M.J. Hall & Co. has introduced an admitted cannabis insurance product in Arizona.
March 8 is the effective date for the Cannabis Businessowners Policy (CannaBOP) in Arizona, which the wholesale insurance brokerage company said is the first such insurance coverage for cannabis in that state.
CannaBOP is offered through an exclusive partnership with an A rated insurer. It provides admitted coverage tailored to the unique needs of cannabis industry business owners. Previously only available in California, this expansion into Arizona provides a new opportunity for cannabis business owners in the state at a time when the industry is rapidly expanding.
There are currently 130 registered nonprofit medical marijuana dispensaries in Arizona, with 301,000 qualified medical marijuana patients, according to M.J. Hall. With the legalization of adult recreational marijuana use passing in the November 2020 general election, the volume of business licenses, as well as consumers, is expected to increase significantly in the coming year.
CannaBOP will write property limits up to $10 million in total insured values, $1 million in cannabis stock and up to $2 million in business income. For general liability, limits of $1 million per occurrence and $2 million in the aggregate are available for premises liability and up to $1 million in limits for products liability and $2 million in the aggregate on a claims-made basis.
Founded in 1973 by Michael J. Hall, M.J. Hall & Co. began by brokering aviation risks for Howard Hughes.
Source: M.J. Hall & Co.
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