Oklahoma has seen a steady rise in cannabis sales and dispensaries since State Question 788 (SQ 788) was passed in 2018. Along with this boom in business came a greater vulnerability to risk for those who operate within the cannabis industry, which exacerbated the need for cannabis insurance.
The best way to protect against the many risks faced by medicinal cannabis-related businesses is with a comprehensive insurance policy from MFE Insurance. We have extensive experience in this field and can customize a policy that can safeguard your company from major losses, lawsuits, and business disruptions at an affordable price.
Oklahoma Medicinal Cannabis Insurance Coverage From MFE Insurance
Here is a look at the coverage we offer to growing operators, cannabis vendors and other types of businesses operating within the Oklahoma cannabis industry.
General Liability Insurance
If any incidents involving bodily injury take place on your Oklahoma business property, the injured parties may bring expensive claims against your company. With general liability insurance, you gain protection from the issues that may arise if a customer is injured while shopping. If the injured third party files a lawsuit against your business for medical expenses and damages, general liability insurance offers valuable protection.
Product Liability Insurance
The cannabis industry is still relatively new, and not all customers have a solid understanding of how the products sold by cannabis-related businesses can be used safely. Therefore, product liability insurance is essential to protect in cases where the use of a product sold by your Oklahoma cannabis business results in injury or damage to another party that causes them to file a lawsuit.
Crop And Inventory Insurance
Cannabis crop insurance is essential for protecting your Oklahoma cannabis business against the loss of assets such as crops or finished products in your inventory. It is suitable for dispensary owners, processors and growers, and can cover the living cannabis plant at every stage throughout its growth cycle, all the way up to processing and preparation for purchase. If a natural disaster or employee error results in damage that compromises the plant’s growth or production, this policy could cover losses in potential revenues that result from the incident.
Cargo Insurance
Your Oklahoma cannabis business likely works with cargo that could be difficult to replace if it were damaged. For example, harvested crops that have been grown and shipped to a dispensary or storage facility. With cargo insurance, your business will be protected from the financial losses that arise if your cargo is damaged, stolen or lost during transport.
Product Recall Insurance
Safeguard your business with product recall insurance. Recalls are time-consuming and a financial burden. Product recall insurance is intended to reimburse businesses for expenses related to product recalls, including retrieval, shipping, restocking, and more. The insurance professionals at MFE Insurance are here to protect against these costs and guide you through the claims process.
Examples of Non-Cannabis Policies Available for Bundling
Depending on the state, cannabis businesses may need specialized cannabis insurance policies. However, since they operate like any other business, they must also meet standard insurance requirements. By combining general business coverage with cannabis-specific policies, you can ensure your operation remains compliant and protected against unexpected incidents.
Commercial Auto Insurance
A commercial auto insurance policy will cover any owned, borrowed, or rented vehicles while they are being used as part of your business. This type of policy contains two components. The first is auto liability, which offers coverage against bodily injury and property damage that is incurred by other parties. The comprehensive and collision component, meanwhile, protects against damage or theft involving the vehicle. It can also cover damages related to accidents that occur when an employee working for your Oklahoma cannabis business uses their own vehicle to carry out their work.
Property Insurance
A property insurance policy from MFE Insurance can protect your Oklahoma cannabis business in cases involving damage to the property. It can help your growing operation or dispensary cover the costs of replacing or repairing your business’s premises and its systems, inventory and contents if a covered event occurs.
Cyber Liability Insurance
Hackers in search of sensitive data that can be used for personal or financial gain often target small businesses such as cannabis dispensaries. A cyber liability insurance policy can protect your business in the event of a data breach involving the disclosure of information related to your employees or customers, including credit card numbers.
Cannabis businesses that contain customers’ health records are often targeted by hackers, and this type of policy can cover the legal fees involved in defending your cannabis business in court, as well as any settlements or judgments related to the breach. It can also cover the credit monitoring that must be offered to parties affected by the breach as well as damage control services to help restore your company’s reputation.
Crime Insurance
Crime insurance protects your Oklahoma cannabis company from all types of crimes, including theft, forgery, computer fraud, funds transfer fraud and counterfeit money. Protect your business from financial loss caused by crime by calling MFE Insurance today.
Workers Compensation Insurance
Oklahoma law states that nearly every type of employer in the state is required to carry workers’ compensation insurance for its employees. This type of policy can cover an injured worker’s medical care related to an accident on the job, as well as illnesses that are caused by exposure to harmful substances at work and repetitive injuries that are caused by years of harmful motions.
Organizations In Oklahoma That Need Cannabis Insurance
MFE Insurance provides Oklahoma cannabis insurance for all types of businesses within the medicinal industry. This includes provisioning centers, retailers, processors, product transporters, property owners and more.
Provisioning Centers & Retailers
Provisioning centers and retailers such as marijuana dispensaries need Oklahoma cannabis insurance as they deal directly with third parties and are more vulnerable to third-party lawsuits based on claims of bodily harm caused by the cannabis product. Dispensaries also need crime insurance, loss of income coverage and an EPLI policy as well, among other potential policies.
Growers & Farmers
Any business that deals with the growing or cultivation of cannabis in Oklahoma needs insurance to protect their product, crop and inventory, workers and equipment and machinery. We can tailor a plan to meet your needs and protect you from financial loss.
Processors & Laboratories
Processors in Laboratories in Oklahoma often use high-quality equipment and machinery to turn the cannabis plant into medicinal products. As discussed, our equipment breakdown insurance can limit your out of pocket expenses if your equipment and machinery break down or are damaged.
Product Transporters
Cannabis product transporters in Oklahoma need commercial auto insurance and workers compensation coverage, in addition to general liability and product liability coverage. If you are a product transporter of medicinal cannabis in Oklahoma and want to learn more about insurance, call MFE Insurance today.
Property Owners & Landlords
Regardless if you are directly related to the cannabis business or not, landlords and property owners who rent to dispensary owners, growers, processors and other medicinal cannabis professionals in Oklahoma should consider Oklahoma cannabis insurance. MFE Insurance offers property insurance, crime insurance and more to property owners and landlords.
Reach Out To MFE Insurance
At MFE Insurance, our brokers understand the risks faced by companies operating within the cannabis industry. We offer a personalized service that helps your company get the right coverage to ensure you are prepared for the liabilities associated with this high-risk industry. For more information about building an individualized policy for your Oklahoma cannabis business, reach out to our expert team today.
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Additional Cannabis Coverage By State
Your Questions about Oklahoma Cannabis Insurance, Answered
FAQs
What insurance policies are needed for my Oklahoma cannabis business to remain compliant?
There is no dedicated cannabis policy requirement in the state of Oklahoma. However, all businesses are required to follow the insurance requirements set for conventional businesses operating in the state. Furthermore, the state of Oklahoma requires dedicated licenses and a posted surety bond of at least $50,000 for any location involved in the medicinal cannabis industry. Detailed information can be found at the Oklahoma Medical Marijuana Authority (OMMA) website.
Do your insurance policies cover recreational cannabis businesses in Oklahoma?
No. Oklahoma has only legitimized medicinal cannabis facilities and operations. We are not able to offer any policies to recreational businesses operating in the state of Oklahoma at this time.
Are there any policies that can protect my crops before they finish growing?
Yes, while not required for compliance, Business Interruption Insurance or Crop & Inventory policies are useful supplements that help safeguard crops before they are harvested. These policies may be paramount to preventing unexpected financial losses in the event of a natural disaster or drought.