was launched, but it’s expected to reopen Tuesday afternoon.

“Our protocols identified a handful of illness reports at one restaurant in Powell. … We acted quickly and closed this single restaurant out of an abundance of caution and we are working with the local health officials to reopen this restaurant as soon as possible,” said Laurie Schalow, a spokeswoman for Chipotle.

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Every year defective products cause bodily harm, property damage, production stoppages. The process of defending litigation or even coming up with a settlement agreement can completely drain a company’s resources. When dealing with cannabis product liability suits, businesses will also have to deal with regulatory compliance, producing and distributing product warnings, recalling products, claim investigation, product testing and additional risk assessment. Where there is a cannabis product liability suit there will be attorneys, experts, and possibly consultants that can all get very expensive very quickly. Lawsuits can range from a single plaintiff seeking damages for personal injuries to class action law suits where a defective product is tied to an entire group of claimants. Even the most standard cannabis product liability claim could financially crush any cannabis business owner that is not prepared with the proper risk management strategy. At S2S Insurance we have a team of professionals ready to help develop a risk management strategy for your marijuana related business. All policies are subject to claim limits and it is critical that business owners review their policy with not only their agent, but also a licensed attorney.


S2S Insurance Helping Prevent Big Fines For Cannabis Business Owners

For all cannabis business owners, employee safety must be a priority. Whether you own a factory, a retail shoe store, or a marijuana dispensary, as a business owner it is critical that employees have a safe working environment. Unfortunately, no matter what safety precautions that you may have taken, or rules that are implemented, employees get injured on the job. Injuries can occur in any line of work including the cannabis industry and businesses owners should protect themselves and their investments. At S2S Insurance we work with cannabis businesses to help mitigate risk from employee injuries that occur on the job. We help our clients set up workers compensation policies that pay damages no matter who’s at fault for the accident.

S2S Insurance provides workers compensation insurance coverage for cannabis businesses

S2S Insurance provides workers compensation coverage for cannabis businesses.

In many states employers are required to maintain workers compensation policies. An S2S Insurance agent can walk you through the requirements of your state to help you determine what is required. In states where workers compensation insurance is required, not maintaining proper coverage can result in heavy fines that negatively impact the business’s bottom line. Even if a state does not require workers compensation insurance, business owners should discuss having one with an S2S Insurance agent as a form of risk mitigation. Having a policy that pays damages no matter who is at fault could save a business hundreds of thousands of dollars in some instances.

District Attorney Diana Becton said, “The District Attorney’s Office is committed to protecting the workers of Contra Costa County. Operations like these are an important part of obtaining compliance before an employee finds out the hard way that their employer did not have coverage for a severe injury.”€

“This operation protects employers who are playing by the rules from being undercut by those who don’t,” said California Labor Commissioner Julie A. Su. “We also issued these citations because employees are entitled to workers’ compensation insurance if they are hurt on the job.”

Willful failure to provide the insurance is punishable by substantial fines and misdemeanor criminal prosecution. Employees that do not know whether they are covered can check their employer’s notices board or ask a manager. Labor Code section 3550 requires the employers to post a notice identifying the current insurance at a conspicuous location.

S2S Insurance provides workers compensation insurance

S2S Insurance can help cannabis businesses manage risk

At S2S Insurance we look at your entire business platform and look for ways to limit your exposure to the various risks and pitfalls that can hurt your business. Workers compensation insurance is one of many insurance tools we use to help minimize risk for our clients. Not every product we provide works for every business which is why it is important you work with one of our experienced professionals at S2S Insurance to help you develop a risk mitigation strategy for your business. As always policy limits do apply and it is critical that you review and understand your policy selections with a qualified insurance agent and an attorney. Our goal is to be an asset and an additional resource to every client we work with in the cannabis industry. Whether your business is just starting out or established over some period of years, contact us today for your insurance needs.


S2S Insurance Helping Cannabis Businesses Protect Their Property

The legal cannabis industry in the United States is a new market and filled with uncertainties and risks. At S2S Insurance we aim to help cannabis business owners understand those risks and plan appropriately. For cannabis business owners, one of the most complex issues they face is being forced to deal in cash. Due to the Schedule 1 classification of cannabis by the DEA, cannabis business owners can not easily open deposit accounts and work with digital forms of payment like traditional businesses. This inability to safely deposit cash in a bank creates multiple risks that every owner must consider.


While it is impossible to be able to predict what may happen in the future, S2S Insurance and our agents pride ourselves on being able to look at all available data and use that information to put a strategy together for our clients. At S2S Insurance a major concern for any of our clients is how they protect their property. Because our clients are forced to work with large amounts of cash there is a greater risk for vandalism, robbery, break-ins, and physical damage to property among other risks. A cannabis business owner has to assume that at some point criminals will try to illegally gain access to and steal any cash or product on site.

