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Hurricanes Potential Risk to Cannabis Businesses

Every year towards the end of summer and early fall, home and business owners across the country pay close attention to the weather. While some may be checking to see when they can bust out the scarves and pumpkin spice lattes, others are concerned about hurricanes. Each year hurricanes do millions and in some cases billions of dollars in damage. These storms impact home owners, renters, traditional business owners and cannabis related business owners as well. As states legalize marijuana along the eastern seaboard, cannabis business owners will need to know what to do to protect their marijuana businesses when a hurricane is approaching.

insurance for marijuana, dispensary insurance, s2s insurance, eric rahn, cannabis insuranceHurricanes can develop quickly and bring significant flooding and strong winds especially to communities along the coast. Very similar to the wild fires of the west coast, insurers have catastrophe teams ready to respond if and when the storms produce significant property damage. “If a storm does cause property damage, it’s important to contact your insurer or agent as soon as possible so they can help you begin the process of restoring your business,” says Eric Rahn of S2S Insurance Specialists.

Officials in the potential path of a still fierce Hurricane Florence had a stern, clear message for people still in coastal towns under evacuation orders.

Leave. Now. “You put your life at risk by staying,” North Carolina Gov. Roy Cooper said. “Don’t plan to leave once the winds and rains start.”

Cooper and his South Carolina counterpart, Henry McMaster, told the more than 1 million people who have been told to leave that if they don’t, they are on their own.
McMaster told residents in some counties that emergency responders will be pulled from areas expected to be hit hard. “Even the rescuers cannot stay there,” he said.

Florence is forecast to crawl up to the North Carolina coast late this week and turn slowly left — a development that would smash the Tar Heel State with life-threatening storm surge, catastrophic winds and inundating rain while also endangering a large portion of South Carolina.

S2S Insurance recommends taking the following precautions:

  • s2s insurance, eric rahn, cannabis insurance, cannabis insurance professionals, who insures cannabisReview your cannabis property insurance policy, especially the “declarations” page, and check whether your policy pays replacement costs, or actual cash value for a covered loss.
  • Inventory your business, not only your merchandise, but computers, electronics, office furniture, display cases, point of sale systems, and all items of value. Take pictures and or video of all of them and keep all in a safe place.
  • Protect your property by covering all windows and doors with plywood or shutters if possible.
  • Keep all receipts of any repairs after the fact so you can be reimbursed by your insurance company.
  • Contact your insurance adjuster for referrals to professional cleaning services, salvage companies, restoration companies, if these additional services are needed.

As a cannabis business owner you do not want to begin thinking about hurricanes and the damage they cause after they have already destroyed your business. It is critically important that you cover your investment and your business with sound insurance policies that can help cover the losses after a devastating storm.

read more at cnn.com

Cannabis Insurance An Absolute Must For Cannabis Businesses

As a small business owner there are a number of unanswered questions and unknown threats to your business. Many of these unanswered questions can keep you up at night searching for answers. A question that often doesn’t get asked by small business owners and especially cannabis business owners is how much insurance should I have? Not only should you be asking how much, but you should be asking what type? General liability insurance you get at the insurance provider in your local neighborhood won’t work in the world of cannabis. Cannabis businesses need cannabis insurance. The cannabis industry needs an industry specific insurance product to protect the cannabis industry.

S2S insurance, eric rahn, cannabis insurance, testing lab insurance, who insures the cannabis industryThe cannabis insurance industry serves a specific purpose for the marijuana industry because of the design of the policies. Cannabis insurance does not include the same exclusions as traditional insurance policies. Traditional policies often have exclusions for contraband or illegal substances. For the foreseeable future the entire US cannabis industry revolves around an illegal substance. Marijuana or cannabis is listed as a Schedule I drug right next heroin. Marijuana has been legalized on the state level and is gaining support federally, but that does not change the need for specified cannabis insurance to protect your business.

A recent survey by Manta and Insureon reveals just how many entrepreneurs are putting themselves at risk. Fewer than three in 10 small business owners in the survey have a business owner’s policy, the basic business insurance that covers general liability insurance and commercial property insurance to protect you from loss. Even fewer (21 percent) have errors and omissions (E&O) or professional liability insurance, 17 percent have workers compensation insurance, 6 percent have business interruption insurance, and only 2 percent have cyberinsurance.

