Industry Sectors Manufacturing, Cooking, Infusion & Extraction
What exposures does my cannabis processing client have?
Cannabis processing is subject to myriad complex state requirements regarding not just the end product sold to the consumer, but also the environment in which it was prepared. Given the many different extraction techniques, and volatile chemicals often used in various extraction methods, the potential for property damage and bodily injury claims cannot be understated. After extraction, the final product can vary greatly in form and texture, and could be subject to product recall and contamination hazards.
Product Liability Coverage
One of the biggest exposures in the cannabis industry is product liability. Typically, in PL claims, any entity involved in the stream of commerce may be sued by an aggrieved plaintiff. Moreover, an agent should expect jurisdictions to impose strict liability for various elements of product compliance such as manufacturing defects, design defects, and/or warning defects. Coverage enhancements include defense outside limits, product withdraw expense coverage, cyber coverage up to $100K available by endorsement, and limits up to $5M.
General Liability Coverage
General liability insurance is a much broader, more traditional coverage that focuses on property damage and bodily injury liabilities ties to a specific premises. Rockall is able to offer hired and unowned auto to extend coverage off premises for incidental exposures, and cyber coverage up to $100K is available by endorsement.