This grievous risk to life and limb is not exclusive to this unfortunate man. His episode is just one of many frightening and shocking events that are occurring throughout the emerging legitimate cannabis landscape. Marijuana-related businesses (MRBs), even after being legally established under state law and operating under strict regulations and oversight, nonetheless cannot open a simple deposit account at a bank owing to inconsistent, conflicting federal regulations.

Under the current federal prohibition of marijuana many banks, fearing potential repercussions, simply refuse to do business with marijuana growers, extractors, distributors, and sellers— even ones that operate legally in their own respective states. As a result, MRBs are forced to operate on a cash-only basis, making them prime targets for robberies, kidnappings, and extortion.

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The question on your mind by now is likely, how can S2S Insurance protect my cannabis business from robberies or vandalism? The truth is, we can’t, we as a cannabis insurance agency can’t stop a crime or instance of peril from happening to your property or your business. What S2S Insurance can do is help mitigate the risk if it does occur. As an insurance agency, S2S Insurance agents will review all relevant data with you, the business owner, and form a risk mitigation strategy. If the unfortunate does occur you can take some comfort in knowing you have an insurance policy that can cover a portion if not all of the damage after the deductible. No matter what risk management strategy you choose for your specific business, policy limits will apply. It is critical that you review your policy with your agent and attorney to understand coverage and limits. S2s Insurance has knowledgeable and experienced agents ready to help you form a risk management strategy for your business today.


Cannabis Insurance Defending Cannabis Businesses From Professional Liability

In traditional industries with professionals such as accountants, lawyers, and doctors, there is an expectation of specific knowledge and professionalism. Businesses and families rely on their accountants to help them file taxes and set up businesses to minimize their tax liability while staying compliant with the rules and regulations set by the IRS. Clients depend on their lawyers to know specific areas of law and rely on their advice to make legal decisions that may impact the rest of their lives. Patients place their lives in doctors hands with diagnosis and medications, anticipating positive results to their various ailments. The cannabis industry has various professionals that are also relied upon for their knowledge and expertise and like all responsibilities that come with being a professional, when a mistake is made the consequences can be drastic. Cannabis businesses owners such as marijuana growers must protect themselves with a form of cannabis insurance, specifically professional liability insurance.

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There are multiple forms of cannabis insurance that can help a cannabis businesses owner manage risks, but for the various professionals in the industry such as growers and consultants, professional liability cannabis insurance is a valuable tool to mitigate risk. In Colorado a couple has been granted the right to sue a marijuana company for it’s use of pesticides on it’s marijuana plants. The company is now facing a possible class action law suit and unspecified damages that could potentially cost large amounts of money that few businesses can afford to lose. If the company in question is properly insured, they should be able to minimize their exposure in this instance, but it should be noted that there are policy limits to all policies, and not all occurrences or liabilities may be covered.

The lawsuit against LivWell Inc. by Brandan Flores and Brandie Larrabee seeks class-action status and alleges the company for years inappropriately used Eagle 20, a heavy-hitting pesticide with myclobutanil that kills a variety of pests endangering the plants.

“In a larger sense they’re saying the marijuana industry can’t go on unchecked and someone has to do something to stop these people from using Eagle 20 and other harmful pesticides,” said Steven Woodrow, their attorney.

The two claim damages for an unspecified amount of money they overspent to buy the marijuana they say should have sold for a lesser price because of the pesticide.

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LiveWell Inc. and the situation in Colorado is the exact reason cannabis business owners cannot ignore cannabis insurance. The cannabis industry is in it’s infancy and will face many challenges in the near future. S2S Insurance Specialists can help cannabis business owners evaluate potential risks and put together a plan that protects the business from all angles. Cannabis insurance is new in the sense that the end product is new to the world of insurance, but the business models, the guiding principles of risk management and underwriting are not new. S2S Insurance has experienced insurance professionals that can help business owners protect their investments and livelihoods. It is also important to remember that regardless of what type of cannabis insurance policy you have, coverage limits will apply.  You must read your policy with both your agent and your attorney to determine what your coverage consists of.


Protecting Cannabis Cargo Shipments Protects Cannabis Revenue

The cannabis business is no different than any other industry in the United States when it comes to moving goods across the country. The cannabis industry will have to rely on shipping goods by truck, train or plane from one destination to the next. Cannabis businesses owners will need to think about how they will protect those cannabis cargo shipments. Stealing truck shipments is big business in the black market. Given the nature of cannabis and the ease of which the product can quickly become untraceable, thieves have been and will continue to look for ways to intercept cannabis cargo before the shipment reaches it’s destination.