No matter what type of business you own, you operate under some degree of risk. Sadly, no business is completely immune to lawsuits. Fortunately, however, a variety of insurance options exist to help protect small businesses.

s2s insurance, eric rahn, liability insurance for marijuana, cannabis insurance specialists, marijuana crop insuranceA question you may have is, what type of cannabis insurance do I need? One of the biggest expenses for most business owners is property. Whether you own a store front, a warehouse, computers, and don’t forget about your inventory, you need to protect it all. Cannabis specific property and casualty insurance pays for damages to your business property resulting from a covered loss. This type of policy protects your place of business but also the contents within your place of business. An example would be if there is a fire in your store and you lose furniture, computers, inventory, it would all be covered up to your policy limits.

There are policies that will also cover expenses that protect your business from additional damage after a loss and the money required to keep operating your business until the damage from the loss is repaired. Property insurance is just one example of the type of insurance you should ask your cannabis insurance specialists about. There are also other types of cannabis specific policies such as product liability, data breach insurance, and errors and omissions. Eric Rahn of S2S Insurance puts it very bluntly, “are you covered if the mud hits the fan?” Don’t find out the hard way that you don’t have what you need or you don’t have enough of what you need, contact S2S Insurance today.

read more at postbulletin.com

Property Insurance Key Component to Protecting Cannabis Businesses

Cannabis business owners are having financial success which is a the reason they are in the business of cannabis. The benefits of financial success are obvious, but there is a stark downside as well. Cannabis business owners have too much cash. The federal government considers marijuana a Schedule I drug along the same lines as heroin, therefore businesses that profit from the sale of marijuana and marijuana related products such as edibles are technically in violation of federal law. With that in mind, you may be wondering where cannabis property insurance comes into play? The connection is simple, cannabis businesses have lots of cash on hand due to banks and financial institutions refusal to do business with the cannabis industry. Criminals love cash. When you combine lots of cash on hand with criminals. there is a legitimate cause for concern for cannabis business owners.

s2s insurance, eric rahn, cannabis insurance, marijuana property insurance, cannabis insurance specialistsAs long as the federal government continues to consider cannabis an illegal substance. the problem of too much cash will continue to exist for cannabis business owners. Criminals and thieves see a cannabis dispensary as a piggy bank ripe for the taking. Often marijuana dispensaries have inadequate security systems and are often left completely unattended after business hours. Seasoned criminals may be able to get in and out of your establishment quickly causing minimal damage, while less experienced criminals may cause twice as much damage to the property and products on site. Cannabis specific property insurance is a key component to protecting your business. You can’t predict when a criminal may try to break into your cannabis business, cause damage, and steal your hard earned cash, but you can be prepared to cover the loss. Property insurance allows for cannabis business owners to take some comfort in the fact that if they are ever robbed, the loss can be mitigated with a cannabis property insurance policy.

With millions of dollars in medical marijuana proceeds — all cash — being moved across Pennsylvania monthly in unmarked cars, state banking regulators have appealed to leaders in the U.S. Congress to create protections for financial institutions so that banks and credit unions might serve the state cannabis industry.

s2s insurance, eric rahn, marijuana insurance, marijuana property insurance, dispensary insurance, liability insurance for cannabis“We urge Congress to consider legislation that creates a safe harbor for financial institutions to serve a state-compliant business, or entrusts sovereign states with the full oversight and jurisdiction of marijuana-related activity,” states the letter from Pa. Secretary of Banking and Securities Robin L. Wiessmann.

State banking officials from Alaska, Connecticut, Hawaii, Louisiana , Michigan, Montana, Nevada, New York, Oklahoma, Oregon and Washington State also signed the letter.

The federal government considers marijuana illegal, although 31 states and Washingto

n, D.C., have legalized the drug for either medical or adult recreation use.

The handful of institutions that provide service to the marijuana industry are at constant risk of federal prosecution, asset forfeiture or criminal penalties.

At S2S Insurance our experienced cannabis insurance specialists will evaluate your potential risk based on all available data. Once the risk assessment is completed, a specialist can help you put together a risk management strategy that protects your cannabis business from the various but specific threats that face a cannabis business owner. Contact Eric Rahn at S2S Insurance today to receive a quote.

read more at post-gazette.com

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.

read more at katu.com

Cannabis Business Property Insurance Protecting The Bottom Line

Making the decision to invest in a marijuana related business takes a big investment of time, energy and money. Early in the process of making those investments, cannabis business owners need to ask themselves how do they plan on protecting those investments. One measure of protection begins with business property insurance. Whether you own a marijuana dispensary, a cannabis testing lab, or grow operation, business property insurance can protect the items and space you need to keep your business running.

S2S Insurance, cannabis business property insurance, marijuana dispensary insurance, weed insurance

Marijuana related businesses face unique challenges and risks because of the products being sold and their relationship with the retail market. Marijuana related business owners are at serious risk of vandalism. Someone could try to break into a dispensary or a lab and could damage or destroy computers, monitors, display cases, storage areas, merchandise and more. There is also the risk of theft of those same items. A cannabis lab which may have expensive high end equipment would especially want coverage for stolen computers or tablets. A dispensary is going to want coverage for stolen marijuana, edibles, or other marijuana related items that might be found in a dispensary. Aside from vandals and thieves there are also natural disasters. Every year across the country there are news reports of terrible storms and devastating fires that cost property owners billions of dollars. We can’t predict when and where a storm or fire is going to strike, but as a cannabis business owners, there is no reason to not be prepared.

The Carr wildfire in California has likely caused an estimated $1.5 billion in insured losses to date, foreshadowing another major wildfire loss event for insurers in the state, according to a report by Moody’s Investors Service Inc.

The wildfire has ravaged parts of Shasta County in or near Redding in Northern California, caused six deaths, and left substantial property damage to date, according to the property/casualty sector report published by the New York-based ratings firm on Thursday. The fire has destroyed 1,555 homes and commercial structures, damaged an additional 240 homes and structures, and burned about 121,000 acres so far, according to the California Department of Forestry and Fire Protection.

s2s insurance, recreational marijuana, insurance for cannabis, liability insurance for marijuana

At S2S Insurance we work with each client individually to identify their risk management needs and set up a plan that makes sense for each individual cannabis business owner. For cannabis business owners we look at location of the business, demographics, crime data statistics, annual weather patterns and additional data which help to formulate a sensible plan for your business. As a cannabis business owner, you don’t want to be caught unprepared when a big storm hits, or when a wildfire breaks out. You as a business owner have no control over if someone wants to break in your windows and vandalize your place of business. We can’t control the unknown but we can prepare for all of those things providing peace of mind and a tangible way to recover when disaster strikes. All policies are subject to policy limits and should be reviewed with an experienced agent and your attorney.

read more at businessinsurance.com

Property and Casualty Insurance for Cannabis Dispensaries

Just like any other business there is an absolute need for insurance for cannabis dispensaries. Anytime an individual purchases a new piece of property, one of the first orders of business is getting that property insured. For some forms of property the insurance is required, for others it is optional, but no less important. All forms of insurance are put in place to mitigate risk, including property and casualty insurance.

For those entering the cannabis industry or already established in it, the same principles of risk mitigation still apply. If you own a dispensary or a grow operation it is absolutely imperative that you protect your property against the various perils that pose a threat to your operation.  Property and Casualty insurance in the cannabis industry protects the physical structure of your place of business, but also protects the contents inside including office equipment, computers, inventory, and other items vital to your operation.

BAKERSFIELD, Calif. – Another fire at a marijuana dispensary under investigation. It is the second fire at a marijuana dispensary in the last few days.

The latest happened early Monday morning at the Golden State Hempire Collective in east Bakersfield.

Fire officials haven’t determined the cause but the owners believe the business was set on fire. Employees said someone set the back of the building on fire.

About two and a half miles away, a similar scene Friday morning. The Green Frog Health Center was set on fire by a stolen car that crashed into the building, burning four businesses and causing $250,000 of damage. Fire officials determined it was was arson.

Back at Golden State Hempire, the owners work on plans to rebuild. Damage there is pegged at $60,000. Employees say they hope this trend doesn’t continue.

Property and Casualty Insurance provides insurance to cover property, equipment, and risks from acts of others. In the example above, the damage was caused by suspected arson. As a business owner you cannot predict if a person or group will target your business in this manner, but you can plan against it. P&C insurance protects against common perils such as fire, lightning, explosion, implosion, aircraft damage, riots, strikes and terrorism. Business owners must look to avoid being surprised by unexpected situations  which could result in destroyed inventory and costly damage with no way to recover the loss.

The two fires in the story above caused over $300,000 in damage in the blink of an eye. If the owners of these establishments have the proper insurance for their cannabis dispensaries, they have a greater likelihood to recover and become profitable again. If the owners don’t have insurance and have to pay out of pocket, they may never recover. It is also important to remember that regardless of what type of property and casualty 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. As a business owner, if you are going to invest your time and money into an endeavor such as a cannabis dispensary, it only makes sense to protect that investment against the unforeseen.

read more at kget.com