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Whether cannabis businesses are shipping produce, electronics, automobiles, industrial materials or cannabis related products, business owners want to protect themselves from the risk of loss in transit. The good news is that cargo theft is on the decline, but the bad news is the value of what is being stolen is on the rise. What this means is that criminals looking to disrupt the supply chain are less worried about quantity and more concerned about the quality of what they steal. Criminals want to steal cargo that is hard to trace and easy to move and exchange for cash or other resources. Marijuana is hard to trace, holds a high value (which is why a business owner is in the cannabis industry) and can be moved and exchanged quickly.

An annual report compiled by SensiGuard’s Supply Chain Intelligence Center (SCIC) indicates that the number of recorded cargo thefts in the U.S. dropped to 649 in 2017, a 15% decline in volume from 2016 – roughly averaging out to 54 thefts per month in the U.S. or about two per day last year. However, the average value of cargo thefts increased slightly in 2017 – up 0.01% – compared to 2016, the group noted, with the U.S. still ranked “high” on the SCIC five-point risk scale, which ascends from “low” through “moderate,” “elevated,” “high” and finally “severe.”

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“While 2017 continued the downward trend in reported U.S. cargo thefts, this does not indicate a decline in risk, but rather that organized cargo thieves are honing in on shipments that they know can be fenced easily,” the group stressed in its report. “Coupled with the average loss value remaining steady, this points to thieves refining their methods to reduce chance of capture or the need to abandon the shipment due to law enforcement pursuit.”

Due to the Schedule 1 classification of marijuana, business owners may have concerns about their risk management options. It is important that owners work with experienced insurance companies and agents that can help review their options and make the right decision based on their model of operation. The type of cannabis cargo insurance that will work best for your company will depend on how involved you as a business owner are in the transportation of cannabis. It is also important to remember that there are other risks involved in transporting cargo including accidents, crashes, and acts of nature to name a few. It’s important that business owners are aware of coverage limits and review their policy with their agent and their attorney.


The STATES Act Has the Support of President Trump

The election of President Donald Trump brought a great deal of trepidation to the world of cannabis. There was not a clear message at first from the Trump administration on its stance towards the legalization of cannabis. The President himself stated he would not have his administration crack down on cannabis businesses during the 2016 campaign while in Colorado. President Trump then tasked Jeff Sessions with being the Attorney General of the United States shortly after taking office which confused many people since Sessions is vehemently opposed to the legalization of cannabis. In early 2018 Jeff Session rolled back the Cole Memo which had advised U.S. attorneys around the country to not pursue state legal cannabis businesses or consumers. The result was a slow down in the growth of the cannabis industry as investors pulled back their interests in marijuana companies in fear of a justice department crackdown on the industry.

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Sen. Cory Gardner

Senator Cory Gardner of Colorado, one of the first adult-use states, became particularly infuriated by the attorney general rescinding the Cole Memo and felt the President was going back on his promises while on the campaign trail to let states decide. As a member of the committee that appoints justice department nominees, Senator Gardner vowed and did block all nominations making life very difficult for Jeff Sessions. After a private call with the President, Senator Gardner pulled his blockade telling reporters that he had the President’s word that he would not allow the attorney general to go after state legal cannabis business. Soon after the call Senator Gardner introduced The STATES Act, a bill co-sponsored by Massachusetts Senator Elizabeth Warren, that would remove cannabis as a Schedule 1 substance and resolve all banking problems marijuana companies are facing currently, if it passes. President Trump told reporters that he knew what Senator Gardner was doing and that he would likely back the bill providing his tentative support. Of all the bills introduced in Congress that would end the prohibition on cannabis, The STATES Act likely has the most promise since it has bi-partisan sponsorship.

Liability insurance for marijuana, Dispensary insurance, cannabis insurance, the STATES ActThe President has a lot to gain politically speaking by backing marijuana legalization. A record high 64% of Americans now support legalizing marijuana at the federal level, including 51% of Republicans, according to a recent Gallup poll. Even in deep-red Oklahoma, voters recently overwhelmingly approved a medical marijuana law through a ballot initiative that was opposed by the entire state GOP establishment. The medical marijuana program, if implemented as is, would be the most permissive in the country. North Dakota, which also votes republican, has collected enough votes to have a referendum question added to the ballot this November that would create an adult-use market if passed.

No matter what direction the current administration moves in, it is critical that cannabis business owners continue to monitor and stay up-to-date on cannabis legislation. The landscape is consistently changing, and if and when marijuana is removed from a Schedule 1 designation the federal government flood gates of regulation will open. Multiple federal agencies will have new requirements such as testing and liability coverage. Marijuana business owners should have a relationship with a knowledgeable insurance provider to help identify and mitigate risks.